Below is the list of 5 stocks to buy today according to Jed Nussdorf’s Soapstone Capital. For a detailed discussion about Jed Nussdorf’s investment philosophy and portfolio management strategies please see 10 Stocks to Buy Today According to Jed Nussdorf’s Soapstone Capital.
5. Leidos Holdings, Inc. (NYSE:LDOS)
Soapstone Capital’s Stake Value: $14.46 million
Percentage of Soapstone Capital’s Portfolio: 6.64%
Number of Hedge Fund Holders: 28
Jed Nussdorf’s Soapstone Capital lifted its stake in Reston, Virginia-based Leidos Holdings, Inc. (NYSE:LDOS) by 41% during the December quarter to 162,500 shares, with the position accounting for 6.64% of the fund’s 13F portfolio value. Soapstone Capital first initiated a position in the American defense company during the December quarter of 2020 and has further increased its stake in the company over each of the past four quarters.
The number of bullish long hedge fund positions in Leidos Holdings, Inc. (NYSE:LDOS) also increased substantially during the fourth quarter. It was in 28 hedge funds’ portfolios at the end of the period compared to just 14 positions in the previous quarter. Israel Englander’s Millennium Management was the leading stakeholder in the company among those 28 funds.
4. Masonite International Corporation (NYSE:DOOR)
Soapstone Capital’s Stake Value: $18.12 million
Percentage of Soapstone Capital’s Portfolio: 8.33%
Number of Hedge Fund Holders: 20
Jed Nussdorf of Soapstone Capital has been lifting his stake in Masonite International Corporation (NYSE:DOOR) over each of the past two quarters. In the December quarter, the fund increased its position in the company by 35% to 153,655 shares, representing 8.83% of the value of its 13F portfolio. Shares of the door manufacturer have plunged by more than 20% over the last six months amid broader market trends.
As of December 2021, 20 hedge funds were bullish about the company. Praesidium Investment Management Company and Sunriver Management were among the leading stakeholders in Masonite International Corporation.
3. JELD-WEN Holding, Inc. (NYSE:JELD)
Soapstone Capital’s Stake Value: $19.3 million
Percentage of Soapstone Capital’s Portfolio: 8.87%
Number of Hedge Fund Holders: 23
Jed Nussdorf’s hedge fund first initiated a position in JELD-WEN Holding, Inc. (NYSE:JELD) in the third quarter of 2020 and further lifted its stake in the company over each of the past three quarters. As of December 2021, it was ranked third on the list of 10 stocks to buy today according to Jed Nussdorf’s Soapstone Capital.
Shares of the door manufacturing company have been under pressure over the past few quarters due to broader market trends. The company itself looks strong in terms of its financial growth momentum, as its fourth quarter net revenue increased by 11.8% compared to the year-ago period.
JELD-WEN Holding was in 23 hedge funds’ portfolios as of December 2021 according to data tracked by Insider Monkey.
2. Equitable Holdings, Inc. (NYSE:EQH)
Soapstone Capital’s Stake Value: $31 million
Percentage of Soapstone Capital’s Portfolio: 14.32%
Number of Hedge Fund Holders: 45
Soapstone Capital has held a position in Equitable Holdings, Inc. (NYSE:EQH) since the first quarter of 2021. The company’s strategy of offering dividends to shareholders also makes it a good stock to hold for the long term. EQH shares currently yield 2.35% as of March 7.
The diversified financial services company generated a strong capital return of $1.9 billion in 2021 and authorized a new share repurchase program of $1.2 billion. In 2021, its non-GAAP EPS increased by 32% from the previous year. Moreover, its stock is trading at around only 6.55x forward earnings compared to the industry average of 11x.
Equitable Holdings, Inc. (NYSE:EQH) was in 45 hedge funds’ portfolios as of December 31, 2021.
1. Builders FirstSource, Inc. (NYSE:BLDR)
Soapstone Capital’s Stake Value: $38 million
Percentage of Soapstone Capital’s Portfolio: 17.73%
Number of Hedge Fund Holders: 59
Builders FirstSource, Inc. (NYSE:BLDR) has been a member of Soapstone Capital’s portfolio since the end of 2017. In the fourth quarter of 2021, Jed Nussdorf’s hedge fund slashed its stake in the company by half to capitalize on its recent share price gains. Despite that, Builders FirstSource was the largest stock holding in Soapstone Capital’s portfolio. Shares of Builders FirstSource are up by 71% over the last 12 months.
The number of bullish hedge fund bets on Builders FirstSource increased to 59 by the end of the fourth quarter of 2021, up from 53 at the end of the previous quarter.
You can also take a look at the 10 Dividend Stocks to Buy According to Matthew Barrett’s Glendon Capital Management and Best Undervalued Stocks According to Hedge Funds
