In this article, we discuss 5 stocks under $25 to buy according to billionaire Philippe Laffont. If you want our detailed analysis of these stocks, go directly to 10 Stocks Under $25 to Buy According to Billionaire Philippe Laffont.
5. Blend Labs, Inc. (NYSE:BLND)
Coatue Management’s Stake Value: $146,919,000
Percentage of Coatue Management’s 13F Portfolio: 0.59%
Number of Hedge Fund Holders: 19
Share Price as of January 12: $7.32
Blend Labs, Inc. (NYSE:BLND) is one of the best stocks under $25 to buy according to Philippe Laffont, with his hedge fund acquiring an approximately $147 million position in the company as of Q3 2021, which represents 0.59% of the billionaire’s total investments. Blend Labs, Inc. (NYSE:BLND) is a financial services company that uses a cloud-based platform to assist customers with mortgages, home equity loans, lines of credit, vehicle loans, personal loans, credit cards, and deposit accounts.
On November 10, Blend Labs, Inc. (NYSE:BLND) reported its financial results for the third quarter, posting a loss per share of $0.13, missing estimates by $0.02. Revenue over the period totaled $89.57 million, outperforming estimates by $3.35 million.
Wells Fargo analyst Michael Turrin lowered the firm’s price target on Blend Labs, Inc. (NYSE:BLND) on December 13 to $15 from $20 to reflect multiple compression across the software space. The analyst kept an Overweight rating on the stock.
A total of 19 hedge funds in the third quarter database of elite funds maintained by Insider Monkey reported owning stakes worth $487.7 million in Blend Labs, Inc. (NYSE:BLND).
4. Dingdong (Cayman) Limited (NYSE:DDL)
Coatue Management’s Stake Value: $160,968,000
Percentage of Coatue Management’s 13F Portfolio: 0.65%
Number of Hedge Fund Holders: 5
Share Price as of January 12: $11.55
Billionaire Philippe Laffont, via Coatue Management, boosted his stake in Dingdong (Cayman) Limited (NYSE:DDL) by 3505% in the third quarter, holding over 7 million shares worth $160.9 million. The stock represents 0.65% of the fund’s total Q3 investments. On November 19. JPMorgan analyst Andre Chang initiated coverage of Dingdong (Cayman) Limited (NYSE:DDL) with an Underweight rating and a $21 price target.
Dingdong (Cayman) Limited (NYSE:DDL) is a Chinese e-commerce company, delivering household necessities and groceries to customers on a daily basis. The company reported Q3 results on November 15, posting a loss per share of $0.95, beating estimates by $0.02.
Dingdong (Cayman) Limited (NYSE:DDL) announced on December 20 that its board of directors has authorized a share repurchase program under which the company may repurchase up to $30 million of its shares until December 19, 2022.
5 hedge funds in the database of Insider Monkey were bullish on Dingdong (Cayman) Limited (NYSE:DDL) as of September 2021, and one of the leading shareholders of the company is Tiger Global Management, with a $24.8 million stake.
3. Agora, Inc. (NASDAQ:API)
Coatue Management’s Stake Value: $277,315,000
Percentage of Coatue Management’s 13F Portfolio: 1.12%
Number of Hedge Fund Holders: 11
Share Price as of January 12: $15.34
Agora, Inc. (NASDAQ:API) represents 1.12% of Coatue Management’s total third quarter investments, with the hedge fund owning 9.5 million shares of the company worth $277.3 million. Agora, Inc. (NASDAQ:API) is a software company offering on-demand real-time engagement services via video, voice, and messages.
Agora, Inc. (NASDAQ:API) reported its Q3 results on November 15, announcing a loss per share of $0.10, missing estimates by $0.01. The quarterly revenue equaled $45.04 million, up 46% year-over-year, exceeding estimates by $5.38 million.
API Needham analyst Vincent Yu lowered the price target on Agora, Inc. (NASDAQ:API) to $27 from $40 but kept a Buy rating on the shares on November 24. Agora, Inc. (NASDAQ:API)’s Q3 revenue and gross margins were better than expected, and its social entertainment in China’s domestic market and virtual event services in overseas markets are expected to become its growth drivers.
11 hedge funds in the database of Insider Monkey were bullish on Agora, Inc. (NASDAQ:API) in Q3 2021, with stakes totaling $354.6 million, as compared to 17 funds holding stakes worth $564 million in Agora, Inc. (NASDAQ:API) in the preceding quarter.
Here is what Tao Value has to say about Agora, Inc. (NASDAQ:API) in its Q3 2021 investor letter:
“As witnessed in the past quarter, the government intervention in the Chinese private sector is elevated to an unprecedented level. Given this background, I thoroughly reviewed all our Chinese holdings and made a few changes. We exited Agora (ticker: API) as we estimated that it has 25+% of evaporating revenue tied to online education use cases, but the management seemed to be evasive about the potential impact.”
2. DiDi Global Inc. (NYSE:DIDI)
Coatue Management’s Stake Value: $301,190,000
Percentage of Coatue Management’s 13F Portfolio: 1.22%
Number of Hedge Fund Holders: 15
Share Price as of January 12: $4.99
Priced at $4.99 as of January 12, DiDi Global Inc. (NYSE:DIDI) is one of the best stocks to buy under $25 according to billionaire Philippe Laffont. DiDi Global Inc. (NYSE:DIDI) is a Chinese company offering vehicles-for-hire, providing cab rides, food delivery, package delivery, freight moving, and bicycle sharing services via an application that operates in Asia Pacific, Latin America, Africa, Central Asia, and Russia.
Philippe Laffont, via Coatue Management, owns 40.4 million DiDi Global Inc. (NYSE:DIDI) shares, worth $301.1 million, accounting for 1.22% of the firm’s Q3 investments.
A total of 15 hedge funds were long DiDi Global Inc. (NYSE:DIDI) as of September 2021, holding stakes amounting to $701.6 million. One of the leading DiDi Global Inc. (NYSE:DIDI) stakeholders is Third Point, with a $99.4 million position in the company.
Chinese regulators called on top executives of DiDi Global Inc. (NYSE:DIDI) on November 26 to establish a plan to delist from the New York Stock Exchange over data security concerns. The regulators offered alternatives to DiDi Global Inc. (NYSE:DIDI) including privatization or a share float in Hong Kong after a delisting from the United States.
1. Marqeta, Inc. (NASDAQ:MQ)
Coatue Management’s Stake Value: $612,409,000
Percentage of Coatue Management’s 13F Portfolio: 2.49%
Number of Hedge Fund Holders: 20
Share Price as of January 12: $15.03
Marqeta, Inc. (NASDAQ:MQ) is one of the best stocks priced under $25 to buy according to Philippe Laffont, with the billionaire’s fund elevating its stake in the company by 847% in the third quarter. Coatue Management owns 28.4 million Marqeta, Inc. (NASDAQ:MQ) shares, worth $612.4 million, representing 2.49% of the firm’s total Q3 investments.
Marqeta, Inc. (NASDAQ:MQ) is a financial technology company offering digital payment solutions including prepaid, debit, and credit cards, and a modern card issuing platform.
Announcing its financial results for the third quarter on November 10, Marqeta, Inc. (NASDAQ:MQ) reported a loss per share of $0.08, beating estimates by $0.05. Revenue for the period came in at $131.5 million, exceeding estimates by $12.29 million.
Loop Capital analyst Hal Goetsch on December 20 initiated coverage of Marqeta, Inc. (NASDAQ:MQ) with a Hold rating and a $19 price target. The analyst stated that although Marqeta, Inc. (NASDAQ:MQ) has “a robust growth outlook” tied to the success and growth of some of its “lighthouse customers” such as Block, Inc. (NYSE:SQ), Affirm Holdings, Inc. (NASDAQ:AFRM), and DoorDash, Inc. (NYSE:DASH), the company’s customer concentration warrants a Hold rating at the existing valuation.
Echo Street Capital Management is one of the leading Marqeta, Inc. (NASDAQ:MQ) stakeholders as of Q3 2021, with 4.41 million shares worth $97.6 million. Overall, 20 hedge funds were bullish on the stock as per Insider Monkey’s Q3 data.
Here is what Artisan Mid-Cap Fund has to say about Marqeta, Inc. (NASDAQ:MQ) in its Q3 2021 investor letter:
“Marqeta is a digital payment software company with a focus on providing fintechs and merchants the infrastructure to build and process configurable payment cards. The company’s superior API technology allows it to easily connect to customers’ internal systems, enabling quicker product development and introduction. Marqeta’s growth over the years has been largely attributed to its partnership with Square’s Cash App—more than 70% of revenues—but we believe recent client wins (Google Pay) and the continued emergence of innovative digital payment services who need Marqeta’s technology infrastructure make for a compelling profit cycle ahead. With shares pulling back during the quarter, we initiated a small GardenSM position.”
You can also take a look at 10 Micro-Cap Stocks to Buy According to Cathie Wood and 10 Best Solar Energy Stocks to Buy for 2022.
