Hedge funds are cozying up to Uber but snubbing Lyft
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Heidi Gutman/CNBC/NBCU Photo Bank via Getty Images Kenneth C. Griffin, Citadel Founder and Chief Executive Officer, at the CNBC Institutional Investor Delivering Alpha conference July 18th in NYC
Some of the world's largest hedge funds snapped up shares of Uber in the second-quarter following the ride-hailing giant's initial public offering.
But investment managers weren't feeling as optimistic about the company's biggest competitor, Lyft, in the second quarter, regulatory filings show.Still, no positions in Lyft were drastically increased in the second quarter by big league managers while Uber saw plenty of activity.
Viking Global Investors, a Connecticut-based fund with roughly $34 billion in assets under management, was one of the largest buyers in the quarter. The fund bought 13.37 million shares of Uber worth about $620 million, according to regulatory filings. It owns no shares of Lyft.Other funds bought up plenty of smaller stakes. Stanley Druckenmiller's Duquense Family Office bought 2.69 million shares of Uber, worth $124.8 million, its filings show, while D.E. Shaw bought 512,587 shares of Uber worth $17.3 million at today's prices, according to its Form 13F filed Wednesday. The fund also owns 1.7 million shares of Lyft, worth about $90 million.
Lyft, however, saw many funds trim their positions as the stock fell about 30% from its initial trading prices.
Eminence Capital, a smaller fund with roughly $8 billion under management, meanwhile, exited its Lyft position, selling 830,000 shares - worth $in the second quarter. Overall, 138 funds closed or reduced their Lyft positions in the quarter, while 193 added to or created new stakes in the company, According to Whale Wisdom.In total, hedge funds trimmed their shares of Lyft by about 11%.
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