Zhang Lei is a Chinese billionaire and investor; he founded Hillhouse Capital Group who was known for investing in small starting companies such as JD.com, Tencent, and Zoom. Right now, these companies are fast-growing and are receiving lots of traction around the world.
Insider Monkey has published an article on Zhang Lei’s 10 Best Hong Kong Stocks To Buy For 2021.
Shares of biotechnology company BridgeBio Pharma Inc have increased by 144% over the last twelve months. Even when GSK’s acquisition of Eidos Therapeutics, BridgeBio has continued to perform well in the market, which will ultimately drive shares up. Zhang Lei’s Hillhouse has holding positions ever since Q2 of 2019.
Bilibili Inc is a Chinese online entertainment service provider, and in the past 12 months alone, the shares went up by 300%. Even with a bullish outlook, Bilibili has a strong user growth and high engagement. This strong trend is beneficial for the company. Hillhouse has had a position in this online platform ever since 2018.
China Biologic Products Holdings, Inc. underperformed in the last couple of years, despite Zhang Lei and his firm left their positions unchanged during Q4 of 2020. Enstar Group Limited offers property and casualty insurances, and they have been members of Hillhouse’s stock portfolio since 2016. It extended its five-year gains by 63%, and in the last 12 months, the shares of the company increased by 53%.
Uber technologies ranked 6th in Zhang Lei’s list. The pandemic has negatively affected Uber; however, as of early 2021, stock prices seem to be performing better amidst the easing of social distancing practices. Uber’s other business ventures and acquisitions helped them stay the past year afloat.
iQIYI, Inc. provides online entertainment such as but not limited to online games, live broadcasting, and animations. IQ’s shares increased in 2020 after experiencing a selloff; it went up by almost 50%. IQIYI has been a member of Hillhouse Capital’s portfolio ever since 2018.
Zoom Video Communications stock prices went up by 209% in the last twelve months; however, it is to be noted in early 2021, the company seems to be underperforming. Zhang Lei first invested in the e-commerce platform JD.com. It is a more competitive company within Chinese e-commerce sites; however, it is still being undervalued. Hillhouse held 13.5 million shares in JD before it sold 15% of its stakes in Q4.
BeiGene, Ltd. is a biotechnology company with the second-largest stock holding in Hillhouse. Shares in the company have increased by 95% in the past 12 months, extending its gains by 990%. Pinduoduo Inc is an e-commerce platform and is Zhang Lei’s largest stock holding. It had a 360% increase of shares in 2020; however, shares have fallen to 8.5% at the start of the year.
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