Billionaire Stanley Druckenmiller is Selling These 5 Stocks

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In this article, we discuss the 5 stocks that billionaire Stanley Druckenmiller is selling. If you want to read about some more stocks in the Stanley Druckenmiller portfolio, go directly to Billionaire Stanley Druckenmiller is Selling These 10 Stocks.

5. Zendesk, Inc. (NYSE:ZEN)

Number of Hedge Fund Holders: 63     

Zendesk, Inc. (NYSE:ZEN) operates as a software development firm. The European Union has set a deadline of late September to rule on the planned purchase of Zendesk by Hellman & Friedman. Last month, the latter had purchased the former and filed with Chinese antitrust regulators in this regard. In late June, the firm had agreed on a deal to acquire the software company worth around $10.2 billion, equating to $77.50 per share. Hellman & Friedman is a private equity firm. 

On July 28, William Blair analyst Arjun Bhatia downgraded Zendesk, Inc. (NYSE:ZEN) stock to Market Perform from Outperform without a price target, noting that the slowdown in the business of the firm was greater than expected.

At the end of the second quarter of 2022, 63 hedge funds in the database of Insider Monkey held stakes worth $1.8 billion in Zendesk, Inc. (NYSE:ZEN), compared to 66 in the previous quarter worth $3.2 billion.

In its Q3 2021 investor letter, Carillon Tower Advisers, an asset management firm, highlighted a few stocks and Zendesk, Inc. (NYSE:ZEN) was one of them. Here is what the fund said:

“Zendesk, Inc. (NYSE:ZEN) provides customer support software solutions. After successfully navigating the early stages of the pandemic in 2020, the firm has seen its stock cool off on the threat of increased competition from low-cost alternatives. We do not believe that the competitive dynamics have been altered. In fact, the company’s annual revenue growth rate has accelerated in 2021 from the second half of 2020. The shares also currently trade at a deep discount to other cloud-based software vendors.”

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