Billionaire Richard Chilton is Dumping These 5 Stocks

1. United Parcel Service, Inc. (NYSE:UPS)

Number of Hedge Fund Holders: 42

United Parcel Service, Inc. (NYSE:UPS) provides letter and package delivery, transportation, logistics, and financial services. It operates through three segments: U.S. Domestic Package, International Package, and Supply Chain & Freight.

Mr. Chilton decided that it was time to let the investment go and sold his stake in the company in the third quarter of 2021. United Parcel Service, Inc. (NYSE:UPS) covered 0.07% of Chilton Investment Company’s 13F portfolio in the second quarter of 2021 when Mr. Chilton’s stake in the company was in excess of $3.04 million.

On October 27, Raymond James analyst Patrick Tyler Brown raised his price target on United Parcel Service, Inc. (NYSE:UPS) to $260 from $240 and reiterated a Strong Buy rating on the shares following the company’s earnings results for the third quarter of 2021.

United Parcel Service, Inc. (NYSE:UPS) was spotted on 42 hedge fund portfolios by the end of the third quarter of 2021. The total stakes of these funds in the company amounted to $1.26 billion.

ClearBridge Investments published its “Dividend Strategy” second quarter 2021 investor letter, in which the firm mentioned United Parcel Service, Inc. (NYSE:UPS). Here’s what the firm had to say:

“We funded the shift primarily with trims in UPS following big gains in this name. UPS is a long-term holding that have been and remain core holdings. During the quarter, however, we took gains and resized the positions to reflect their current risk-reward post strong increases in the stocks.

UPS too has been a core, long-term holding. For many years its stock languished alongside fundamental performance that was both uneven and often uninspiring. Since Carol Tomé took the reins last summer and capitalized on COVID-19-related freight disruptions, UPS’s earnings have soared, and the stock has followed suit. We trimmed the position toward the end of the quarter despite continued near-term momentum and an undemanding valuation multiple. This trim reflects the longerterm risk, though hard to quantify, that Amazon may become a full-fledged competitor and meaningfully disrupt the dynamics of the industry. While not our base case, this risk cannot be disproven. We continue to be very bullish on UPS’s near-term outlook and optimistic about its longer-term outlook, while also continually looking over our shoulder to make sure Amazon is not on our heels.”

You can also take a look at 10 Best Dividend Stocks to Buy According to Billionaire Richard Chilton and 10 Best Dividend Stocks to Buy According to Billionaire George Soros.

Follow Insider Monkey on Twitter