In this article, we discuss the 8 latest picks in Harvard University’s stock portfolio.
Managing the largest academic endowment in the world, valued at $53.2 billion and comprised of over 14,000 funds, the Harvard Management Company has been tasked with the goal to generate strong long-term results to support the educational and research goals of Harvard University since 1974. With a 33.6% return on its investments, the endowment distributed just over $2 billion toward the University’s operating budget, which represented 39% of Harvard’s annual revenue sources.
The fund was managed by Jane Mendillo since July 1, 2008, who served as the President and Chief Executive Officer of the hedge fund till 2014. Graduating from Yale University in 1984, she later earned her M.B.A from the Yale School of Management. Prior to serving as Wellesley College’s Chief Investment Officer since 2002, she served as vice president for external management at Harvard Management Company. Mendillo first joined Harvard Management Company as an equities analyst in 1987, leading to a tenure largely shaped by the financial crisis of 2007–2010. After stepping down from her position, she was replaced by N.P Narvekar in 2016.
As of the third quarter of 2021, the Harvard Management Company manages more than $1.7 billion in its investment portfolio. The primary sectors that the investment firm invests in include technology, healthcare, and financial. Some of the most notable stocks in the fund’s investment portfolio as of the end of Q3 include Apple Inc. (NASDAQ:AAPL), Meta Platforms, Inc. (NASDAQ:FB), Scientific Games Corporation (NASDAQ:SGMS) and Alphabet Inc. (NASDAQ:GOOG).
Our Methodology
Let us now take a look at the 8 latest stock picks Harvard University’s stock portfolio. The Harvard Management Company’s 13F portfolio for the third quarter was used for this analysis. Hedge fund sentiment was derived from Insider Monkey’s database of 867 elite hedge funds.
These are the new stakes of Harvard Management Company, as the firm added these names in its portfolio in the third quarter of 2021.
Harvard University Stock Portfolio: 8 Latest Stock Picks
8. Tenaya Therapeutics, Inc. (NASDAQ:TNYA)
Harvard Management Company’s Stake Value: $13.9 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.81%
Number of Hedge Fund Holders: 11
Tenaya Therapeutics, Inc. (NASDAQ:TNYA) is a California-based preclinical-stage biopharmaceutical company that is focused on discovering, developing, and delivering curative treatments and therapies that address the causes of heart disease.
On October 25, Piper Sandler analyst Yasmeen Rahimi maintained her Overweight rating and $40 price target on Tenaya Therapeutics, Inc..
Tenaya Therapeutics, Inc. is a new addition to Harvard Management Company’s Q3 13F portfolio. The fund holds over 673,270 shares of the company worth over $13.9 million. These shares represent 0.81% of the fund’s portfolio value. The company posted an EPS of -$0.68 on November 10, falling short of the estimates by $0.20.
Of the 867 elite funds tracked by Insider Monkey, 11 were long Tenaya Therapeutics, Inc. at the end of September. Eli Casdin of Casdin Capital is the leading stakeholder of the company.
Similar to Apple Inc., Meta Platforms, Inc., Scientific Games Corporation, and Alphabet Inc., Tenaya Therapeutics, Inc. is a notable stock to invest in.
7. Tango Therapeutics, Inc. (NASDAQ:TNGX)
Harvard Management Company’s Stake Value: $9.15 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.53%
Number of Hedge Fund Holders: 18
Tango Therapeutics, Inc. (NASDAQ:TNGX) is a biotechnology and precision oncology company dedicated to discovering novel drug targets and delivering the next generation of precision medicine for the treatment of patients with cancer.
On September 20, SVB Leerink analyst Andrew Berens initiated coverage of Tango Therapeutics, Inc. with an Outperform rating and $25 price target.
According to Harvard Management Company’s third quarter securities filings, the investment firm holds 708,385 shares of Tango Therapeutics, Inc., amounting to more than $9.15 million in worth and representing 0.53% of the fund’s investment portfolio. For the third quarter of 2021, Tango Therapeutics, Inc. reported earnings per share at -$0.28, in line with the estimates for the quarter. The revenue came in at $6.79 million, surpassing market estimates by $380,750.
As of Q3 2021, 18 hedge funds tracked by Insider Monkey reported holding stakes in Tango Therapeutics, Inc., worth more than $338.6 million.
6. Surrozen, Inc. (NASDAQ:SRZN)
Harvard Management Company’s Stake Value: $5.85 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.34%
Number of Hedge Fund Holders: 18
Surrozen, Inc. (NASDAQ:SRZN) is another California-based preclinical-stage biopharmaceutical company that focuses on the discovery and development of novel regenerative medicines and therapeutics for tissue repair using the specific control of the Wnt signaling pathway.
On October 11, BofA analyst Tazeen Ahmad initiated coverage of Surrozen, Inc. with a Buy rating and $11 price target. The analyst notes that if successful, Surrozen, Inc.’s modulating Wnt pathway efforts in tissue regeneration could drive “meaningful upside” to her estimates.
Baker Bros. Advisors is one of the biggest stakeholders of Surrozen, Inc. as of the end of the third quarter, according to the data tracked by Insider Monkey. Overall, 18 funds were bullish on Surrozen, Inc. by the end of the September quarter.
Just like Apple Inc., Meta Platforms, Inc., Scientific Games Corporation, and Alphabet Inc., Surrozen, Inc. is a stock that investors should take note of.
5. Rocket Lab USA, Inc. (NASDAQ:RKLB)
Harvard Management Company’s Stake Value: $16.13 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.94%
Number of Hedge Fund Holders: 26
Rocket Lab USA, Inc. (NASDAQ:RKLB) is a public American aerospace manufacturer and small satellite launch service provider that focuses on developing rocket launch and control systems for the space and defense industries.
On December 2, Stifel analyst Erik Rasmussen maintained a Buy rating and $22 price target on Rocket Lab USA, Inc. shares. Earlier this December Rocket Lab USA, Inc. announced that it has signed a definitive agreement to acquire SolAero Holdings, a premier supplier of space solar power products and precision aerospace structures for the global aerospace market, for $80 million in cash. The company also announced its deal with Japanese Earth-imaging company Synspective to carry out three dedicated Electron launches in 2022-23.
According to the third quarter securities filings, Harvard Management Company holds 1 million shares of Rocket Lab USA, Inc.. These shares are worth more than $16.13 million and account for 0.94% of the fund’s portfolio value.
Overall, 26 of the 867 elite funds tracked by Insider Monkey reported holding stakes in Rocket Lab USA, Inc.. Among these hedge funds, California-based firm Think Investments is a leading shareholder in Rocket Lab USA, Inc. with 1.35 million shares worth more than $21.87 million.
4. Pacific Biosciences of California, Inc. (NASDAQ:PACB)
Harvard Management Company’s Stake Value: $5.85 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.34%
Number of Hedge Fund Holders: 27
Pacific Biosciences of California, Inc. (NASDAQ:PACB) is an American biotechnology company founded in 2004 that develops and manufactures systems for gene sequencing and some novel real time biological observation.
On October 14, Cowen transferred coverage of Pacific Biosciences of California, Inc. to analyst Dan Brennan, who maintained a Market Perform rating and $30 price target on the stock.
Harvard Management Company held 229,144 Pacific Biosciences of California, Inc. shares by the end of the third quarter, worth $5.85 million, representing 0.34% of the firm’s portfolio. Out of the 867 hedge funds surveyed by Insider Monkey during the same time period, 27 held a stake in the company.
Among the hedge funds being tracked by Insider Monkey, Catherine Wood’s ARK Investment Management is a leading shareholder in Pacific Biosciences of California, Inc. with 22.7 million shares worth more than $580.5 million.
In its Q2 2021 investor letter, DEVON Equity Management mentioned California, Inc.. Here is what the fund said:
“As a final word on Sequencing – we established a position in Pacific Biosciences (PACB US) during the quarter. Pac Bio are the leader in Long Read Sequencing (Illumina are dominant in Short Read). The Long Read market is far less developed than short read, but our continued research into the genomic sequencing field increased our confidence in the commercial viability for Long Read Sequencing in the coming years. We will discuss the investment case for Pac Bio in more detail in a future letter.”
3. MELI Kaszek Pioneer Corp (NASDAQ:MEKA)
Harvard Management Company’s Stake Value: $11.05 million
Percentage of Harvard Management Company’s 13F Portfolio: 0.64%
Number of Hedge Fund Holders: 15
MELI Kaszek Pioneer Corp (NASDAQ:MEKA) is a Florida-based Special Purpose Acquisition Company (SPAC) that operates as a blank check company formed for the purpose of completing a merger.
Created by Mercadolibre, Inc. (NASDAQ:MELI) and Kaszek, MELI Kaszek Pioneer Corp raised $287 million after completing its IPO aimed at strengthening the Latin American digital ecosystem, closing the transaction on October 1.
As of Q3 2021, Harvard Management Company holds 1 million shares of MELI Kaszek Pioneer Corp, amounting to more than $11.05 million in worth and representing 0.64% of the investment firm’s total portfolio value.
As of the end of the third quarter, 15 hedge funds tracked by Insider Monkey reported owning stakes in MELI Kaszek Pioneer Corp. The total worth of these stakes is $98.1 million.
2. Amplitude, Inc. (NASDAQ:AMPL)
Harvard Management Company’s Stake Value: $29,000
Percentage of Harvard Management Company’s 13F Portfolio: 0.001%
Number of Hedge Fund Holders: 15
Amplitude, Inc.(NASDAQ:AMPL) is a California-based public company focused on collaborative analytics. Some of the company’s products include Amplitude Analytics, Amplitude Recommend, and Amplitude Experiment.
On December 8, Citi analyst Tyler Radke initiated coverage of Amplitude, Inc. with a Buy rating and $80 price target. The analyst states that the platform provided by Amplitude, Inc. helps companies unify complex digital product data with other proprietary and customer data sources, to improve digital products and strategic decision making.
According to Harvard Management Company’s 13F filings, the investment firm holds $29,000 worth of Amplitude, Inc. shares as of the third quarter of 2021. Of the 867 elite funds tracked by Insider Monkey, 15 were long Amplitude, Inc. at the end of September. Stephen Mandel of Lone Pine Capital is the leading stakeholder of the company.
1. Alphabet Inc. (NASDAQ:GOOG)
Harvard Management Company’s Stake Value: $163.2 million
Percentage of Harvard Management Company’s 13F Portfolio: 9.56%
Number of Hedge Fund Holders: 156
The parent company of Google and its subsidiaries like YouTube, Fitbit, Firebase, and Waymo, Alphabet Inc. is a multinational technology conglomerate holding company headquartered in Mountain View, California. The company, which ranks first on our list of the 8 latest stock picks in Harvard University’s stock portfolio, is also getting positive attention from market analysts. On December 3, Tigress Financial analyst Ivan Feinseth maintained a ‘Strong Buy’ rating on Alphabet Inc. stock, raising the price target to $3,540 from $3,185.
According to the 13F filings for the third quarter, Harvard Management Company holds 61,070 shares of Alphabet Inc, valued at $163.2 million which represents 9.56% of the fund’s overall portfolio.
Chris Hohn’s TCI Fund Management is the biggest Alphabet Inc. stakeholder as of the third quarter of 2021, with 2.95 million shares worth $7.86 billion. Overall, 156 hedge funds were bullish on Alphabet Inc. as of Q3, with total stakes amounting to almost $35 billion.
Here is what Saturna Capital Amana Funds has to say about Alphabet Inc. in its Q3 2021 investor letter:
“Alphabet was a new addition to the Fund this year, as we believed it important to have exposure to the top online media and advertising company in the world. Some have raised concerns surrounding Alphabet’s exposure to political interference, but we take comfort from the belief that were the company to be broken up, it would quite likely be worth even more than as a single entity.”
You can also take a look at Top Investors’ Stock Portfolio: 10 Mid-cap Stocks To Buy and 10 Best Tech Stocks to Buy Under $10.
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This article is originally published at Insider Monkey.
