Investors who followed stock tips from fund managers presenting at last year’s local Sohn Hearts & Minds conference would be largely ahead – except for a few notable price drops.
And Cota Capital’s Babak Poushanchi – who in November 2020 tipped New York-listed bill.com – has emerged as the top picker, with the back-office financial management firm’s share price up more than 200 per cent.
The company was one of 10 stocks tipped at the conference alongside Frankfurt-listed global food delivery company HelloFresh, American outfits Slack and Target and Australia’s Treasury Wine Estates.
But there were five disappointments, including two Hong Kong listed stocks – Ping An Health Care and Technology, which has lost 70 per cent of its value over the year, and Chinese mobile payments platform Yeahka, which lost almost 30 per cent, along with US-listed Teladoc Health, which lost more than 40 per cent, phone company T Mobile (down more than 10 per cent) and Nintendo (down 7 per cent).
Investors will be keen to see what Poushanchi tips at this year’s conference. His pick last year, bill.com, a Silicon Valley-based company that automates backoffice management for small and medium-sized business, saw its stock soar over the year, gaining more than 200 per cent to almost $US300 last week.
Tipping the stock last year, Poushanchi said he believed the company, which does business with ASX-listed small business accounting platform Xero, had the potential to grow its revenues from $US200m to $US2bn as the leader in the underpenetrated market with a potential customer base in the US of six million. Its revenue has grown to more than $US300m ($420m) over the year.
The next most successful pick was HelloFresh, chosen by Nick Griffin of Munro Partners.
The share price of HelloFresh, which has operations around the world including Australia, grew by more than 100 per cent over the year. The business has benefited from pandemic lockdowns around the world.
Investors in Slack, tipped by TDM Growth Partners’ Hamish Corlett, would have done well. Shortly after the conference, the company said it had struck a deal to be acquired by Salesforce for $US27.7bn – sending the share price from about $US25 to more than $US45.
Corlett is another returnee for this year’s conference.
Tribeca Investment Partners analyst Jun Bei Liu also got it right last year when she tipped Australia’s largest wine company, Treasury Wine Estates, despite it facing steep tariffs in China, its largest export market.
Jun Bei argued that while TWE’s wine exports from Australia would be affected by the introduction of heavy tariffs in China, the company’s shares were oversold and Treasury Wine Estates was cheap at $9.18.
While the company’s wine sales from Australia to China are still effectively blocked, the company has a global business and is refocusing its exports to China from its operations in the US and Europe. Its share price has recovered to about $12, giving investors who followed her tip a gain of more than 30 per cent.
Fundies who tipped high-profile China-based stocks, however, were blindsided by a government-led crackdown on technology companies.
Prince Street Capital’s David Halpert tipped Ping An Health Care, the Shanghai-based healthcare services unit of insurance giant Ping An Insurance, which was the biggest loser of the year for Sohn Australia followers.
While the company’s revenue has continued to grow, its shares were hit by a combination of its reported losses and the moves by Chinese regulatory authorities.
Tekne Capital’s Beeneet Kothari, who is also back for this year’s conference, saw his 2020 pick, Chinese payments platform Yeahka, hit by the same crackdown on tech companies.
Investors who got out at the right time would have done well. The company’s shares surged by more than 230 per cent in three months after his pick, but have fallen 30 per cent over the year.
The year has not been a good one for ARK Investment’s Cathie Wood, who tipped US online doctor service Teladoc Health.
Wood tipped the company after it had done well in the Covid-19 pandemic with its online healthcare business, as Americans were wary about visiting their doctor in person.
The stock, which was trading at $US183 in November last year, rose after her pick to a record $US293 in February this year.
But the company has lost favour with analysts, with its latest revenue forecasts not as strong as expected, seeing its price down to just over $US100 recently – a loss of more than 40 per cent for investors who stayed with the stock over the year.
Cooper Investors’ Asian equity analyst, Qiao Ma, saw her pick, Shenzhou International, rise by about 19 per cent over the year despite the travails of other Chinese companies and the impact of Covid-19 on supply chains.
In her first appearance at the conference last year, Ma picked Shenzhou, the Hong Kong-listed and China-based company that makes clothing for Nike, Adidas, Uniqlo and Puma.
In a recent interview with The Australian, Ma said she had long-term confidence in the company, which had done well despite supply chain issues, including congestion at the port of Los Angeles and factory shutdowns in Asia.
Ma says Shenzhou’s performance is proof of her argument about the rising quality management of some companies in China. She told The Australian that she intended to tip a Hong Kong-listed consumer brand at this year’s conference.
The Sohn conference started in New York in 1995 to commemorate the life of Ira Sohn, a Wall Street fund manager who died from cancer at the age of 29.
The idea of the conference has spread around the world, with top fund managers tipping stocks to raise money for medical research.
This year’s conference in Australia, its second online as a result of Covid-19, will feature a video appearance by Warren Buffett’s colleague, Charlie Munger.
This article was originally posted by The Australian here.
Licensed by Copyright Agency. You must not copy this work without permission.
Regal Funds Management has upended its short selling approach to combat the pressures of a rising bull market, focusing instead on share price blips that have included so-called meme stock GameStop, according to chief investment officer Phil King.
An experienced investor with a track record of short selling, King will be the only fund manager on the day tipping a short stock at the annual Australian Sohn Conference on Friday.
Cooper Investors’ Qiao Ma says that despite cordless power tools provider Techtronic Industries being an industrials company, it’s really a technology company at heart.
Peter Cooper, the founder of Cooper Investors, HM1 Core Fund Manager, shares his learnings from Charlie Munger.
Fund manager, Qiao Ma has tipped Hong Kong based global power tools and outdoor equipment company Techtronic Industries at the Sohn Hearts & Minds conference on Friday.
Hamish Corlett is the only stock picker in the history of the Sohn Hearts & Minds Investment Conference to pitch exactly the same company twice.
Jay Kahn of Flight Deck Capital has pitched Nikkei-listed Bengo4 as his stock pick for this year’s Sohn Hearts & Minds conference, following the recent acceptance of the electronic signature in Japan due to the Covid-19 pandemic.
There is no bigger or unsolved problem than taxes which remains consuming, complicated and error prone. Businesses still manage their taxes with a combination of pen and paper and excel and the complexities are only increasing. Babak Poushanchi says Avalara, based in Seattle, is solving the problem.
Firetrail Investments’ Eleanor Swanson has tipped ASX listed telco software company, Megaport, as the best stock for 2022 at the annual Sohn Hearts & Minds Conference.
Beeneet Kothari of Tekne Capital Management has chosen Delivery Hero as his stock pick at the Sohn Hearts & Minds conference, saying it is the best way to play the innovation and last-mile logistics trend.
Yen Liow, managing partner of Aravt Global has pitched Gitlab, a founder-led software business that is focused on DevOps at the Sohn Hearts & Minds Conference. Liow stumbled upon the company while researching Atlassian, which itself generated 20 times the return on capital since its IPO.
Regal Funds Management co founder, Phil King is recommending that investors sell shares in travel company Flight Centre, arguing that the stock has rebounded too strongly since its lows of last year with the company still facing headwinds with the shift to online travel bookings.
Munro Partners’ Nick Griffin has pitched Nasdaq-listed Onsemi as his stock pick at this year’s Sohn Hearts & Minds conference, labelling it the ‘hidden hero’ of the path to decarbonisation.
Builders Unions', Markus Bihler pitched Wise at the sixth annual Sohn Hearts & Minds Conference. Over the next five years, the fund manager expects the target share price to hit 30 pounds by 2027, a 27 per cent five year annualised return.
FACT Capitals' Joyce Meng pitched Beauty Health Company at the sixth annual Sohn Hearts and Minds Conference. Meng is forecasting 30 per cent durable and organic growth driven by accelerating equipment placements and a price target of $40 a share for 40 per cent upside.
Berkshire Hathaway vice chairman Charlie Munger, a longtime partner of Warren Buffett, has made his first appearance at the sixth annual Sohn conference in Australia on Friday.
Jay Kahn’s Flight Deck fund seeks out stocks in “roads least travelled”, and Kahn reckons it has unearthed a “multi-bagger”: Bengo4, which he describes as Japan’s DocuSign.
Firetrail’s Eleanor Swanson believes Megaport is currently one of the best stories on the sharemarket, and has the potential to join the ranks of Australian-founded technology companies such as Atlassian and Afterpay.
It’s an “age of instant gratification”, according to Tekne Capital Management’s Beeneet Kothari, and he is picking restaurant delivery group Delivery Hero to ride the innovation in last-mile logistics in the $US1 trillion takeaway food sector.
Spotify’s market-leading position in the future of audio will catapult the business to among the so-called FAANG stocks alongside the likes of Apple and Amazon, powering revenue growth and its share price, according to Hamish Corlett, co-founder of TDM Growth Partners.
Fresh from picking last year’s 180 per cent gainer Nasdaq-listed Bill.com and other big winners such as DocuSign three years ago, Babak Poushanchi is back at Sohn in 2021 with another stock pick. This year the Cota Capital founder and tech-focused investor has named Seattle-based tax software business Avalara as his top pick.
Regal’s Phil King says he’s the only Australian hedge fund manager brave enough or silly enough to return to Sohn Hearts & Minds to pitch a short stock during one of the biggest bull markets of all time.
Griffin expects the car market will be 50 per cent electric by 2030. He likes Onsemi in particular because of its management, and the fact it is being priced as an industrial semiconductor producer.
Joyce Meng of Fact Capital says investors should take advantage of growing skincare spends.
Berkshire Hathaway’s veteran 97-year-old investor Charlie Mungert warns that he views today’s markets as wildly overvalued in places.
Atreides Management’s Gavin Baker has picked cryptocurrency exchange Coinbase Global at the Sohn conference, believing in its growth opportunities as more people embrace the crypto world.
Yen Liow, founder and portfolio manager of Aravt Global, has a bullish take on Nasdaq-listed software development company GitLab, which he expects to soar in the coming years.
Eley Griffiths small-cap portfolio manager David Allingham has picked Ian Macoun’s multi-boutique funds management group Pinnacle Investment Management as his top stock pick for the Sohn Conference 2021.
Builders Union’s Markus Bihler has picked the freshly listed London-based fintech Wise as his top pick at the 2021 Sohn Hearts & Minds Conference.
Moderna will know in just over a week how effective its COVID-19 vaccine is against the omicron strain, according to the company’s co-founder Robert Langer, who presented at the sixth annnual Sohn Hearts and Minds Conference.
Charlie Munger, the 97-year-old investor and polymath who has been the trusted sidekick of Warren Buffett for decades shared his thoughts on markets, investing and geopolitics in a wide-ranging interview broadcast as part of the Sohn Hearts & Minds Investment Conference.
From e-signatures to last-mile logistics and facials, the annual conference showed that waves of disruption continue to break in different ways across different sectors
Investment legend Charlie Munger says the current climate on global markets is crazier than the dot-com bubble two decades ago, as he savaged the boom in cryptocurrencies as insane and backed China’s ban on the digital assets.
Regal Funds Management’s Phil King says it’s a tough market for short sellers but it didn’t stop him from nominating a prominent one at Sohn Hearts and Minds today: FlightCentre.
Moderna’s co-founder expects the biotech’s vaccine will be at least somewhat effective against the Omicron variant, but says his company can quickly pump out variant-specific boosters for new strains when needed.
Pinnacle Investment Management is a multi-boutique fund manager that owns stakes in 16 Australian fund managers across Australia of between 23 to 49 per cent. It is led by CEO Ian Macoun who is said to be famous for picking star portfolio managers.
Gavin Baker, managing partner and CIO of Atreides Management, a $4.5bn crossover firm based in Massachusetts, recommends investors hold Coinbase, a platform for investing in cryptocurrency.
Moderna co-founder Robert Langer has suggested the vaccine maker will know within days if its mRNA Covid-19 vaccine is effective against the new variant, Omicron, as he predicted future mutations and the likelihood of the virus becoming “something life flu” that will require regular vaccine boosters.
Moderna co-founder Robert Langer has said he’s confident the company’s vaccine will be effective against the omicron strain of COVID-19, but not as effective as it is against the original variant. “But that doesn’t mean it won’t be effective,” said Mr Langer.
Fund Manager Mark Nelson of Caledonia to interview Berkshire Hathaway's Charlie Munger at the sixth annual Sohn Hearts and Minds Conference.
Eleanor Swanson of Firetrail Investments sat down with Equity Mates Media ahead of this year's conference. Eleanor shares the story of her first investment, breaks down the small cap landscape and shares some of the best companies that she's come across during her time in the markets.
For all that heavyweight finance names Michael Walsh, David Paradice, Matthew Grounds and Gary Weiss have in common professionally, one thing they can’t seem to find consensus on is music.
Babak Poushanchi, one of the legends of the Sohn Hearts & Minds conference, has opened up about his approach to riding the disruptive technology boom.
Conference Manager Joyce Meng's FACT Capital is proof that the existing Wall Street model could be wildly improved upon.
Cota Capital’s Babak Poushanchi emerged the top picker from the 2020 Sohn Hearts & Minds Conference, with his pick, bill.com, share price up more than 200 per cent.
Yen Liow of Aravt Global sat down with Equity Mates Media ahead of this year's conference. Yen shares the story of his first investment, Aravt's investment philosophy, his thoughts on the future of the payments industry and why he's excited to be a part of the Hearts & Minds family.
Hearts and Minds Investments Limited (ASX:HM1)'s Chief Investment Officer Rory Lucas and founding Hearts & Minds supporter Phil King of Regal Funds Management recently spoke with the hosts of You're In Good Company, an Equity Mates Media podcast.
Returning Conference Manager Beeneet Kothari talks 'quick commerce', a topic at the heart of his stock pick for the 2021 Sohn Hearts & Minds Conference.
Returning Conference Manager Nick Griffin of Munro Partners attempts to capitalise on the climate change thematic that it has declared as the biggest investment opportunity since the internet.
New Conference Manager Eleanor Swanson was instrumental in convincing the investment team at Firetrail Investments to buy into AfterPay.
As a rising star within Firetrail Investment Management, Eleanor Swanson was instrumental in getting the firm to back Afterpay when it was trading at just $20, winning over the senior investment managers.
Eley Griffiths Group portfolio manager David Allingham says the Sohn Hearts and Minds Conference is the Australian investment management industry’s answer to the Woodstock Festival.
Returning Conference Manager Qiao Ma is planning to tip a Hong Kong-based consumer brand player when she fronts the annual Sohn Hearts & Minds conference next month.
Returning Conference Manager Beeneet Kothari sat down with Equity Mates to discuss his first investment, views on China and Cryptocurrency, and why he loves being involved in the Sohn Hearts & Minds Conference.
The payments sector has entered a golden era, says Avart Global’s Yen Liow, who hails from Melbourne.
The powerful technology that has enabled mRNA vaccines to save millions of lives during the coronavirus pandemic has much broader potential, according Bob Langer, one of the co-founders of Moderna.
Professor Robert Langer, the billionaire co-founder of vaccine maker Moderna says that early investors in the biotech startup should share the credit for the development of the company’s coronavirus vaccine.
Moderna co-founder Robert Langer says vaccine development for a range of diseases – not just Covid-19 – will be one of the biggest trends among biotechnology in coming years.
Beeneet Kothari admits it’s been a ‘bloodbath’ for Chinese tech stocks this year, but there are two good reasons he thinks the sentiment will shift.
Warren Buffett’s right-hand man Charlie Munger is the headline act at Sohn Hearts and Minds this year and the 97-year-old investment legend is expected to offer forthright views on global financial markets which are now at a critical juncture.
Charlie Munger, Warren Buffett's trusted man, to headline Sohn Hearts & Minds 2021 Conference.
Charlie Munger, who will headline this year’s Sohn Hearts & Minds Conference, places one quality above all else: patience.
Charlie Munger, American billionaire investor and vice-chairman of Berkshire Hathaway to headline Sohn Hearts & Minds 2021 Conference.