Latest news with #PhilippeLaffont
Yahoo
15 hours ago
- Business
- Yahoo
Billionaire Investor Philippe Laffont Just Gave Bitcoin Investors Great News
Philippe Laffont worked at Julian Robertson's Tiger Management and has made many successful early tech investments. While not backed by physical assets, Bitcoin runs on the blockchain, which is considered a significant technological disruption. Laffont sees progress in Bitcoin for several reasons including the fact that it is now less volatile than it once was. 10 stocks we like better than Bitcoin › Philippe Laffont is part of an elite group of investors called Tiger Cubs. Tiger Cubs worked for Julian Robertson's hedge fund, Tiger Management, in the 1990s and then went on to found their own hedge funds. Laffont launched Coatue Management in the 1990s and heavily invests in the tech and artificial intelligence (AI) sectors. The multibillionaire was an early investor in Snap, Spotify, and TikTok parent company ByteDance. Needless to say, Laffont and his team are extremely skilled at evaluating companies in the tech industry. Recently, Laffont gave investors in Bitcoin (CRYPTO: BTC), the world's largest cryptocurrency, reason to cheer. Here's why. Bitcoin is only about 16 years old, so investors are still learning a lot about the digital asset and the world's largest cryptocurrency. For many years, Bitcoin and the broader crypto market had been viewed as the Wild West and many investors ignored Bitcoin due to the token's big price swings and also because it doesn't generate earnings, free cash flow, or return capital to shareholders. However, Laffont said at a recent crypto conference that he thinks Bitcoin's volatility has begun to decrease. "It's intriguing to me that maybe ... the cost of getting into Bitcoin is shrinking," Laffont said at Coinbase Global's State of Crypto Summit, according to CNBC. "If the beta shrinks, that would be very interesting." Beta looks at the relative volatility of an asset compared to the broader market. So if the beta of the broader market is 1 and an asset has a 1.5 beta, one can expect that asset to outperform the market in good times and underperform the market in bad times. Investors typically are looking to generate the most alpha with the smallest amount of beta possible because that leads to strong returns with less risk and therefore more protection in a downside scenario. Laffont attributes Bitcoin's declining volatility partly to more institutional investors buying Bitcoin. Interestingly, Bitcoin only fell about 5% between April 2 and April 10, when the market got crushed after President Donald Trump announced sweeping tariffs on the country's largest trading partners. Meanwhile, the Nasdaq Composite fell 6%. Laffont has said he deeply regrets not investing more in Bitcoin. He also acknowledged that he overlooked the simple concept that if a critical mass of people view Bitcoin as valuable, it is only likely to grow in value. With Bitcoin becoming less volatile, Laffont believes Bitcoin can become "more central" to the average portfolio. That could be a tailwind for Bitcoin because it only has a $2 trillion market cap, a fraction of the world's $500 trillion of net worth. One reason more investors may buy Bitcoin is because it's increasingly being viewed as a hedge against inflation due to its supply cap of 21 million tokens. Some investors also view it as a form of digital gold. The market has driven up the price of gold in recent years due to geopolitical uncertainty and concerns about the U.S. government's finances, which includes a more than $1.8 trillion fiscal deficit in 2024, and total debt that's now north of $36 trillion. Laffont isn't the only one who thinks Bitcoin can be bought by more general investors. BlackRock, the largest asset manager in the world, put out a report last year, saying it thinks investors can allocate as much as 2% of their portfolios to Bitcoin. I would agree that investors managing a general retirement portfolio can now allocate a small portion of capital to Bitcoin. With the broader benchmark S&P 500 now more heavily concentrated in a handful of dominant companies, it's harder for investors to diversify, making it more important they get some exposure to unique assets like gold, Bitcoin, and potentially oil and gas. If Bitcoin becomes even a small part of the traditional portfolio, then the price of the world's most valuable token is likely going to be less volatile and move higher over time. Before you buy stock in Bitcoin, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Bitcoin wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Bram Berkowitz has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin and Spotify Technology. The Motley Fool recommends Coinbase Global. The Motley Fool has a disclosure policy. Billionaire Investor Philippe Laffont Just Gave Bitcoin Investors Great News was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Coatue's founders say private companies should go public
The founder brothers of Coatue Management urged large private firms to go public for transparency. Their comments come as companies stay private longer, following a surge in private market fundraising. While public companies are subject to more regulatory scrutiny, the public markets offer benefits, too. The founders of hedge fund giant Coatue Management have called on large private companies to step out of the shadows and go public. Speaking to the "BG2 Pod" podcast that aired on Friday, Thomas and Philippe Laffont said that large companies should be more transparent. "I happen to believe that all these companies should go public," said Thomas Laffont. He framed the issue as partly ideological, saying there's a "democratic element" to going public as "wealth creation belongs to the public market." His comments counterpoint a dominant trend in recent years: Companies, fueled by billions in private equity, venture capital, and private credit, are staying private for far longer. While private companies are subject to less regulatory oversight, going public can benefit them beyond access to public money. "It could be a brand-defining event for a company, for your product, for your employees, giving the level of transparency to your customers that you're well funded, that you have a fortress balance sheet, you can withstand the regulatory scrutiny that comes," he said. Philippe Laffont agreed, even as he acknowledged the imperfections of public-market mechanics like mark-to-market accounting. He said that the balance between public and private markets is healthy, but only up to a point. "I just think that these super, super large private companies, if you're not willing to submit yourself to the sunshine and ray of light of the public markets, you're going to get it through a regulatory agency," he said. Not all investors are coaxing private companies into an initial public offering or other public market debut. Peter Singlehurst, the head of private companies at British investment management firm Baillie Gifford, said on a March podcast that companies can build better businesses by staying private for longer. "You can have people owning your shares for all sorts of reasons that are misaligned with what you're trying to do as a company," Singlehurst said. Like Coatue, Baillie Gifford has a variety of public and private investments. "All your competitors get to know pretty much everything about your business because you have to tell your shareholders pretty much everything about your business," he said. Read the original article on Business Insider Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Business Insider
3 days ago
- Business
- Business Insider
Coatue's founders say private companies should go public
The founders of hedge fund giant Coatue Management have called on large private companies to step out of the shadows and go public. Speaking to the "BG2 Pod" podcast that aired on Friday, Thomas and Philippe Laffont said that large companies should be more transparent. "I happen to believe that all these companies should go public," said Thomas Laffont. He framed the issue as partly ideological, saying there's a "democratic element" to going public as "wealth creation belongs to the public market." His comments counterpoint a dominant trend in recent years: Companies, fueled by billions in private equity, venture capital, and private credit, are staying private for far longer. While private companies are subject to less regulatory oversight, going public can benefit them beyond access to public money. "It could be a brand-defining event for a company, for your product, for your employees, giving the level of transparency to your customers that you're well funded, that you have a fortress balance sheet, you can withstand the regulatory scrutiny that comes," he said. Philippe Laffont agreed, even as he acknowledged the imperfections of public-market mechanics like mark-to-market accounting. He said that the balance between public and private markets is healthy, but only up to a point. "I just think that these super, super large private companies, if you're not willing to submit yourself to the sunshine and ray of light of the public markets, you're going to get it through a regulatory agency," he said. Not all investors are coaxing private companies into an initial public offering or other public market debut. Peter Singlehurst, the head of private companies at British investment management firm Baillie Gifford, said on a March podcast that companies can build better businesses by staying private for longer. "You can have people owning your shares for all sorts of reasons that are misaligned with what you're trying to do as a company," Singlehurst said. Like Coatue, Baillie Gifford has a variety of public and private investments. "All your competitors get to know pretty much everything about your business because you have to tell your shareholders pretty much everything about your business," he said.
Globe and Mail
15-06-2025
- Business
- Globe and Mail
Billionaires Are Selling Nvidia and Betting on This AI Stock That's Climbed Nearly 300% Over the Past 3 Years
Nvidia (NASDAQ: NVDA) has been a no-brainer choice for investors aiming to win in the artificial intelligence (AI) market. The stock has soared 1,500% over the past five years as this AI chip leader delivered quarter after quarter of record revenue growth -- and this story is far from over. Nvidia's market dominance and innovation should help it to benefit as the AI boom continues. But some billionaires have decided to move on, selling some or all of their Nvidia shares and focusing on other potential AI winners. For example, Stanley Druckenmiller of the Duquesne Family Office sold all his Nvidia shares in the third quarter of last year. Just recently, David Tepper of Appaloosa and Philippe Laffont of Coatue Management cut their positions in Nvidia. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » As some investors reduce exposure to the top chipmaker, another AI stock, one that's climbed nearly 300% over the past three years, is emerging as an investor favorite. Let's check it out. Among the top five The stock I'm talking about is among the top five stock holdings of Tepper, and it's the No. 1 stock holding of Laffont, as well as fellow billionaires Chase Coleman of Tiger Global Management and Stephen Mandel Jr. of Lone Pine Capital. Ole Andreas Halvorsen of Viking Global Investors is also bullish on this stock, opening a position in the first quarter of this year. This player that's been much sought after by billionaires in recent times is Meta Platforms (NASDAQ: META), a company you are probably very familiar with thanks to its social media dominance. Meta owns Facebook, Messenger, Instagram, and WhatsApp -- more than 3.4 billion people worldwide use at least one of these apps daily. Here's how billionaires Tepper, who oversees $8.3 billion, and Laffont, who manages $22 billion, took action on Nvidia and Meta in the first quarter: Tepper sold 55% of his Nvidia stock and now holds 300,000 shares. He increased his Meta position by 12% to 550,000 shares. It's his fifth-biggest stock position. Laffont cut his Nvidia position by 14% to 8,545,835 shares. He lifted his Meta position by 1.9% to 3,757,611 shares. As mentioned above, Meta is the biggest position in his portfolio. Building AI expertise Considering these moves and Meta's top spot in the portfolios of other billionaires, it's clear these expert investors see the company as a potential winner in the AI revolution. You may be wondering why this is the case, given that Meta is best known for its strengths in the social media industry. Well, Meta has also been building AI expertise in the form of its own large language model (LLM), Llama, to power innovations that may ensure its leadership in social media -- and, therefore, revenue growth. Here's how that works. Meta generates the lion's share of its revenue from advertisers across its social media apps. And through tools like AI assistants, Meta aims to keep us spending more time on the apps, prompting advertisers to pour more investment into advertising there to reach us. Meta AI, the company's current offering, is currently the world's most widely used AI assistant. On top of this, Meta's innovations in AI could lead to other products and services that boost revenue down the road. Meta clearly believes in the saying "go big or go home," as the company expects to reach as much as $72 billion in capital spending this year to support its AI ambitions. A look at valuation Now the question is: Should you follow the billionaires and buy shares of Meta? The stock trades for 27 times forward earnings estimates, making it more expensive than it was a couple of months ago when it fell to less than 20 times expected earnings. But this remains a reasonable valuation for a growth stock, particularly a profitable, well-established player that offers a secure revenue stream and even dividend payments. The next question is, in the AI boom, should you favor Meta over Nvidia? Investors who have already won on their Nvidia investment over time, such as certain billionaires, may rotate out of the stock and into Meta. Ramping up its AI investment, Meta could be well positioned to deliver gains in the quarters to come. Meta is also slightly cheaper than Nvidia, which today trades for 33 times forward earnings estimates. So, if you don't have any Meta shares yet, you may want to get in on this exciting story -- but you don't necessarily have to forget about Nvidia. The best strategy may be to hold shares of both of these AI leaders as the AI boom enters its next chapter. Should you invest $1,000 in Meta Platforms right now? Before you buy stock in Meta Platforms, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Meta Platforms wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $653,702!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $870,207!* Now, it's worth noting Stock Advisor 's total average return is988% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms and Nvidia. The Motley Fool has a disclosure policy.
Yahoo
15-06-2025
- Business
- Yahoo
Billionaires Are Selling Nvidia and Betting on This AI Stock That's Climbed Nearly 300% Over the Past 3 Years
Artificial intelligence chip designer Nvidia has been popular among billionaires in recent years, and its stock has soared more than 1,000%. Now, some of these billionaires are looking to another company that's investing significantly in AI. 10 stocks we like better than Meta Platforms › Nvidia (NASDAQ: NVDA) has been a no-brainer choice for investors aiming to win in the artificial intelligence (AI) market. The stock has soared 1,500% over the past five years as this AI chip leader delivered quarter after quarter of record revenue growth -- and this story is far from over. Nvidia's market dominance and innovation should help it to benefit as the AI boom continues. But some billionaires have decided to move on, selling some or all of their Nvidia shares and focusing on other potential AI winners. For example, Stanley Druckenmiller of the Duquesne Family Office sold all his Nvidia shares in the third quarter of last year. Just recently, David Tepper of Appaloosa and Philippe Laffont of Coatue Management cut their positions in Nvidia. As some investors reduce exposure to the top chipmaker, another AI stock, one that's climbed nearly 300% over the past three years, is emerging as an investor favorite. Let's check it out. The stock I'm talking about is among the top five stock holdings of Tepper, and it's the No. 1 stock holding of Laffont, as well as fellow billionaires Chase Coleman of Tiger Global Management and Stephen Mandel Jr. of Lone Pine Capital. Ole Andreas Halvorsen of Viking Global Investors is also bullish on this stock, opening a position in the first quarter of this year. This player that's been much sought after by billionaires in recent times is Meta Platforms (NASDAQ: META), a company you are probably very familiar with thanks to its social media dominance. Meta owns Facebook, Messenger, Instagram, and WhatsApp -- more than 3.4 billion people worldwide use at least one of these apps daily. Here's how billionaires Tepper, who oversees $8.3 billion, and Laffont, who manages $22 billion, took action on Nvidia and Meta in the first quarter: Tepper sold 55% of his Nvidia stock and now holds 300,000 shares. He increased his Meta position by 12% to 550,000 shares. It's his fifth-biggest stock position. Laffont cut his Nvidia position by 14% to 8,545,835 shares. He lifted his Meta position by 1.9% to 3,757,611 shares. As mentioned above, Meta is the biggest position in his portfolio. Considering these moves and Meta's top spot in the portfolios of other billionaires, it's clear these expert investors see the company as a potential winner in the AI revolution. You may be wondering why this is the case, given that Meta is best known for its strengths in the social media industry. Well, Meta has also been building AI expertise in the form of its own large language model (LLM), Llama, to power innovations that may ensure its leadership in social media -- and, therefore, revenue growth. Here's how that works. Meta generates the lion's share of its revenue from advertisers across its social media apps. And through tools like AI assistants, Meta aims to keep us spending more time on the apps, prompting advertisers to pour more investment into advertising there to reach us. Meta AI, the company's current offering, is currently the world's most widely used AI assistant. On top of this, Meta's innovations in AI could lead to other products and services that boost revenue down the road. Meta clearly believes in the saying "go big or go home," as the company expects to reach as much as $72 billion in capital spending this year to support its AI ambitions. Now the question is: Should you follow the billionaires and buy shares of Meta? The stock trades for 27 times forward earnings estimates, making it more expensive than it was a couple of months ago when it fell to less than 20 times expected earnings. But this remains a reasonable valuation for a growth stock, particularly a profitable, well-established player that offers a secure revenue stream and even dividend payments. The next question is, in the AI boom, should you favor Meta over Nvidia? Investors who have already won on their Nvidia investment over time, such as certain billionaires, may rotate out of the stock and into Meta. Ramping up its AI investment, Meta could be well positioned to deliver gains in the quarters to come. Meta is also slightly cheaper than Nvidia, which today trades for 33 times forward earnings estimates. So, if you don't have any Meta shares yet, you may want to get in on this exciting story -- but you don't necessarily have to forget about Nvidia. The best strategy may be to hold shares of both of these AI leaders as the AI boom enters its next chapter. Before you buy stock in Meta Platforms, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Meta Platforms wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $653,702!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $870,207!* Now, it's worth noting Stock Advisor's total average return is 988% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms and Nvidia. The Motley Fool has a disclosure policy. Billionaires Are Selling Nvidia and Betting on This AI Stock That's Climbed Nearly 300% Over the Past 3 Years was originally published by The Motley Fool
