Apex Capital’s Top Tech Picks For Q2

Moving on to Apex Capital’s second top tech pick, MicroStrategy Incorporated (NASDAQ:MSTR), the fund reduced its stake in the analytics company by 17% during the second quarter to 261,850 shares. As of June 30, Apex Capital’s stake in MicroStrategy Incorporated (NASDAQ:MSTR) was worth $44.54 million. Although shares of MicroStrategy Incorporated (NASDAQ:MSTR) have traded mostly in the $160-$180 range throughout 2015, they convincingly broke that range to make their 52-week high of $207.27 on July 28, backed by the solid second quarter results the company posted after the market closed on July 27. For the second quarter, MicroStrategy Incorporated (NASDAQ:MSTR) reported EPS of $1.95 on revenue of $132.94 million, which were significantly above analysts’ estimates of EPS of $1.39 on revenue of $128.84 million. With over 880,000 shares, Ricky Sandler‘s Eminence Capital was the largest shareholder of MicroStrategy Incorporated (NASDAQ:MSTR) at the end of March, among the hedge funds we track.

Cloud-based talent management software provider Cornerstone OnDemand, Inc. (NASDAQ:CSOD) was Apex Capital’s third-largest tech holding at the end of June. The fund made an additional purchase of 59,500 shares of OnDemand, Inc. (NASDAQ:CSOD) during the quarter, thereby increasing its total holding to 917,200 shares which were worth almost $32 million at the end of the first half of the year. Shares of OnDemand, Inc. (NASDAQ:CSOD) rose by 20.5% during the second quarter, fueled by the better than expected first quarter results and an increase to its full-year revenue guidance. On July 29, Needham & Company analyst Scott Berg, released a note to clients in which he reiterated his ‘Strong Buy’ rating on the stock and increased his price target to $45 from $40, which represents 27.4% potential upside from the stock’s current trading price of $35.40. For the second quarter of 2015, analysts expect OnDemand, Inc. (NASDAQ:CSOD) to report an EPS loss of $0.10, a reduction of over 66% from the EPS loss of $0.31 that it reported for the same quarter last year. Ricky Sandler’s Eminence Capital was again the largest shareholder of the company within our database at the end of March, followed by Israel Englander‘s Millennium Management.

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