Dan Loeb, the billionaire activist investor, founder, and CEO of Third Point LLC disclosed that one of his latest winning investments is Snowflake (NYSE: SNOW), a cloud computing company that went public in mid-September.
Snowflake is part of Loeb’s Third Point Offshore Fund, which had $6 billion in assets under management (AUM) as of September 30, 2020. The fund achieved an 11.7% gain quarter-to-date and 3.6% gains year-to-date.
Loeb joined Warren Buffett and Marc Benioff, whose companies, Berkshire Hathaway (NYSE: BRK.A, BRK.B) and Salesforce.com (NYSE: CRM) made significant investments in Snowflake’s IPO.
It is uncertain as to when Loeb acquired and how big is his stake in the cloud computing company. One thing is for sure, Buffett and Benioff profited big time. Snowflake shares surged 111% during its market debut. This week SNOW traded between $227 and $251 per share.
Snowflake is a natural fit for Loeb’s portfolio
Based on Loeb’s portfolio, Snowflake is a natural fit as Third Point also owns stakes in other tech companies including Alibaba Group Holding Ltd (NYSE: BABA), Amazon.com, Inc (NASDAQ: AMZN), Adobe Inc (NASDAQ: ADBE), and Facebook Inc (NASDAQ: FB).
