We recently published a list of 15 Best actions to buy according to Jim Simons Renaissance technologies In this article, we are going to take a look at the place where Spotify Technology SA (NYSE: Spot) is against other best actions to buy according to Jim Simons’ Renaissance technologies.
Even after his death in 2024, the investor and mathematician billionaire Jim Simons remains known as the “Quant King” of the Hedge Funds due to the extraordinary success of Renaissance technologiesHis quantitative business company based in New York. After years looking for the finance industry, Simons has carried out the unexploited potential of the use of quantitative analysis to capitalize on market ineffectures. This idea led him to develop an investment strategy based on data aimed at analyzing market behavior only using statistical and mathematical models. By identifying subtle non -random models in financial data, engineering predicted future stock movements and has generated impressive yields.
Although it is closed to external investors, the Coverage Fund for the secret medallion of Jim Simons, a flagship renaissance product, has produced revolutionary results since its creation. The medallion fund has raised impressive yields of 56.6% and 74.6% during the dot-com crash in the early 2000s and the global financial crisis between 2007 and 2011. The fund has maintained a substantial annual return of 31.5% since its first years of operation. At the time of his death, Simons was worth $ 31.4 billion, classifying him among the richest individuals in the world, thanks to the high performance of the Fund Medallion and Renaissance market.
The computer power of Renaissance Technologies began a good start after a stellar performance in 2024. The Institutional Renaissance Diversified Alpha Fund won 9.05%, which was the best since its design in 2021. During this 11.85% in the first two months of 2025. The two funds are authorized to maintain important individual stock markets to manage risks. However, the company warns that it can be difficult to quickly relax these important assets without having an impact on market prices.
For this list, we have chosen actions of the 13F portfolio of Renaissance Technologies at the end of the fourth quarter of 2024. These actions are also popular among the Elite Hedge Funds.
Why are we interested in the stocks in which the hedge funds stacked? The reason is simple: our research has shown that we can surpass the market by imitating the main choices of stock of the best hedge funds. The strategy of our quarterly newsletter selects 14 shares with small capitalization and large capitalization each quarter and has rendered 373.4% since May 2014, beating its reference with 218 percentage points (See more details here).
Is Spotify Technology SA (Spot) the best stock to buy according to Jim Simons Renaissance technologies?
A person wearing headphones listening to an audio streaming service.
Renaissance TOS T4 Technologies: 454.8 million dollars
Number of hedge holders: 101
Spotify Technology SA (NYSE: Spot), a leader in digital music streaming, is renowned for revolutionizing the music industry. The company has transformed the way in which music is monetized by compensating for artists according to song flows, rather than traditional income models that are based on album sales and live performances.
On April 30, Batya Levi and other UBS analysts reiterated their purchase rating for Spotify Technology SA shares (NYSE: spot), by maintaining a price target of $ 680. The approval follows the latest financial report by Spotify, which has shown that, although the growth of income on a neutral exchange basis (FXN) has slowed 15% in annual sliding, against 17% in the previous quarter, the number of subscribers of the company has exceeded projections. In addition, the gross margins of the company increased by around 400 base points, less than 550 base points during the previous quarter. Despite this, the management of Spotify has reaffirmed its objective of increasing the raw margins by 2025, although a more progressive pace with expected fluctuations throughout the year.
In the United States, the United Kingdom, Canada and Australia, Spotify Technology SA (NYSE: Spot) has also introduced partner programs that allow video podcast creators to earn money from their work in various sources of income. As a result, creator’s payments increased by 300% notable in just one month, while consumption of video podcasts of the platform increased by more than 20%.
The BARON focused growth fund indicated the following concerning Spotify Technology SA (NYSE: SPOT) in its Q1 2025 Investor letter::
“Spotify Technology SA (NYSE: Spot) is one of the main global digital music services offering audio streaming on demand via paid premium subscriptions and a model supported by advertising. The actions have been increasing, once again attributable to another impressive beat in raw margins and a healthy increase in operating margins. Spotify was on the path of the way to structurally increase gross margins, helped by its market promotions of high margin artists, a growing contribution of podcasts and structural investments in advertising. Users continued to grow at a two -digit rate despite price increases. Spotify has also continued to innovate on the product side, calling for 2025 “The year of accelerated execution”, with priorities in improving advertising, transmission in video, development of a super premium level and market share. We consider Spotify as a long -term winner in musical streaming with potential to reach more than 1 billion monthly active users. »»
Overall, spot class 12th On our list of the best actions to buy according to the Renaissance technologies of Jim Simons. While we recognize the spot potential as an investment, our conviction lies in the conviction that certain AI actions are more promising to offer higher yields and do it within a shorter period. There is a stock of AI that has increased since the beginning of 2025, while the popular AI shares have lost around 25%. If you are looking for a more promising stock of AI but that is negotiated within 5 times its income, consult our report on this subject Stock ai the cheapest.
