Billionaire David Tepper’s 5 Newest Stock Picks

1. Uber Technologies, Inc. (NYSE:UBER) 

Appaloosa Management LP’s Stake Value: $101,994,000
Percent of Appaloosa Management LP’s 13F Portfolio: 2.11%
Number of Hedge Fund Holders: 135

Uber Technologies, Inc. (NYSE:UBER) tops our list of billionaire David Tepper’s newest stock picks. It is an American technology company that specializes in ride-hailing as well as offers delivery services to its consumers. 

Appaloosa Management started building its position in Uber Technologies, Inc. (NYSE:UBER) in Q2 2021, with over 2 million shares, worth $101.9 million. The company currently represents 2.11% of the hedge fund’s 13F portfolio. In September, JPMorgan lifted its price target on Uber Technologies, Inc. (NYSE:UBER) to $72, while keeping an ‘Overweight’ rating on the shares. The firm’s analyst believes that the company will benefit as driver supply trends are improving. In Q2 2021, Uber Technologies, Inc. (NYSE:UBER) posted a GAAP EPS of $0.58, beating the estimates by $1.11. In the past year, the stock returned 31.3% to shareholders. 

As of Q2 2021, 135 hedge funds tracked by Insider Monkey have positions in Uber Technologies, Inc. (NYSE:UBER), up from 130 in the previous quarter. These stakes are valued at $10.4 billion. 

ClearBridge Investments mentioned Uber Technologies, Inc. (NYSE:UBER) in its Q2 2021 investor letter. Here is what the firm has to say: 

“The pandemic has also brought attention to the question of gig worker employment status for companies, including ClearBridge holdings Uber and Lyft. In the U.K., Uber proactively classified its drivers as “workers” ahead of final rulings from the British court system. The worker status in the U.K. is a designation between self-employed and employed status that entitles drivers to minimum wage, holiday pay and in some cases a pension.

ClearBridge has engaged with Uber on labor issues since its IPO, and we have given feedback over that time to the CEO, CFO, Chief Legal Officer and Investor Relations on labor relations as well as strategy and communications. Uber’s agreement on this designation is ahead of other competitors in the market and the legal mandate represents a step forward in the company’s thinking about labor. The agreement represents a short-term hit to earnings, yet in some ways it places Uber ahead of the market in its ability to balance labor and shareholder interests. Workers benefit from improved conditions, with new contributions amounting to roughly 3% of a driver’s earnings, while Uber establishes more certainty on costs and visibility into its regulatory environment and operation conditions in the future.”

You can also take a look at Joel Greenblatt’s Portfolio and Recent Buys and Warren Buffett’s Top 10 Stock Picks

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