5 Growth Stocks to Buy According to Jay Chen’s Himension Capital

2. Roblox Corporation (NYSE:RBLX)

Himension Capital’s Stake Value: $168.3 million

Percentage of Himension Capital’s 13F Portfolio: 16.34%

Number of Hedge Fund Holders: 49

Jay Chen’s hedge fund first initiated a position in Roblox Corporation (NYSE:RBLX) on its debut on NASDAQ in the first quarter of 2021 and lifted that position by 460% during the second quarter. The company’s growth strategy is likely to add to investors’ sentiments. The online entertainment platform reported a 127% increase in third-quarter revenue compared to the prior quarter, while free cash flows grew 70% over the same time period. 

In the second quarter investor letter, Guardian Fund, an investment management firm, stated that growth opportunities for the Roblox platform are massive.

“The wonder-tale stories of children’s books show us that there are infinite possibilities of stories and worlds. The metaverse, the idea that describes the shared 3D spaces in a virtual universe, is enabling people to create fiction. Over the past six months, we initiated a new investment in Roblox. The firm was founded in 1989 by David Baszucki and Erik Kassel when they programmed a physics lab where students could study how cars would crash.

Today, Roblox has become a leading platform with a mission to build a human co-experience that enables billions of users to play, learn, and build friendships in the metaverse. Recent advances in cloud computing, computing devices, and machine learning, enable the materialization of the metaverse. Take what we have in virtual reality today and fast-forward a few decades. Humans will be able to experience unimaginable things and in a couple of millennia virtual economies are likely to become bigger than the physical trade on planet Earth.

Over the first quarter of 2021, Roblox reported 140% revenue growth, 42.1 million daily active users, and 9.7 billion engaged hours. The opportunity for this platform is massive.”