As per Potrero Capital Research’s most recent 13F filing with the Securities and Exchange Commission for the reporting period of June 30, the fund added nine companies to its portfolio in Q2, has raised its position in 12 stocks, lowered its stake in nine, and dumped 16 companies.
The fund’s largest stake is in Social Capital Hedosophia Holdings Corp. (IPOA), counting 816,865 shares, unchanged from the previous quarter and worth around $8.21 million on June 30. The second-biggest position the fund held was Zayo Group Holdings Inc. (ZAYO), after raising the position by more than any other during the second quarter, by 158% to 193,000 shares valued at $7.04 million.
The biggest new addition to the fund’s portfolio was a position in a software-related company that went public in March 2018, Zuora Inc. (ZUO). Potrero Capital Research was one of 15 smart money investors from our database who liked what they saw from Zuora’s (ZUO) public offering. The fund obtained 149,357 shares worth around $4.06 million in the second quarter. The next largest new position of the fund was in Skechers Usa Inc (SKX), in which it acquired 134,915 shares. It seems that the hedge funds tracked in our system are slowly losing interest in Skechers Usa Inc (SKX), considering that at the end of June there were 24 investors long the stock, versus 30 a quarter earlier. Seeing less optimism for this stock, it can be questioned whether this was a smart investment move for Potrero Capital Research.
The fund is seriously losing interest in Box Inc (BOX) and Channeladvisor Corp (ECOM), as it decreased its positions in them by 84%, and 99%, respectively. Among the companies in which Potrero Capital Research completely lost optimism and decided to sell its positions in Q2 were Workiva, Inc. (WK), Avaya Holdings Corp. (AVYA), Lululemon Athletica inc. (LULU), and Okta, Inc. (OKTA), to name a few.