Billionaire Investor Dan Loeb’s Third Point held about $783 million in Alphabet Inc. (NASDAQ:GOOGL) (NASDAQ:GOOG) and Amazon.com Inc. (NASDAQ:AMZN) as of June 30, and both stocks sank this week as earnings rattled investors.
According to its 13F filing, a quarterly report of investment holdings that must be submitted to the Securities and Exchange Commission within 45 days of the end of each quarter, Third Point held 1.75 million Amazon shares worth $417.1 million and 1.025 million Alphabet shares worth $366.3 million as of June 30.
Only Warner Bros. Discovery Inc., a new $533.2 million stake, was bigger than either. Together, the two tech stocks made up roughly 17% of the fund’s portfolio.
Alphabet Q3 Earnings: EPS Misses, Cloud Revenue Jumps 103%
Alphabet reported third-quarter results on Wednesday after the closing bell. Revenue of $127.58 billion beat estimates of $124.63 billion, a 2.37% surprise, but earnings of $2.12 per share missed estimates of $2.99, a 29.1% shortfall.
The tech giant’s Search revenue increased 12%, while cloud revenue more than doubled to $30.7 billion.
Read Also: Billionaire Activist Investor Dan Loeb's Third Point Builds 4-Stock Bitcoin-To-AI Basket
Amazon Q3 Results: Revenue and EPS Miss, AWS Grows 39%
Amazon reported its third-quarter results on Thursday after the market closed. Revenue came in at $201.94 billion, slightly below the $202.22 billion estimate, a shortfall of 0.14%. Earnings were $1.89 per share, missing the $1.97 estimate by 4.06%.
Amazon Web Services (AWS) revenue rose 39% to $46 billion, marking its fastest growth in nearly five years. However, free cash flow turned negative, with a $42.4 billion outflow over the past 12 months.
What Loeb Was Doing With Both
The two stocks were heading in opposite directions in Third Point’s portfolio. The fund trimmed its Amazon stake by 10% in the second quarter, from 1.94 million shares to 1.75 million. It held 175,000 Alphabet shares at the end of the first quarter, then added 850,000 shares in the second, a 485.7% increase.
| Company | Market Capitalization | 52-Week Range | 1-Month Performance |
|---|---|---|---|
| Alphabet (GOOGL) | $3.46 trillion | $270.70–$408.61 | -17.51% |
| Amazon | $2.63 trillion | $196.00–$287.16 | -2.15% |
Price Action: In pre-market trading on Friday, GOOGL was down 0.70% to $281.83, while Amazon shares fell 7.09% to $226.50, according to Benzinga Pro data.
See More: Top Value Stocks
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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