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Coatue Management unveiled a Reddit -Selang of $ 1 billion from the fourth quarter.
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Reddit shares have been in a tear, almost tripled since October in the midst of solid income.
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The Hedgefonds also revealed a reduction in Chinese shares and new positions in various technical names.
A closely followed hedge fund betting big Reddit Stock last quarter.
Coatue Management, a hedge fund led by former Tiger Management employee Philippe Laffont, reported a 6.5 million share interest in the social media company in its last 13F.
The application, made with the SEC last week and on December 31, showed that the Reddit deployment of almost $ 1.1 billion was approximately 3.6% of coatue’s $ 59 billion portfolio of listed shares.
According to BloombergThe Hedgefonds returned 19% in 2024 compared to the profit of the S&P 500 of around 23%.
The recently established importance of the Hedgefonds in the social media company has already proved to be profitable if it has held up to the shares this year.
Based on the current prices, the Reddit interest of coatue is worth around $ 1.2 billion, which represents $ 141 million a year to date, assuming that the hedge fund is still holding on to the shares.
Although the exact price that the Fund for the share is not known, shares of Reddit have risen by 14% since 2025 and have risen 193% in the last five months. In the meantime, the S&P 500 years has returned 4% to date.
Reddit’s big profit in recent months was driven Due to a strong income report of the third quarter released at the end of October. The company unveiled a surprise profit, a turnover growth on an annual basis of 68% and an increase of 47% with daily active users.
The shares peaked at around $ 228 per share on 10 February and has since fallen by around 20%. Investors are still digesting the winning results of Reddit in the fourth quarter of last week, which revealed an increase in costs of 52% and a traffic hiccup as a result of a change in Google’s search engine.
“We expect that Reddit will continue to make progress on the full diversification of the funnel and at the same time yields strong revenue growth and improved profitability,” analysts wrote to JPMorgan in a recent memorandum, adding that future changes in Google search are a long-term risk.
The bank rates Reddit on “Neutral” and believes that it acts at approximately real value with a target price of $ 185.
Other important steps taken by coatue during the fourth quarter include a wide sale of his Chinese stock ownership and newly established positions in Charles Schwab” To confirm” OctaAnd DataDog.
The three largest companies of the Hedgefonds on December 31 were Amazon” Meta platformsAnd Taiwan Semiconductor Manufacturing Company.