- Jumia (NYSE:JMIA) just released its first-quarter earnings
- JMIA shares closed up more than 30%
- These five investors will benefit from the success of Jumia
Shares of Jumia (NYSE:JMIA) closed more than 30% higher after the e-commerce company reported its first quarter results. For the quarter, active customers totaled 3.1 million, compared to 2.4 million year-over-year (YOY). On top of that, gross profit rose 13% year-on-year to $27.7 million.
Additionally, the company announced that it is focusing on profitability. While Jumia increased its marketing investments in the first quarter, it did so at a slower pace. The co-CEOs said, “We are executing 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 bet on JMIA shares: Baillie Gifford
Baillie Gifford is the largest shareholder of JMIA stock with a position of 9.98 million shares, which equates to a 10.1% stake. During the first quarter, the investment company purchased an additional 66,952 shares. Baillie first bought shares in the company during the second quarter of 2019, when Jumia made its initial public offering (IPO).
Morgan Stanley (MS)
Morgan Stanley (NYSE:MRS) is JMIA’s second-largest shareholder, with a position of 2.21 million shares, or a 2.2% stake. Like Baillie, the investment bank first bought shares in the second quarter of 2019. Additionally, Morgan Stanley has an average holding period of 32.57 quarters, or just over eight years. This suggests that the bank sees a long-term benefit for Jumia.
Big investors bet on JMIA shares: Renaissance Technologies, Jim Simons
Legendary quantitative hedge fund Renaissance Technologies, headed by Jim Simons, is Jumia’s third largest shareholder. First purchased in the fourth quarter 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 the first quarter, Renaissance purchased 121,126 shares of JMIA.
Dot72, Steve Cohen
Acclaimed investor Steve Cohen and his hedge fund, Dot72, hold 647,800 shares of JMIA, implying a 0.65% stake. During the first quarter, Point72 purchased an additional 342,017 shares, which more than doubled its existing position. Additionally, the hedge fund also holds 1,500 call options on Jumia, which remained unchanged in the first quarter.
Point72 is known to hold hundreds of positions, and Jumia has a portfolio allocation of 0.02%, making it the 647th largest position in the fund.
Big investors bet on JMIA stocks: Citadel Advisors, Ken Griffin
From the first quarter, Ken Griffin 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 holds 6,648 call options, which were reduced by 5,280 call options during the first quarter. The hedge fund is long-term oriented and has an average holding period of 16.7 quarters, or just over four years.
At the date of publication, Eddie Pan held (neither directly nor indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.