Altimeter Capital Management is a hedge fund with 17 clients and discretionary assets under management (AUM) of $17,950,309,162 (Form ADV from 2022-05-27). This lack of focus and fitness is obscured when growth is easy but deadly when growth slows and technology changes. See here for a complete list of exchanges and delays. effective risk management for all users of derivative products. They may never get back to the levels at which they traded before. 16,839 Followers. FREE Breaking News Alerts from StreetInsider.com! Altimeter Capital Management, LLC a Portfolio Activity as reported in the most recent 13F form published on Dec 31, 2022. But I am confident these companies like Snowflake, like Uber, like Facebook are going to be worth more than they are today at significantly more if you look out two years. We simply wanted to further engage and continue sharing our thoughts as an interested shareholder. March 8, 2016
He said a 20% cut in employee spending would take Meta back to the levels of staffing it had last year and argued that the company can't spend as it used to since the cost of capital and interest rates have risen recently. As you know we entered the year with a big bond short, we've now covered that bond short because we don't think that it's possible for the Fed to raise rates 7,10, 12 times as some people think this year. At the same time that Meta ramped up spend, you lost the confidence of investors. WAPNER: So let me talk about your overall exposure if I if I could because by last December, you had said you had taken most of your your shorts off and your long exposure was back up to 70%. Altimeter LLC. Why 20%? Bill McColl has 25+ years of experience as a senior producer and writer for TV, radio, and digital media leading teams of anchors, reporters, and editors in creating news broadcasts, covering some of the most notable news stories of the time. Brad, thank you. Perhaps it was the re-naming of the company to Meta that caused the world to conclude that you were spending 100% of your time on Reality Labs instead of AI or the core business. Chicago, IL 60606
Meta changed its company name from Facebook to better focus on its VR hardware and software and is spending $10 billion per year on the technology. "In addition, people are confused by what the metaverse even means," Gerstner wrote. It takes effect in 2023.
Altimeter Capital Management, - GuruFocus.com Meta Platforms, which is set to report third-quarter results on Wednesday after markets close, declined to comment. WAPNER: I wanna, I want to take a break and get into some of those names of all four but before I do that lastly, you mentioned very interestingly that you've taken your bond short off. Do they want to stand with me and ride that out? The lagging stock price under this Board's control and supervision directly reflects substantial underperformance in terms of operational reliability, customer satisfaction, market share, profitability, and return on invested capital. Its competitor or not its competitor, its closest comp in Southeast Asia Sea Limited is also down over 70%. Ro $500.0M. We have $130 oil and $6 gas at the pump. Background [ edit] In 2008, Brad Gerstner founded Altimeter Capital in Boston, Massachusetts.
", Jitesh Ubrani of market research firm IDCpointed outthat Meta's year-over-year VR shipments plunged 93% in the fourth quarter, while those of Pico from rival ByteDance rose 110%. browser. Accept. To read full story, subscribe to ET Prime, Billed annually at Unlock your 30 days free access to ETPrime now. Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. [2] The firm focuses on technology investments in both public and private markets globally. Those three companies are all down that amount because it turns out that this year people got off their couch, they went out and they went to restaurants and they went in and did things instead of buy things. +Includes DocuBay and TimesPrime Membership. This is a company that only did 1.2 billion in revenue last year. In preparation for its first-ever mass tournament, Chronos will feature a fantasy-theme RPG with the potential to earn prizes and a chance to win based on the classes of playable .
Kevin Wang - Forbes Board of Directors c/o Chairman Henry L. Meyer III United Continental Holdings, Inc. .
SEC.gov | HOME That's what makes markets.
They're building their own ad platform, right, that can deal with this.
Altimeter SPAC Has Reported $40 Billion Deal for Ride-Hail Company Grab Bill Ackman's: Pershing Square Capital Management. Meta reported in February that Reality Labs lost $13.72 billion in 2022. As such, we think during this period of growth transition and economic uncertainty, the company should decrease capex by at least $5B and maintain this discipline until revenues re-accelerate bringing our capex as a percentage of revenue more in line with our large cap peers. So we believe not only you're going to get dramatically accelerated earnings, right, we think they're going to be a little bit more cautious about how they're spending those meta investment dollars, how they're spending dollars across the business. On Oct. 11, Meta announced a new high-end VR headset, the Quest Pro. As you know, Altimeter Capital Management and PAR Capital Management are long-term United Continental Holdings, Inc. ("United") stockholders that together own approximately 7.1% of United's outstanding common stock.
Roblox Raises $520M led by Altimeter Capital and Dragoneer Investment Altimeter Capital Management LP now owns 2,850,000 shares of the Internet company based in Singapore's stock worth $131,784,000 after purchasing an additional 1,600,000 shares during the last quarter. According to Hedge Follow, it was authored by Brad Gerstner, CEO and founder of technology investment firm Altimeter Capital.
United has a Clear Record of Sustained and Substantial Underperformance: Despite premier, industry-leading strategic assets such as significant scale advantages, strong brand recognition, hubs in key business markets, and membership in the largest global airline alliance United has been the worst-performing U.S. airline stock over the last five years. The company explained that its goal has always been to "create hardware that's affordable for as many people as possible to take advantage of all that VR has to offer." I don't think the Fed is going to throw away two years' worth of work to try to avoid a recession in a election year and run us straight into the teeth of a recession while we're trying to fight a war in Europe. will trigger a new window or tab to open. We're withdrawing trillions off the Fed's balance sheet. We know they have high EBITDA margins on the rideshare business which is dominant across the region. But remember, Facebook's not just sitting there with his hands in the air saying oh my goodness, what can we do in a world where Apple wants to flex its monopolistic muscle and steal all of our advertisers. You do, you do great work, excited for the new show and let's stay after it. In fact, in the most recent quarter, they added 1.4 billion of contracted value. We know Meta has more reach, more relevance, and more incredible opportunities for growth than almost any platform on the planet. Round: Series D Description: Ro is a telehealth startup that operates digital health clinics for men's and women's health, along with smoking cessation. Meta stock is down over 61% in 2022. It can compound its earnings and this that and the other but I need to know can it get back to that level. Drew Angerer | Getty Images News | Getty Images, Meta needs to focus on its core business, not the Metaverse, says Sand Hill's Brenda Vingiello. The bet . It's a better version of Messenger. And Meta certainly has abundant financial resources to invest and / or return to shareholders. Copyright 2023 Bennett, Coleman & Co. Ltd. All rights reserved.
Altimeter Capital - Portfolio - Index See here for a complete list of exchanges and delays. David Einhorn's: Greenlight Capital. All rights reserved.
Grab to list in US via $40 bln merger with Altimeter Growth After all, why not hire more people and invest in more things when the cost of capital was near zero and growth seemed unlimited? And we've had government intervention of the magnitude. Nov. 16, 2021 at 2:38 p.m. Meta.
Meta investor Altimeter Capital urges Mark Zuckerberg to slash jobs The letter is the latest sign that Meta investors are starting to express reservations about the company's recent performance. Some companies require tremendous capex investment to maintain their existing business. Ultimately, Gerstner said, Meta has too many people and is spending too much on capital expenditures. Meta needs to re-build confidence with investors, employees and the tech community in order to attract, inspire, and retain the best people in the world. Moreover, I am a strong supporter of founder-led companies especially when they have your successful track record of seeing the future. They're fearful about the war. 15 I don't think there's any chance that the Fed is going to raise rates 10 times this year. The stock today hit a new low under $3. As you know, we have attempted to work collaboratively with the current Board to meaningfully improve governance, Board composition, and oversight. This is expected to facilitate trade as the West ratchets up sanctions on Russia. Learn the pros and cons of crowdfunding. As such, we think Meta company should cap its metaverse investments to no more than $5B per year with more discrete targets and measures of success, as opposed to todays much more ambitious and open-ended strategy. Look at another one that I know is in your book or at least it was Roblox is down 74% from its 52-week high. The cumulative benefit of the recommended adjustments outlined above would increase FCF by at least $20B in 2023 ($10B from people-related expense reduction, $5B from capex reduction, and $5B from reduced metaverse spend). Brad Gerstner, Founder and CEO of Altimeter Capital; former board member of Orbitz Worldwide;
FalconX Raises $210M Following 30x YoY Revenue Growth; Now Valued at $3 There isnt a day that goes by where I dont find myself using Metas products to communicate, to connect, and to entertain still amazed at the power of these services. Musk Made a Mess at Twitter. Amazon Is Closing Its Cashierless Stores in NYC, San Francisco and Seattle, Amazon Pauses Construction on Second Headquarters in Virginia as It Cuts Jobs, Stock Traders Are Ignoring Blaring Bond Alarms, iPhone Maker Plans $700 Million India Plant in Shift From China, Russia Is Getting Around Sanctions to Secure Supply of Key Chips for War.
Capitalization Rules-A Quick Guide | Grammarly Conforti plans to join a new firm as a co-founder with former Whale Rock Capital Management partner Kristov Paulus, said one of the people, who asked not to be identified because the information is private. The most comprehensive solution to manage all your complex and ever-expanding tax and compliance needs. But admittedly, you know, nights like tonight we'll we'll get we'll catch a little less sleep. [3] We're not in the business of being long or short bonds generally I'd put them on as a hedge against our growth exposure. Brad Gerstner
I think you're gonna see monetization gains against IDFA and either way we lap that issue in Q3 and Q4. 2550 Sand Hill Road, Suite 150. So I am very unhappy because I've lost money on the deal. You would simply do R&D quietly and investors would focus on the core business and the breakthroughs in AI. I can't tell you what's going to happen the next three days or the next three weeks or even three months. All Rights Reserved. WAPNER: We're back now with Altimeter Capital's Brad Gerstner hanging out with us at "Overtime" today, You know, we talked about the magnitude Brad by which some of these stocks have come down and I'm looking at the, listen, it's not just Meta, obviously. Think about this, Scott. United Urgently Needs a Course Correction: United's stockholders, customers, and employees deserve better Board governance, better Board leadership, and better Board performance. Altimeter Capital Management LLC. We also believe Metas investment in AI will lead to exciting and important new products that can be cross-sold to billions of customers. An estimated $100B+ investment in an unknown future is super-sized and terrifying, even by Silicon Valley standards. Remember last year they gave a guide at the beginning of the year they're going to grow at 80%. Altimeter Feb 2021 - Present2 years 2 months New York, United States Chris is a Partner at Altimeter on the private investing team where he focuses on investing in iconic late stage technology. As a result, the team hastily pivoted the company toward the metaverse including a surprise re-naming of the company to Meta. Altimeter Capital owns about 2.46 million Meta shares. In fact, we distributed over $6 billion worth of Snowflake to our venture investors last year. . But it's good to be here and and you know, while I think we we did see the normalization and multiples as a likely outcome toward the end of last year. So, it doesn't surprise me at all that buyers are on the sidelines and that sellers and short sellers are having a field day with stocks. This is a leading internet company in Southeast Asia. ISDA is a registered trademark of the International Swaps and Derivatives Association, Inc. To accomplish this goal, we recommend a three step plan that will double FCF to $40 B per year and focus the companys teams and investments: Getting Fit Headcount Reduction / Expense Control. I have spent over 20 years investing behind some of the worlds great founders who are helping to invent the technologies that move the world forward. How big are the margins, ultimately Snowflake will be worth a lot more because there is almost endless demand for the product and this is a business that is highly profitable. How many dogs want to eat the dog food? Where's your exposure today? Will His AI Plans Be Any Different? ET on GuruFocus.com Builders Union LLP Buys AppLovin Corp, Match. He defied expectations and made profits on Priceline, Expedia, Uber, Twilio, and Hubspot. A securities lawyer, Brad Gerstner graduated from HBS in 2000 and joined General Catalyst. We'll see you soon. To experience the full functionality of the ISDA website, it is necessary to enable Javascript in your Capital October 20, 2022 Risk & Capital. We've never seen on the order of magnitude of the Marshall Plan at the beginning of COVID. Activist investor Brad Gerstner, founder and CEO of tech-focusedhedge fundAltimeter Capital, sent anopen letterto CEOMark Zuckerbergin October calling for a pullback in metaverse spending. So first, you need to understand why did we see a deceleration of revenue because that informs why we're going to see a reacceleration in the back half of this year. Superficial change in panicked response to rigorous scrutiny is hardly noble or a basis for stockholders to have confidence in your judgment. There is no doubt that doubling annual FCF will improve share price. Reuters, the news and media division of Thomson Reuters, is the worlds largest multimedia news provider, reaching billions of people worldwide every day. Neither Altimeter, nor any of its affiliates or personnel, offers investment advisory services via the internet. That's the asymmetry. The changes for the Quest 2 begin Sunday, March 5. "Meta needs to re-build confidence with investors, employees and the tech community in order to attract, inspire, and retain the best people in the world," Gerstner wrote in the letter. That could in fact become a tailwind as we get to the back half of the year. Those decisions include slashing expenditure and reducing headcount, the CEO of Altimeter Capital told Meta founder Mark Zuckerberg in an open letter. So we've taken up our exposure, we've consolidated behind our five or six best ideas, we don't run leverage and so the bet for our LPs, I'm the largest LP in the fund. b***@altimeter.com. Credit Derivatives Determinations Committees, how to enable At first glance, the rules of English capitalization seem simple. It is a poorly kept secret in Silicon Valley that companies ranging from Google to Meta to Twitter to Uber could achieve similar levels of revenue with far fewer people. And then take that part of the world. Meta and other large companies have made it very difficult for start-ups to hire. About Altimeter Capital Altimeter is a global investment firm managing both public and private funds focused on the airline, travel, technology, internet, software, and consumer sectors. Their last reported 13F filing for Q4 2022 included $3,652,571,000 in managed 13F securities and a top 10 holdings concentration of 99.95%. Of course, a company that connects nearly three billion users on phone and text must be investing in the next generation of communication. . Your Reason has been Reported to the admin. I'm going to own these companies, there are a handful of select companies that are free cashflow positive that are going to be worth more in the future. In fact, our internet stock index is at a 10-year low and software is back nearly where we were in 2016 before the rerating of software occurred. With all of this said, we truly believe that the company should be making some of these important investments.
Grab's SPAC Vehicle Altimeter Near Record Low After 28% Dive Louis Bacon's: Moore Capital Management. Moreover, Meta has industry leading capabilities in key future technologies like artificial intelligence and immersive 3d that will help drive new products and future growth. In Q1 of 2021, everybody was sitting on their couch. JavaScript in your web browser. But the company's dreams have fallen short as the Reality Labs unit, which works on augmented and virtual reality, has continuously reported staggering losses.
Altimeter was founded in 2008 and is headquartered out of Boston, Massachusetts. We hereby appoint ISDA as our agent for the limited purposes of the Protocol Agreement and accordingly we waive, and hereby release ISDA from, any rights, claims, actions or causes of action whatsoever (whether in contract, tort or otherwise) arising out of or in any way relating to this Adherence Letter or our adherence to the Protocol Agreement or any actions contemplated as being required by ISDA. We dont have any demands. And Meta certainly has abundant financial resources to invest and / or return to shareholders. Whatever the reason, that is certainly the perception. Altimeter Capital is an American investment firm based in Boston, Massachusetts and Menlo Park, California. We have little doubt investors and others would happily support scaling up these investments as the ROI becomes more tangible even if still long-term. If you have a two-to-three-year time horizon, there is no doubt there are a lot of stocks that are going to be up well over 100% off this bottom. United has an Underqualified, Ineffective, and Entrenched Board: While presiding over United's stunning long-term underperformance, we believe that the incumbent Board (and a majority of the newly-expanded 15-person Board): (1) lacks sufficient leadership, expertise, and experience to challenge management and hold management accountable, to direct an operational and financial turn-around, and to maximize stockholder value; (2) has entrenched itself by implementing various mechanisms to financially penalize stockholders for making meaningful Board changes; (3) has failed to adequately align management compensation with stockholder interests; and (4) is too stale to effectively represent stockholders. Altimeter is focused on technology investment, and has found multi-billion-dollar success.
United Stockholders Altimeter Capital and PAR Capital Express Southeast Asian Superapp Grab Could Set SPAC Record GERSTNER: So, Scott that you know the top six names in our book are all companies that we believe are, you know, both accelerating, expanding margins, expanding free cash flow margins, right, and that are critically important and will be worth more in the future. As such, we would encourage the company to move aggressively and cut at least 20% of employee-related expenses by January 1, 2023. We didn't think that was durable. Grab Holdings is reportedly in talks to go public through a merger with a "blank check" company that could value the Southeast Asian ride-hailing startup at as much as .