ClearBridge Investments, an investment management firm, published its “All Cap Growth Strategy” fourth quarter 2021 investor letter – a copy of which can be downloaded here. The ClearBridge All Cap Growth Strategy underperformed its Russell 3000 Growth Index benchmark in the fourth quarter. On an absolute basis, the Strategy generated gains across seven of the eight sectors in which it was invested (out of 11 sectors total). The primary contributors to performance were the IT and health care sectors while the sole detractor was the communication services sector Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.
ClearBridge All Cap Growth Strategy, in its Q4 2021 investor letter, mentioned PayPal Holdings, Inc. (NASDAQ:PYPL) and discussed its stance on the firm. Founded in 1998, PayPal Holdings, Inc. (NASDAQ:PYPL) is a San Jose, California-based financial technology company with a $141.9 billion market capitalization, and is currently spearheaded by its CEO, Dan Schulman. PayPal Holdings, Inc. (NASDAQ:PYPL) delivered a -35.38% return since the beginning of the year, while its 12-month returns are down by -51.87%. The stock closed at $121.86 per share on April 04, 2022.
Here is what ClearBridge All Cap Growth Strategy has to say about PayPal Holdings, Inc. (NASDAQ:PYPL) in its Q4 2021 investor letter:
“PayPal, a platform and provider of digital and mobile payment services through brands including Venmo, enhances our exposure to digital payments, e-commerce, and fintech; nascent markets with penetration rates accelerating globally. The pandemic pulled forward the growth of digital payments, which was further accelerated by PayPal’s entrance into cryptocurrency and buy now, pay later (BNPL). Shares recently declined 40% from their 52-week high due to competitive concerns and disruptions to consumer spending, providing an attractive entry point. PayPal is trading at its pre-pandemic multiple while its long-term growth drivers remain intact and it has increased innovation at both Venmo and core PayPal, adding new experiences around shopping and investing that we expect to positively contribute to growth in users and average revenue per user over the next five years.”
Our calculations show that PayPal Holdings, Inc. (NASDAQ:PYPL) ranks 14th on our list of the 30 Most Popular Stocks Among Hedge Funds. PayPal Holdings, Inc. (NASDAQ:PYPL) was in 110 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 123 funds in the previous quarter. PayPal Holdings, Inc. (NASDAQ:PYPL) delivered a -36.25% return in the past 3 months.
In March 2022, we also shared another hedge fund’s views on PayPal Holdings, Inc. (NASDAQ:PYPL) in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.
Disclosure: None. This article is originally published at Insider Monkey.
