5 Stocks to Invest In According to Joshua Kushner’s Thrive Capital

4. Vimeo, Inc. (NASDAQ:VMEO)

Thrive Capital Stake Value: $105,117,000
Percentage of Thrive Capital’s 13F Portfolio: 9.88%
Number of Hedge Fund Holders: 34

Vimeo, Inc. (NASDAQ:VMEO), based in New York City, is an American video hosting, sharing, and services platform provider. Joshua Kushner’s Thrive Capital is the most significant stakeholder of Vimeo, Inc. (NASDAQ:VMEO), with 5.85 million shares worth $105.12 million.

After Vimeo, Inc. (NASDAQ:VMEO)’s Q4 earnings miss, Truist analyst Youssef Squali trimmed his price objective to $22 from $36 and maintained a Buy rating on February 14. Vimeo, Inc. (NASDAQ:VMEO) announced a $7.6 million adjusted EBITDA loss for the fourth quarter of 2021 on February 9, compared to $0.7 million in the fourth quarter of 2020. Revenue over the period came in at $106.1 million, up 26.6% YoY.

At the end of the fourth quarter of 2021, 34 hedge funds in the database of Insider Monkey held stakes worth $271.63 million in Vimeo, Inc. (NASDAQ:VMEO), down from 36 in the preceding quarter worth $465.30 million.

Alphyn Capital Management, an investment management firm, in its second quarter 2021 investor letter, discussed its stance on Vimeo, Inc. (NASDAQ:VMEO). Here is what the fund said:

“Clients will notice a new ticker, VMEO, on your brokerage statements following its spin-out from IAC. I profiled IAC’s companies, including Vimeo, in some detail last year. The pandemic accelerated the use of video by both enterprises and small businesses, and I believe this will continue given the high engagement that video generates. The most recent numbers bear this out: May revenues rose 42% from a year earlier while subscriber base and average revenue per user increased 18%. With its comprehensive set of tools to make video creation more accessible, Vimeo has a great opportunity to capture a share of this growth. It further benefits from an attractive customer acquisition funnel – 65% of Fortune 500 enterprises have at least one self-serve Vimeo subscription (with ARPU6 of $250). The company is building out its sales team to help upsell these into enterprise accounts (with ARPU of $12,000). Finally, by buying IAC shares ahead of the spin, we received a long-term, high-growth SAAS “call option” at a much more palatable valuation than the current 20x price-to-sales. Historically, it has been very rewarding to hold onto IAC spins…”