5 Stocks to Buy According to Teresa Barger’s Cartica Management

3. XP Inc. (NASDAQ:XP)

Cartica Management’s Stake Value: $24,438,000
Percentage of Cartica Management’s 13F Portfolio: 9.48%
Number of Hedge Fund Holders: 21

XP Inc. (NASDAQ:XP) is a Brazilian investment management firm. XP Inc. declared its intention to alter the Latin American market for local investors on October 10 by enhancing access and transparency to cutting-edge investment vehicles with a global scope. In the second quarter of 2022, Cartica Management owned 1.36 million shares of XP Inc. (NASDAQ:XP), worth $24.44 million. This represented 9.48% of the investment portfolio of the hedge fund.

On August 11, Domingos Falavina, a JPMorgan analyst, downgraded XP Inc. (NASDAQ:XP) from ‘Overweight’ to ‘Neutral’ with a $23 price target, citing the company’s limited room for high growth given its market share has already reached about 12%, significant margin compression, and lack of any short- or long-term plans to return capital to shareholders.

Among the hedge funds tracked by Insider Monkey, 21 funds were long XP Inc. (NASDAQ:XP) in the second quarter of 2022, down from 31 funds in the previous quarter. Fabiana Gelband Leite’s Atmos Capital is the biggest shareholder of XP Inc. (NASDAQ:XP), with 6.64 million shares worth $119.29 million.

Harding Loevner mentioned XP Inc. (NASDAQ:XP) in its Q4 2021 investor letter. Here is what the firm said:

“Shares of another new Brazilian holding, XP, the country’s premier online investment platform, also sold off as tough economic conditions outweighed management’s optimism about prospective growth from new business lines in pensions, credit cards, and loans. Performance was helped by stock selection and our underweight in China.”