Artisan Partners Limited Partnership, a high value-added investment management firm, published its ‘Artisan Value Fund’ fourth quarter 2020 investor letter – a copy of which can be downloaded here. A return of 20% was recorded by its Investor Class: ARTLX, 20.05% by its Advisor Class: APDLX, and 20.07% by its Institutional Class: APHLX, in the fourth quarter of 2020, all outperformed its Russell 1000 Value Benchmark that delivered a 16.25% return and its Russel 1000 Index that was up by 13.69% in the same period. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.
Artisan Value Fund, in their Q4 2020 investor letter, mentioned Alphabet Inc. (NASDAQ: GOOG) and emphasized their views on the company. Alphabet Inc. is a California-based multinational conglomerate firm, and the mother company of Google. It currently has a $1.37 trillion market capitalization. Since the beginning of the year, GOOG delivered a 16.23% return, impressively extending its 12-month gains to 89.89%. As of March 18, 2021, the stock closed at $2,036.22 per share.
Here is what Artisan Value Fund has to say about Alphabet Inc. in their Q4 2020 investor letter:
“At the individual holdings level, top contributor in Q4 included Alphabet. Large-cap tech companies have been resilient through the pandemic—Alphabet among them. Alphabet’s Play Store and Google Cloud are in demand as businesses accelerate online activity which, along with strong YouTube user growth, is helping stabilize temporarily weaker search ad revenue trends. While this holding may strike readers as more befitting a growth or momentum strategy than a value strategy, our benchmark-agnostic, opportunistic value investing style differentiates us. Using the lens of our disciplined bottom-up research process we view Alphabet as one of the best businesses in the world, capable of expanding revenues at a rapid rate for years to come, with a bullet proof balance sheet and an average asking price. It’s a name we’ve owned since 2014 and for which we continue to have high hopes regarding future prospects.”
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Our calculations show that Alphabet Inc. (NASDAQ: GOOG) ranks 6th in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Alphabet Inc. was in 157 hedge fund portfolios, compared to 150 funds in the third quarter. GOOG delivered a 17.63% return in the past 3 months.
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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Disclosure: None. This article is originally published at Insider Monkey.
