Comparing EMS Capital LP Q3 2021 vs. Q4 2021 13F Holdings: Which Stocks Have Changed Hands?

Have you been keeping an eye on EMS Capital LP's investments? The recently released Q4 2021 13F holdings report from the firm offers an exciting insight into the changes in their holdings from the previous quarter. In this blog post, we will take a deep dive into significant changes the fund has made and analyze why these shifts might have occurred.

Introduction:

EMS Capital LP is a global long-term investment firm that focuses on high-conviction investing to achieve significant returns for its investors. With a focus on emerging markets, the firm executes a long-term value investing strategy, looking for opportunities to invest in companies with exceptional growth potential.

Main Body:

META PLATFORMS INC (META)

In Q4 2021, EMS Capital LP reduced its stake in META PLATFORMS INC by 30.6%, selling 171,400 shares at a value of $59,387. This disposition lowered the firm's overall stake to 400,100 shares worth $134,574. While we don't have a clear idea of why the firm chose to decrease its holdings, this divestment aligns with the stock's trend in the market, which is down 40.91% in the last three months.

SALESFORCE COM INC (CRM)

Despite a 16.2% reduction in the number of shares EMS Capital LP owns for SALESFORCE COM INC, the firm increased its valuation of the stock from $147,245 to $123,456. Salesforce's stock performance this quarter has also been promising, with the company reporting $7.55 billion in revenue in Q3, an increase of 24% YoY, surpassing Wall Street's expectations. The reduction in shares could have been a profit-taking strategy or a way to generate capital for a new investment.

UBER TECHNOLOGIES INC (UBER)

EMS Capital LP's lack of a stake or any investment in UBER in Q3 2021 was a surprise to many. However, the fund has corrected that by investing in 685,700 shares worth around $28,751 in Q4 2021. UBER's stock price has been stable, rising by 0.38% in the last three months. Its recent expansion into the grocery delivery space and its self-driving unit's progress has likely made the stock attractive to many investors, including EMS Capital LP.

CANOPY GROWTH CORP (WEED.TO)

EMS Capital LP decreased its stake in CANOPY GROWTH CORP by 37.2% and sold put options for 251,600 shares in Q4 2021. The fund's valuation decreased from $3,488 to $2,189, revealing a lack of confidence in the firm's future growth potential. The company's achievement of earnings per share - $4.59 - was above the predicted value of $0.21 in Q2, leading to an optimistic growth forecast. However, increasing regulatory depreciation costs (including a Canadian Vapor Excise Tax) and a direct-to-consumer shift in the industry could raise concerns among the investors.

Conclusion:

EMS Capital LP's Q4 2021 13F holdings report gives industry enthusiasts an inside look into an emerging markets-focused fund's investment strategy. While some stocks were bought or kept, few were sold off or remain uninvested as per the previous quarter. Before you invest in any of these stocks, you need to do your due diligence and investigate why EMS Capital LP made these trades. But based on our analysis, we hope that some of the insights we've provided can prove helpful in making informed investment decisions.