5 Stocks to Buy According to Kevin McCarthy’s Breakline Capital

1. International Business Machines Corporation (NYSE:IBM)

Breakline Capital’s Stake Value: $9,869,000
Percentage of Breakline Capital’s 13F Portfolio: 11.33%
Number of Hedge Fund Holders: 40

International Business Machines Corporation (NYSE:IBM) offers global integrated solutions and services. On August 31, International Business Machines Corporation (NYSE:IBM) and VMware, Inc. (NYSE:VMW) announced an extended collaboration to assist global clients and partners in improving mission-critical operations and enhancing time-to-value in hybrid cloud environments.

International Business Machines Corporation (NYSE:IBM) tops the list of stocks to buy according to Kevin McCarthy’s Breakline Capital, with the hedge fund holding 69,902 shares worth $9.87 million, representing 11.33% of the total 13F securities.

On August 16, Credit Suisse analyst Shannon Cross initiated coverage of International Business Machines Corporation (NYSE:IBM), assigning the stock an “Outperform” rating and raised the price target from $156 to $163 as part of a wider research note on IT Hardware. She noted that historically, the group has outperformed during recessionary periods due to their strong balance sheets and cash flow.

According to Insider Monkey’s Q2 database, 40 hedge funds were long International Business Machines Corporation (NYSE:IBM), compared to 43 funds in the prior quarter. Peter Rathjens, Bruce Clarke, and John Campbell’s Arrowstreet Capital reported a prominent stake in International Business Machines Corporation (NYSE:IBM) in the second quarter of 2022, with 2.64 million shares worth $372.68 million.

St. James Investment Company, an investment management firm, mentioned International Business Machines Corporation (NYSE:IBM) in its fourth-quarter 2021 investor letter. Here is what the fund said:

“IBM was not the first company to build computers. The distinction belongs to Sperry-Rand’s subsidiary UNIVAC, which introduced the first commercially successful computers in the early 1950s. In this era, IBM did possess the largest research and development department of the business machines industry and quickly caught up, introducing cost-competitive computers a few years after UNIVAC. By the late 1950s, IBM held the dominant market share in computers. IBM also touted a vastly superior sales organization, which used a sales tactic called “paper machines” (the equivalent of today’s “vaporware”). If a competitor’s product was selling well in a market segment that IBM had yet to penetrate, the company would announce a competing product and start taking orders for the “paper machine” long before it was available…. (Click here to see the full text).”

You can also take a peek at 10 Stocks to Buy According to Mark McMeans’ Brasada Capital Management and 10 Stocks to Buy According to Cheyne Capital.

Follow Insider Monkey on Twitter