Capital Allocators – Inside the Institutional Investment Industry Top 5 of 2025: #4: Alex Sacerdote
17 snips
Dec 22, 2025 
In this engaging conversation, Alex Sacerdote, founder of Whale Rock Capital, shares insights from his technology-focused investment career. He reveals his unique S-curve framework for identifying rising companies and discusses the importance of concise stock pitches. Alex traces his passion for tech through evolving product cycles and the role of AI in investing. He highlights the significance of management in company success, explores current trends like driverless cars, and reflects on his experiences with private investments and crypto skepticism.
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Early Investing Sparks
- Alex Sacerdote traced his first stock ownership to Apple and early bets like Boeing and AOL that sparked his interest.
- His Fidelity summer covering Amazon convinced him leaders grow bigger, faster, and win in tech.
S-Curve + Moat + Earnings Power
- Whale Rock's framework combines S-curves, competitive advantage, and underappreciated earnings power to find multi-year winners.
- Exponential earnings arise when rising penetration and margins align, making early multiples look cheap later.
Buy Near Inflection When Possible
- Aim to buy near the S-curve inflection but recognize you can still profit if you enter later in a long runway.
- Use S-curve sizing to estimate how long a trend can sustain rapid growth before linearization.