Philippe Laffont’s Q1 Activity: Apple Inc. (AAPL), Amazon.com, Inc. (AMZN), Ambarella Inc (AMBA)

By Shira Gonen

Philippe Laffont is a successful billionaire and founder of hedge fund Coatue Management, LLC. Laffont graduated from MIT in 1991 and worked as an independent investment consultant before moving on to research analyst. In the last quarter, the $8.01 billion fund lost 3.29% of its value. Laffont invests primarily in technology and services companies. Let’s take a look at some of Laffont’s notable Q1 investments in Apple Inc. (NASDAQ:AAPL), Amazon.com, Inc. (NASDAQ:AMZN), and Ambarella Inc (NASDAQ:AMBA).

Philippe Laffont Portfolio Performance

Philippe Laffont Portfolio Breakdown

Amazon.com, Inc.

In an interesting move, Laffont reduced his stake in internet retail giant Amazon by 11.05%, now owning 566,785 shares worth $336.47 million. Recently, the company has experienced success in its IoT platform, AWS, and through its video streaming service, which competes directly with Netflix. In the first quarter, the company announced they would open 300-400 retail stores and leased 20 planes as part of its plan to insource its logistics. It seems that other hedge fund managers agree with Laffont’s decision, as hedge funds on TipRanks reduced their holdings in the company by an average of 2.1 million shares.

Apple Inc.

In the first quarter, Laffont completely sold out of tech giant Apple. In the first quarter, shares rose a modest 3% as the company faced iPhone demand concerns, weak guidance from its suppliers, and macroeconomic difficulties, especially in China, one of its largest markets. Many investors and analysts alike worry that Apple’s innovation glory days are over, as competition from Samsung Facebook, and Amazon threatens to take market share away from the company through various products and services.

Ambarella Inc

Laffont increased his stake in Ambarella, GoPro’s main supplier, by 47.3% now owning 1,311,356 shares worth $58.62 million. This tech company develops various image and video processing products. In the first quarter, shares dropped 18 % mainly due to disappointing earnings from GoPro, as 30-35% of the company’s revenues are dependent on the action camera maker. Related, demand for drones has been steadily decreasing, another product which uses Ambarella’s technology. Despite a rough quarter, other hedge fund managers on TipRanks seem to agree with Laffont’s decision. They increased their holdings in AMBA by an average of 582,200 shares in the first quarter.