5 Stocks to Sell Now According to Julian Robertson’s Hedge Fund

2. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 80

While some hedge funds maintained their positions in Tesla, Inc. (NASDAQ:TSLA) in 2022, others discarded them. One of those hedge funds was Tiger Management, which sold its Q4 2021 stakes of $3.33 million in Tesla, Inc. (NASDAQ:TSLA) in Q1 2022 and ultimately exited the stock.

This May, Daiwa analyst Jairam Nathan trimmed his price target on Tesla, Inc. (NASDAQ:TSLA) to $800 from $1,150 and maintained an Outperform rating on the shares.

At the end of Q1 2022, 80 hedge funds were long Tesla, Inc. (NASDAQ:TSLA). The total stakes of these funds were valued at $11.28 billion, down from $12.91 billion in the preceding quarter with 91 positions.

Baron Funds recently published its “Baron Fifth Avenue Growth Fund” first-quarter 2022 investor letter in which it named Tesla, Inc. (NASDAQ:TSLA). Here is what the firm said:

“During the first quarter, we bought back shares in Tesla, Inc., which designs, manufactures, and sells electric vehicles, solar products, energy storage solutions, and batteries. We believe that despite the run in the stock over the last few years, Tesla presents a favorable risk/reward profile and remains a Big Idea with only about 1% market share of the automotive market. Since we bought the stock during the first quarter, shares increased 27.1%, despite a complex supply-chain environment, on continued revenue growth and record profitability. Robust demand and operational optimization allow the company to offset inflationary pressures while vertical integration provides flexibility around supply bottlenecks. Moreover, we expect new localized manufacturing capacity to drive additional efficiencies while software initiatives, including the autonomous driving program, are accelerating, offering valuable optionality to the stock.”