These are the 10 stocks Melvin Capital is betting will help it recoup losses from the GameStop short squeeze that cost it billions

Gabe Plotkin
  • Gabe Plotkin’s Melvin Capital is still clawing back from the billions in losses it experienced earlier this year from the GameStop short squeeze.
  • The hedge fund has initiated a number of new stock positions in the second quarter, according to its 13F filing.
  • These are 10 of the biggest new stock positions Melvin Capital purchased in the second quarter.
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Melvin Capital is making moves as it continues to attempt to claw back the billions in losses it experienced during GameStop’s short squeeze earlier this year.

The $17 billion hedge fund, founded by Gabe Plotkin in 2014, experienced a 53% loss in January and ended the first half down 46%, according to Bloomberg. According to Melvin’s second-quarter 13f filing data compiled by WhaleWisdom, the hedge fund bought 36 new stocks in the quarter.

Melvin Capital’s biggest bet remains Expedia, which represents 8% of the fund, followed by Amazon, Visa, and LabCorp. The hedge fund is likely expecting a strong economic reopening as the COVID-19 pandemic subsides.

Plotkin is also taking on new bets to help bolster performance. According to Melvin’s second-quarter 13f filing data compiled by WhaleWisdom, the hedge fund bought 36 new stocks in the quarter.

These are 10 of the biggest new stock positions Melvin Capital initiated in the second quarter.

10. Amazon Call Options

Ticker: AMZN
Position Value: $172.0 million
Percent of fund: 0.99%

Whole foods voters
Shoppers outside of a Whole Foods Market. Kyodo News Stills via Getty Images

9. Target

Ticker: TGT
Position Value: $175.2 million
Percent of Fund: 1.01%

New York Target store
A Target store in New York Emaz for VIEWpress

8. Align Technology Call Options

Ticker: ALGN
Position Value: $213.9 million
Percent of Fund: 1.23%

Teeth whitening

7. Laboratory Corp Call Options

Ticker: LH
Position Value: $220.7 million
Percent of Fund: 1.27%

Science research in laboratory

6. Microsoft

Ticker: MSFT
Position Value: $243.8 million
Percent of Fund: 1.40%

Satya Nadella stand on stage wearing a purple and white checkered shirt.
Satya Nadella is the CEO of Microsoft. MANJUNATH KIRAN/AFP via Getty Images

5. Dominos Pizza

Ticker: DPZ
Position Value: $244.9 million
Percent of Fund: 1.41%

Dominos

4. PayPal

Ticker: PYPL
Position Value: $291.5 million
Percent of Fund: 1.67%

GettyImages 1232621646
In this photo illustration, PayPal logo is seen displayed on a smartphone screen in front of cryptocurrency signs. Photo Illustration by Pavlo Gonchar/SOPA Images/LightRocket via Getty Images

3. DoorDash

Ticker: DASH
Position Value: $329.9 million
Percent of Fund: 1.90%

DoorDash Kitchens
The original Kitchens opened two years ago. DoorDash

2. Expedia Call Options

Ticker: EXPE
Position Value: $376.5 million
Percent of Fund: 2.16%

Expedia

1. JD.com Stock and Call Options

Ticker: JD
Combined Position Value: $578.6 million
Combined Percent of Fund: 3.33%

FILE PHOTO: JD.com sign is seen at the World Internet Conference (WIC) in Wuzhen, Zhejiang province, China, October 20, 2019. REUTERS/Aly Song
JD.com sign is seen at the World Internet Conference (WIC) in Wuzhen Reuters