Brazilian Billionaire Jorge Paulo Lemann Has Lost Faith in These 5 Tech Stocks

3. DoorDash, Inc. (NYSE:DASH)

Former Value of 3G Capital‘s 13F Position: $19.3 million

Number of Hedge Fund Shareholders (as of March 31): 52

3G Capital raised its stake in DoorDash, Inc. (NYSE:DASH) by 9% to 130,000 shares during Q4 but pivoted away from the company in Q1, unloading its entire position. Despite the recent turbulence among tech growth stocks, which has led to a lot of selling among hedge funds, DoorDash is one stock they haven’t lost faith in, as the number of hedge funds long DASH remained unchanged quarter-over-quarter at 52.

Fears that DoorDash, Inc. (NYSE:DASH) could be susceptible to a post-pandemic decline in consumer food ordering behavior appear to be waning, as recent data and surveys suggest more people are using food delivery platforms than ever, with spending likewise expected to increase this year compared to last. DoorDash is in a great position to capitalize on that as the leading food delivery platform in the United States, holding 59% market share.

Raymond James recently initiated coverage of DoorDash, Inc. (NYSE:DASH) sans price target, with a ‘Market Perform’ rating. The firm believes DoorDash can grow revenue at a 15% rate annually over the longer-term. However, while it has a positive outlook on the company’s fundamentals, it also believes the current risk/reward to be balanced, even in light of DASH shares being down by 53% this year.