This article discusses the top 5 stock picks of David Rodriguez-Fraile’s BlueMar Capital at the end of June 2022. If you want to read about the fund’s portfolio in detail and the changes it made to its portfolio during Q2, please check out 10 Best Stocks to Buy According to David Rodriguez-Fraile’s BlueMar Capital.
5. LPL Financial Holdings Inc. (NASDAQ:LPLA)
BlueMar Capital’s Stake Value: $9,431,000
Percentage of BlueMar Capital’s 13F Portfolio: 6.33%
Number of Hedge Fund Holders: 47
Though BlueMar Capital slashed its holdings in LPL Financial Holdings Inc. (NASDAQ:LPLA) by a whopping 42% during the second quarter, the company continued to remain the fund’s fifth most loved stock pick at the end of that period. The reason for that feat is mostly the strong outperformance exhibited by LPL Financial Holdings Inc.’s (NASDAQ:LPLA) stock this year, which is currently trading up 38.5% year-to-date. Founded in 1989 and based in San Diego, California, LPL Financial Holdings Inc. (NASDAQ:LPLA) is a boutique investment banking and brokerage firm.
While BlueMar Capital reduced its stake in LPL Financial Holdings Inc. (NASDAQ:LPLA) during the second quarter, several hedge funds covered by us did just the opposite. British-Irish billionaire John Armitage’s Egerton Capital Limited solidified its holdings in the company by 40% to 1.11 million shares, and billionaire Stephen Mandel’s Lone Pine Capital initiated a stake in the company by purchasing around 2.3 million shares.
4. Voya Financial Inc (NYSE:VOYA)
BlueMar Capital’s Stake Value: $11,159,000
Percentage of BlueMar Capital’s 13F Portfolio: 7.49%
Number of Hedge Fund Holders: 36
Voya Financial Inc (NYSE:VOYA) was the oldest among BlueMar Capital’s top 10 stock picks when one looks at when the fund first reported initiating a stake in those companies, which in Voya Financial Inc’s (NYSE:VOYA) case was the third quarter of 2016. It is not a surprise that BlueMar Capital still holds a stake in Voya Financial Inc (NYSE:VOYA), given that shares of the financial services company have more than doubled since the fund disclosed initiating a stake for the first time. On top of the price returns, Voya Financial Inc (NYSE:VOYA) also pays a quarterly dividend of $0.20 per share, which, based on the stock’s last closing price, translates into an annual dividend yield of 1.32%.
3. Fidelity National Information Services, Inc. (NYSE:FIS)
BlueMar Capital’s Stake Value: $12,084,000
Percentage of BlueMar Capital’s 13F Portfolio: 8.11%
Number of Hedge Fund Holders: 67
Apart from its top pick, Fidelity National Information Services, Inc. (NYSE:FIS) was the only stock among BlueMar Capital’s top 10 picks in which the fund upped its stake during the second quarter and that too by the most significant amount – 30% to 131,824 shares. Apart from BlueMar Capital, Ray Dalio’s Bridgewater Associates increased its holdings by 75% to 191,904 shares and George Mccabe’s Portolan Capital Management by 68% to 104,894 shares.
Fidelity National Information Services, Inc.’s (NYSE:FIS) stock made its lifetime high just before the onset of the COVID pandemic in February 2020. After suffering a massive decline during the broader market carnage, the stock managed to recover lost grounds and was again trading above the $150 levels early last year. However, since then, it has again lost half of its value as it currently trades close to the $75 mark. Several analysts on Wall Street tracking the stock have been lowering their price target on it for the past few months. This list includes analysts at Barclays, which, on September 26, reiterated their ‘Overweight’ rating on the stock but lowered their price target to $110 from $130.
2. Visa Inc. (NYSE:V)
BlueMar Capital’s Stake Value: $17,592,000
Percentage of BlueMar Capital’s 13F Portfolio: 11.81%
Number of Hedge Fund Holders: 166
Among the 895 funds tracked by Insider Monkey, Visa Inc. (NYSE:V) was the fifth consensus top stock pick, with 166 funds reporting a stake in the payment processing giant at the end of Q2. Although Visa Inc.’s (NYSE:V) stock has gone nowhere in the last three years, it is still one of the best-performing stocks over a long time horizon. Even when one calculates the returns from March 2008 at the onset of the financial crisis, the stock is currently up by more than eleven times.
On September 21, analysts at Bank of America removed Visa Inc. (NYSE:V) and added competitor PayPal Holdings, Inc. (NASDAQ:PYPL) to their ‘US 1 list,’ which includes all the top ideas of the firm among its ‘Buy’ rated stocks in the US.
1. RenaissanceRe Holdings Ltd. (NYSE:RNR)
BlueMar Capital’s Stake Value: $20,203,000
Percentage of BlueMar Capital’s 13F Portfolio: 13.56%
Number of Hedge Fund Holders: 21
With BlueMar Capital dumping all of its holdings in its first quarter top pick, MGM Growth Properties LLC (NYSE:MGP), during Q2 and marginally upping its stake by 3% to 129,198 shares in RenaissanceRe Holdings Ltd. (NYSE:RNR) during that time, the latter became the fund’s most loved stock at the end of June. However, unlike BlueMar Capital, several smart money investors have been fleeing the stock over the past few quarters. Only 21 funds among the 895 tracked by Insider Monkey disclosed a stake in RenaissanceRe Holdings Ltd. (NYSE:RNR) at the end of June this year, down from 41 at the same time two years ago.
You can also look at 5 Best Stocks to Buy According to ‘Warren Buffett of Brazil’ and BlueDrive Global Investors’ Latest Portfolio: Top 7 Stock Picks
