Ray Dalio Stock Portfolio Q3 2022: Top 5 Small-Cap Stocks

1. Silvergate Capital Corporation (NYSE:SI)

Number of Hedge Fund Holders: 23

Bridgewater Associates’ Stake Value: $39,856,000

Silvergate Capital Corporation (NYSE:SI) is one of the premier small-cap stocks from Ray Dalio’s portfolio. Silvergate Capital Corporation (NYSE:SI) is a bank holding company for Silvergate Bank, providing banking products and services to business and individual clients in the United States. Ray Dalio owns 528,949 shares of the company worth about $40 million, representing 0.20% of the total Q3 portfolio. 

On November 14, Wedbush analyst David Chiaverini maintained an Outperform rating on Silvergate Capital Corporation (NYSE:SI) but trimmed the price target on the shares to $70 from $85 after the company issued a statement that FTX is a deposit-only relationship that accounts for “less than 10%” of its crypto-related deposits, which totaled $12 billion at the end of Q3 2022. 

According to Insider Monkey’s data, 23 hedge funds were bullish on Silvergate Capital Corporation (NYSE:SI) at the end of the second quarter of 2022, compared to 35 funds in the preceding quarter. Paul Marshall and Ian Wace’s Marshall Wace LLP held the leading stake in the company, comprising 1.3 million shares worth $69 million. 

Here is what Artisan Small Cap Fund has to say about Silvergate Capital Corporation (NYSE:SI) in its Q3 2021 investor letter:

“Silvergate Capital is the leading regulated provider of traditional banking solutions to the digital currency industry (DCI). Notable customers include Coinbase, Paxos, Circle, Binance, Gemini, Jane Street, Fidelity, ICE, PayPal and the CME Group. We believe the company is well positioned to grow as digital assets become an increasing part of the economy. As a bridge between regulated financial markets and the crypto industry, Silvergate has established itself as a core infrastructure layer for trading digital assets. The company provides regulated banking services to the DCI to capture low-cost funding deposits, which can be monetized through its securities and loan portfolio. As of Q3, the company had $11 billion of deposits from over 1,300 digital currency customers and processed $600 million in transaction volumes over the last 12 months through the Silvergate Exchange Network (SEN). Today, the majority of SEN transactions are not being monetized to reduce friction of growing the network; however, we believe this could become an additional profit cycle driver over time as new products are launched or if the technology is adopted for use cases such as cross-border remittance or commerce.”

You can also take a look at 16 Biggest Gig Economy Companies in the World and 11 Best Materials Dividend Stocks To Buy. 

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