This Billionaire is Buying These 5 Bargain Stocks Amid Selloff

1. Coinbase Global, Inc. (NASDAQ:COIN)

Number of Hedge Fund Holders: 46

YTD Share Price Decline as of May 26: 72.14%

Coinbase Global, Inc. (NASDAQ:COIN) is a Delaware-based company that offers financial infrastructure and technology for the crypto universe globally. Paul Tudor Jones’ Tudor Investment Corp invested in Coinbase Global, Inc. (NASDAQ:COIN) during the first quarter of 2022, buying 1,167 shares, worth $222,000. Amid the broader tech selloff, the stock has tumbled over 72% year-to-date as of May 26. 

Cowen analyst Stephen Glagola on May 26 initiated coverage of Coinbase Global, Inc. (NASDAQ:COIN) with an Outperform rating and an $85 price target in a note to investors partially titled “Built To Last”. According to the analyst, Coinbase Global, Inc. (NASDAQ:COIN) has a dominant position in the United States and he expects it to be mainly an exchange/retail brokerage-driven play over the next several years. He believes the company can grow at a double-digit compound annual rate for “the foreseeable future” and that the security infrastructure and regulatory adherence are a tactical advantage compared to global peers.

Among the hedge funds tracked by Insider Monkey, 46 funds were bullish on Coinbase Global, Inc. (NASDAQ:COIN) at the end of Q1 2022, down from 57 funds in the prior quarter. Cathie Wood’s ARK Investment Management is the biggest shareholder of the company, with close to 7 million shares worth $1.3 billion. 

Here is what Longleaf Partners Fund has to say about Coinbase Global, Inc. (NASDAQ:COIN) in its Q4 2021 investor letter:

“We also have seen plenty of IPO/SPAC craziness showing both that private players need public markets more than they admit and that there is more volatility embedded in these newer companies than a private quarterly mark might admit. As for how efficient both the private and public markets are, we would encourage you to really delve into some of those multi-hundred-page S1s for many of the newest public companies to see the huge gap between the last valuation at which the company was funded and/or granted shares to its executives and the often much higher price at which the company went public – Coinbase is a prime example.”

You can also take a look at Top 9 Stocks Billionaire Larry Robbins Just Added to His Portfolio and 10 Best Undervalued Large-Cap Stocks According to Hedge Funds.

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