Coatue Management, under the lead of Tiger Cub Philippe Laffont, realigned its focus in the second quarter, according to its latest 13F filing. While the filings are backwards looking, investors use them as a source for market trends. Here’s what you need to know.
Key Adjustments: Coatue reduced its position in Nvidia Corporation NVDA by 6.7%. Contrary to the Nvidia sale, the firm added shares of Microsoft Corporation MSFT by some 67% from its previous position.
Amazon.com, Inc AMZN wasn’t left behind, with Laffont more than doubling his stake in the e-commerce giant, marking it as one of his top 10 holdings.
Electric Vehicles In Focus: Laffont ramped up investments in the electric vehicle sector, enhancing Coatue’s exposure to Plug Power Inc PLUG by 900%. He also increased stakes in ChargePoint Holdings Inc CHPT and Lucid Group Inc LCID, by 600% and 370%, respectively.
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Chinese Equities Under Scrutiny: Amid fluctuating sentiments around China’s economic future, Coatue Management took decisive actions. The firm markedly reduced holdings in Alibaba Group Holding Ltd -ADR BABA, Baidu Inc BIDU, JD.com Inc JD and others. The most significant of these moves was in Alibaba, which saw a position cut by roughly 90% in the second quarter.
Benzinga’s Take: Laffont’s shifts are in response to both optimistic prospects in AI and the EV sectors and cautionary measures amidst geopolitical tensions in China and economic unpredictability.
Coatue’s repositioning mirrors a pragmatic approach, favoring a mix of established tech giants and promising sectors, while hedging against potential international market volatility.
Photo via Pixabay.
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