- Jumia (NYSE:JMIA) just reported Q1 earnings
- Shares of JMIA stock closed higher by more than 30%
- These five investors will benefit from Jumia’s success
Shares of Jumia (NYSE:JMIA) closed higher by more than 30% after the e-commerce company reported its Q1 earnings. For the quarter, active customers totaled 3.1 million, up from 2.4 million year-over-year (YOY). On top of that, gross profits grew by 13% YOY to $27.7 million.
Additionally, the company announced a focus on profitability. While Jumia ramped up marketing investments in Q1, it did so at a slower pace. The co-CEOs stated, “We are executing on our strategy with discipline and consistency.”
With that in mind, let’s take a look at five institutional investors betting big on the African e-commerce company.
Big Investors Betting on JMIA Stock: Baillie Gifford
Baillie Gifford is the largest shareholder of JMIA stock with a position of 9.98 million shares, which is equivalent to a 10.1% stake. During Q1, the investment firm purchased an additional 66,952 shares. Baillie first purchased shares of the company during Q2 of 2019, which is when Jumia had its initial public offering (IPO).
Morgan Stanley (MS)
Morgan Stanley (NYSE:MS) is the second-largest shareholder of JMIA, with a 2.21 million share position, or a 2.2% stake. Like Baillie, the investment bank first purchased shares during Q2 of 2019. In addition, Morgan Stanley has an average holding period of 32.57 quarters, or just over eight years. This suggests that the bank sees long-term upside for Jumia.
Big Investors Betting on JMIA Stock: Renaissance Technologies, Jim Simons
Legendary quant hedge fund Renaissance Technologies, run by Jim Simons, is the third-largest shareholder of Jumia. First purchased during Q4 of 2020, Renaissance currently owns 1.33 million shares. The hedge fund has an average holding period of 13.57 quarters, or 3.4 years. During Q1, Renaissance purchased 121,126 shares of JMIA.
Point72, Steve Cohen
Acclaimed investor Steve Cohen and his hedge fund, Point72, own 647,800 shares of JMIA, which implies 0.65% ownership. During Q1, Point72 purchased an additional 342,017 shares, more than doubling its existing position. In addition, the hedge fund also owns 1,500 call options on Jumia, which remained unchanged during Q1.
Point72 is known for holding hundreds of positions, and Jumia has a 0.02% portfolio allocation, making it the fund’s 647th largest position.
Big Investors Betting on JMIA Stock: Citadel Advisors, Ken Griffin
As of Q1, Ken Griffin’s Citadel Advisors owns 665,998 shares of JMIA, making it the eighth-largest shareholder. However, Citadel reduced its position by 352,077 shares during the quarter. Citadel also owns 6,648 call options, which was reduced by 5,280 call options during Q1. The hedge fund is long-term oriented and has an average holding period of 16.7 quarters, or just over four years.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.