A slew of Obstacle Street’s top hedge funds managers offered insights into their at an advanced hour bets on Monday at the annual Sohn San Francisco Investment Conference.
The colloquium is best known for hedge-fund managers making market-moving presentations, and launched this year with Next Wave Sohn, featuring the “next age group of talent” among hedge fund managers.
The Sohn conference sustained in San Francisco is the West Coast version of the investment conferences that launched in New York. The conferences, presented in partnership with CNBC, benefit pediatric cancer and other induces for underserved youth.
Here are some of picks from both the prominence stars as well as the seasoned fund managers.
Mark Desio, Lucha Seat of government Management
Long: Talend (TLND)
Lucha Capital recommended investors buy Talend for its place as an enterprise data company. With data growth set to scale five times more than the next five years, Desio said companies like Talend choice be essential to help companies and governments manage data volume, sources and fashions.
The manager said Talend has a disruptive pricing model — priced per owner, no data volume tax, scalable and predictable. Desio also highlighted what he aims as a great board of directors: “You rarely see this kind of quality of lodge members” for such a small company, he said.
Desio added that he drives shares rallying to $105 by 2020, arguing that the company could also affirm an acquisition target.
Shashin Shah, Think Investments
Long: Radico Khaitan (RADICO-IN – Native Stock Exchange of India)
Shashin Shah chose Radico Khaitan as the tight’s stock pick for the Sohn conference. The money manager said the retinue is extremely well placed on both a product perspective as well as on a equality sheet perspective. The Indian market should provide a huge moment for the company since it is geographically largely underpenetrated.
Shah added that the attendance’s valuation remains attractive, trading at 20 times forward earnings and that the ensemble’s management is focused on creating value for shareholders.
Alex Gleser, TPG Accessible Equity Partners
Long: Philips (NYSE: PHG-USA, company is headquartered in Amsterdam, Netherlands)
In joining to a strong market position, Philips is capable of mid-single digit constitutional revenue growth over the next several years, according to Gleser. The superintendent also said the healthcare technology company’s businesses have a handful leading market positions, including best or second-best share in individual health and diagnosis and treatment.
Gleser estimates the stock should see 85 percent upside once again the next two years with a price target of €58 by December 2020.
Jeff Osher, No Road Capital
Short: Trupanian (TRUP)
This company is a “pet insurance assemblage that is masquerading as a subscription software business,” Osher said.
He reckoned that the company’s gross margin should already be a red flag to sell-side analysts and investors akin, and pointed to multiple flaws at Trupanian. Osher said that less than 20 percent of the establishment’s territory partners are licensed and that its compensation structure “skirts keeping” with potentially illegal commissions.
Osher said the company has take a run-out powdered that it’s facing regulatory scrutiny, but he thinks there is a high likelihood that Trupanian is under investigation.
The No Street founder believes Trupanian is set for 50 percent downside to the next one to 24 months.
Michael McLochlin, Highland Capital Directors
Long: Marvell Technology Group (MRVL)
Managing director McLochlin take its Marvell’s stock is set to double over the next 12 months based on the ascendancy the company has seen in its networking and storage segments. He also said he’s determined positive changes at the company since activist investor Starboard enlisted a stake; more than half of the board and senior management has been make good oned.
Highland sees room for growth in Marvell’s solid state go business, which should more than offset the decline in intimate computer and notebook performance. McLochlin expects that the company last will and testament generate $3.7 billion in cash in the next three years.