Can Zillow Inc (Z) Be Bought On The Dip As Its CFO Parts Ways With The Company?

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What does the smart money think about Zillow Inc (NASDAQ:Z)?

Among the funds tracked by Insider Monkey, Chase Coleman‘s Tiger Global Management had the largest position in Zillow Inc (NASDAQ:Z) at the end of March, with around 3.5 million shares worth close to $359.3 million, amounting to 3.9% of its total 13F portfolio. Coming in second was OZ Management, led by Daniel S. Och, which held around 950,000 shares estimated at $95.4 million at the end of the first trimester; 0.3% of its 13F portfolio was allocated to the stock. Philippe Laffont‘s Coatue Management, David E. Shaw’s D E Shaw, and Robert Pitts‘ Steadfast Capital Management also held valuable positions in the stock on March 31.

As one would reasonably expect, key smart money managers opened up fresh positions in Zillow Inc (NASDAQ:Z). John Thaler‘s JAT Capital Management led the bull’s race by buying around 430,000 shares of the company during the first trimester. On the contrary, John Burbank‘s Passport Capital sold all of its 430,000 shares of the company during the same period. A few hedge fund managers, like Daniel S. Och of OZ Management, sold a small part of their holding in the company during the January – March period.

Hedge fund interest has been relatively neutral of late, and that is consistent with a company going through a transition phase; some will stick by it, while others will jump ship. However, as the stock is trading lower due to the news about its CFO’s departure, which we feel may be slightly overblown, we recommend buying Zillow on the dip.

Disclosure: None

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