Elite Hedge Funds Believe These Two Stocks Are Golden Opportunities

Let’s now provide a brief introduction to the other investment firm discussed in this article. Tiger Global Management is a fundamentally-oriented investment firm started by Tiger Cub Charles Coleman in 2001 with $25 million in seed money from the Tiger himself, Julian Robertson. The investment firm specializes in long/short equity investing and employs a fundamental analysis approach. Tiger Global Management oversees a relatively concentrated equity portfolio with a market value of $9.78 billion as of June 30, with its top ten holdings accounting for roughly 80% of the firm’s portfolio value.

Pure Storage Inc. (NYSE:PSTG) is a provider of enterprise data storage platforms which had its initial public offering earlier this month. The company offered 15 million shares of its Class A common stock at an IPO price of $17.00 per share. Additionally, the company offered greenshoe options to purchase up to 3.75 million Class A shares. Since we mentioned both Class A and Class B common stock, it is worth pointing out that the rights of the holders of these two types of stock are identical except with respect to voting and conversion. Each share of Class A common stock is entitled to one vote, while each share of Class B common stock is entitled to ten votes. The company’s innovative technology substitutes storage systems designed for mechanical disk with all-flash systems. When it comes to the future growth potential of Pure Storage, the global spending by companies on external storage hardware is anticipated to increase to $27 billion in 2018 from $24.2 billion in 2014. Therefore, Pure Storage believes that drive flash is set to become the leading form of enterprise storage, so it appears that the company is well-positioned to benefit from the current opportunities within its industry. Let’s not forget to mention that the shares of Pure Storage are currently trading 11% above their IPO price, which might point to the fact that the market believes in the future prospects of the company.

Stanley Druckenmiller’s Duquesne Family Office LLC disclosed owning 1.6 million shares of Pure Storage Inc. (NYSE:PSTG) through a recently-filed 13G with the SEC.

Disclosure: None