The AlwaysOn X Fund portfolio finished the week down 4.7%, the NASDAQ was off 2.6%, and the S&P 500 was down 2.4%. Year to date, the AO X Fund is down 1.9%, the NASDAQ is up 11.1%, and the S&P 500 up 10.9%.
Last week, we did multiple trades in the AlwaysOn X Fund. On Monday, we sold our small positions in Baidu and GNC, trimmed some of LinkedIn and Google, and added four new positions in Qihoo 360, Rackspace, Catamaran, and 3D Systems. Additionally, we sold our position in Francesca’s Holdings, sold 2.7% of Lululemon, and added another 2% to 3D on Friday.
Rackspace, the open-source cloud computing leader, reported Q3 results that were in-line with expectations, with +27% EPS and revenue growth. Server count increased by 4.8% to 89,100 vs. last quarter, and total customer base grew 3% to 198,000. For the week, RAX finished down 8.6%.
Groupon missed on revenue expectations, growing revenue at 32%. The stock saw a huge drop, -29.3% on Friday, and finished down 27.7% for the week.
Jazz Pharmaceuticals reported 37% EPS growth and 139% revenue growth in Q3. Its Xyrem drug sales made up 59% of revenue and grew 64% in Q3. JAZZ is now guiding for 115% revenue growth in 2012. The stock ended the week down 2.2%.
Michael Moe is an AlwaysOn contributing editor and a former co-founder of ThinkEquity.