In this article, we discuss the 5 Reddit stocks that tripled in 2021. If you want to read our detailed analysis of these stocks, go directly to the 10 Reddit Stocks that Tripled in 2021.
5. Houghton Mifflin Harcourt Company (NASDAQ:HMHC)
Number of Hedge Fund Holders: 27
Year-To-Date Gain: 381%
Houghton Mifflin Harcourt Company (NASDAQ:HMHC) is an education services firm based in Boston. The share price of the company jumped more than 24% in early November after it smashed market estimates on earnings for the third quarter.
BMO Capital analyst Jeffrey Silber recently raised the price target on Houghton Mifflin Harcourt Company (NASDAQ:HMHC) stock to $19 from $15 and kept a Market Perform rating, noting the “very strong” third quarter earnings of the firm.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Engine Capital is a leading shareholder in Houghton Mifflin Harcourt Company (NASDAQ:HMHC) with 3 million shares worth more than $40 million.
In its Q2 2021 investor letter, Laughing Water Capital LP, an asset management firm, highlighted a few stocks and Houghton Mifflin Harcourt Company (NASDAQ:HMHC) was one of them. Here is what the fund said:
“HMHC is the leading provider of instructional materials to students in grades K-12 in the U.S. At the end of this letter you will find a longer writeup, but in brief I believe the combination of a newly cleaned up balance sheet, slimmed down operating structure, a Covid induced acceleration of digital learning, and billions of dollars in federal stimulus set to flood the education world has put HMHC in position to gush cash over the next few years… but the market has failed to appreciate these changes. Given the pending onslaught of federal stimulus dollars I think it will be very difficult to lose money in this investment, and if the company reinvests this cash wisely and the market recognizes how this business has evolved, there is a path to multi-bagger returns looking out a few years.”
4. Weatherford International plc (NASDAQ:WFRD)
Number of Hedge Fund Holders: 9
Year-To-Date Gain: 383%
Weatherford International plc (NASDAQ:WFRD) is a Texas-based oil and gas firm. The company beat market expectations on earnings per share and revenue for the third quarter by $0.52 and $16 million respectively.
Weatherford International plc (NASDAQ:WFRD) recently announced that it had been awarded two contracts worth more than $1 billion by the Abu Dhabi National Oil Company. The contracts are for downhole completions equipment and liner hanger systems.
At the end of the third quarter of 2021, 9 hedge funds in the database of Insider Monkey held stakes worth $258.3 million in Weatherford International plc (NASDAQ:WFRD), up from 6 in the preceding quarter worth $258.9 million.
3. Prothena Corporation plc (NASDAQ:PRTA)
Number of Hedge Fund Holders: 25
Year-To-Date Gain: 309%
Prothena Corporation plc (NASDAQ:PRTA) is a biotech firm that develops and markets treatments for life-threatening diseases. Earlier this year, the company sold off the PRX-004 drug pipeline to Danish pharma giant Novo Nordisk in a deal worth more than $1 billion.
JMP Securities analyst Gobind Singh recently initiated coverage of Prothena Corporation plc (NASDAQ:PRTA) stock with an Outperform rating and a price target of $77, noting the market potential of pipeline drugs of the firm.
Among the hedge funds being tracked by Insider Monkey, California-based firm EcoR1 Capital is a leading shareholder in Prothena Corporation plc (NASDAQ:PRTA) with 11 million shares worth more than $803 million.
2. Callon Petroleum Company (NYSE:CPE)
Number of Hedge Fund Holders: 20
Year-To-Date Gain: 291%
Callon Petroleum Company (NYSE:CPE) is an independent oil and gas firm. In October, the company announced that it would be selling a non-core acreage in the Eagle Ford Shale for $100 million based on strong well performance in the Delaware and Midland Basins.
In earnings results for the third quarter, posted on November 3, Callon Petroleum Company (NYSE:CPE) reported earnings per share of $2.93, beating estimates by $0.43. The revenue over the period was $552 million, up 90% year-on-year.
At the end of the third quarter of 2021, 20 hedge funds in the database of Insider Monkey held stakes worth $50 million in Callon Petroleum Company (NYSE:CPE), up from 17 in the preceding quarter worth $87 million.
1. SM Energy Company (NYSE:SM)
Number of Hedge Fund Holders: 24
Year-To-Date Gain: 368%
SM Energy Company (NYSE:SM) is a Colorado-based independent energy company. The company has benefited from the rise in oil and gas prices over the past few weeks due to increased demand and production uncertainties.
RBC Capital analyst Scott Hanold recently raised the price target on SM Energy Company (NYSE:SM) stock to $44 from $36 and kept a Sector Perform rating on the shares, noting that the leverage reduction efforts of the firm were accelerating.
At the end of the third quarter of 2021, 24 hedge funds in the database of Insider Monkey held stakes worth $321 million in SM Energy Company (NYSE:SM), down from 25 in the preceding quarter worth $260 million.
You can also take a peek at 15 Best Value Stocks to Invest In and 15 Best Consumer Discretionary Stocks to Buy Now.
