Jackson Peak Capital, an investment management firm, released its first-quarter 2026 investor letter. Jackson Peak Capital employs a concentrated long/short equity approach to deliver strong absolute returns across various market conditions. A copy of the letter is available to download here. In Q1 2026, Jackson Peak returned -21.0%, net, in a challenging environment. The underperformance in Q1 was driven by an increase in tech exposure, adverse movements in certain positions, and the lack of expected catalysts. The ACWI returned -2.2%, and the HFRX Equity Hedge Index returned -1.5% during the same time. The firm expects a strong Q2 start as AI acceleration and easing geopolitical tensions favor positions. At Q1’s end, net exposure was 36%, up from 25% from Q4’s end, with confidence in AI infrastructure, energy, compute, data center buildout, and event-driven positions. In addition, please check the fund’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Jackson Peak Capital highlighted Zoom Communications, Inc. (NASDAQ:ZM). Zoom Communications, Inc. (NASDAQ:ZM) is a leading US-based technology company that offers an Artificial Intelligence-first open work platform for human connection. On June 1, 2026, Zoom Communications, Inc. (NASDAQ:ZM) closed at $111.62 per share. One-month return of Zoom Communications, Inc. (NASDAQ:ZM) was 1.19%, and its shares gained 36.33% over the past 52 weeks. Zoom Communications, Inc. (NASDAQ:ZM) has a market capitalization of $32.73 billion.
Jackson Peak Capital stated the following regarding Zoom Communications, Inc. (NASDAQ:ZM) in its Q1 2026 investor letter:
“Zoom Communications, Inc. (NASDAQ:ZM) was a contributor as an event-driven trade. We initiated the position to capture a re-rating driven by ZM’s stake in Anthropic and the significant ramp in Anthropic’s ARR and valuation during the quarter. The position had attractive downside protection given ZM’s execution, valuation, and the discount the market was applying to the Anthropic stake.”
Zoom Communications, Inc. (NASDAQ:ZM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 60 hedge fund portfolios held Zoom Communications, Inc. (NASDAQ:ZM) at the end of the first quarter, up from 57 in the previous quarter. In the first quarter of fiscal 2027, Zoom Communications, Inc.’s (NASDAQ:ZM) total revenue grew 5.5% year-over-year to $1.24 billion or 4.6% in constant currency. While we acknowledge the risk and potential of Zoom Communications, Inc. (NASDAQ:ZM) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Zoom Communications, Inc. (NASDAQ:ZM) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Zoom Communications, Inc. (NASDAQ:ZM) and shared the list of best enterprise software stocks to buy. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
