Top 5 Stock Picks of Jack Ripsteen’s Potrero Capital Research

3. Amazon.com, Inc. (NASDAQ:AMZN)

Stake Value of Potrero Capital Research: $21,522,000

Percentage of Potrero Capital’s 13F Portfolio: 5.17%

Number of Hedge Fund Holders: 271

Amazon.com, Inc. (NASDAQ:AMZN) is a multinational tech conglomerate specializing in e-commerce, artificial intelligence, cloud computing, and digital streaming. Amazon.com, Inc. (NASDAQ:AMZN) was recently making headlines because employees were criticizing the overly demanding work culture, being underpaid, and a no vacation policy at the company. As a response to the employee feedback, Amazon.com, Inc. (NASDAQ:AMZN) launched Amazon FamilyFlex on November 3, a program that enables proper work life balance for employees, including parental leave, adoption assistance, the ability to create custom schedules, and swap shifts when feasible. Amazon.com, Inc. (NASDAQ:AMZN) is a top stock in Jack Ripsteen’s Q2 portfolio. 

Potrero Capital Research owns 6,256 shares in Amazon.com, Inc. (NASDAQ:AMZN), valued at $21.52 million, representing 5.17% of the firm’s investment portfolio for the second quarter.

Amazon.com, Inc. (NASDAQ:AMZN) announced Q3 EPS on October 28, valued at $6.12. The actual EPS missed estimates by -$2.78. Amazon.com, Inc. (NASDAQ:AMZN)’s revenue was $110.81 billion, also missing analysts’ consensus estimates by -$784.89 million. 

Citi analyst Jason Bazinet on November 2 kept a Buy rating on the stock, while lowering Amazon.com, Inc. (NASDAQ:AMZN)’s price target from $4,175 to $4,100. Even though the analyst sees potential for growth in Amazon.com, Inc. (NASDAQ:AMZN)’s B2B services, the price target was lowered to reflect the poor Q3 performance. 

Amazon.com, Inc. (NASDAQ:AMZN) is the most popular stock among the hedge funds. At the end of the second quarter, 271 funds were long Amazon.com, Inc. (NASDAQ:AMZN), up from 243 in the first quarter. 

Here is what Polen Capital has to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q3 2021 investor letter:

“Amazon has also lagged as its revenue growth is slowing on the very difficult comparisons from last year when this behemoth was growing revenue by over 40%. We still expect exceptional long-term growth and significant margin expansion as the fastest growing (and now large) segments of Amazon are also generating the highest margins.”