In this article, we discuss 5 stocks that billionaire Steve Cohen is buying in 2022. If you want to see more stocks that were recently added to his portfolio, click Billionaire Steve Cohen is Buying These 10 Stocks in 2022.
5. Yum! Brands, Inc. (NYSE:YUM)
Number of Hedge Fund Holders: 45
Yum! Brands, Inc. (NYSE:YUM) operates and franchises quick service restaurants worldwide under the KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill brands. Steve Cohen’s hedge fund added Yum! Brands, Inc. (NYSE:YUM) to its Q1 2022 portfolio by purchasing 667,550 shares of the company, worth $79.12 million.
BMO Capital analyst Andrew Strelzik on May 5 lowered the price target on Yum! Brands, Inc. (NYSE:YUM) to $130 from $140 and reiterated a Market Perform rating on the shares. The company’s Q1 earnings came in below expectations as softer margins offset Q1 franchise openings, the analyst told investors. He added that Yum! Brands, Inc. (NYSE:YUM)’s “attractive” unit growth outlook is balanced by a potentially mixed comp guidance and margin pressures.
According to Insider Monkey’s data, 45 hedge funds were bullish on Yum! Brands, Inc. (NYSE:YUM) at the end of Q1 2022, up from 36 funds in the last quarter. Ken Griffin’s Citadel Investment Group is the largest shareholder of the company, with 2.2 million shares worth $270 million.
4. Carlisle Companies Incorporated (NYSE:CSL)
Number of Hedge Fund Holders: 29
Carlisle Companies Incorporated (NYSE:CSL) is an Arizona-based company that operates as a diversified manufacturer of engineered products, with three main segments – Carlisle Construction Materials, Carlisle Interconnect Technologies, and Carlisle Fluid Technologies. The company posted on April 28 a Q1 EPS of $4.26 and a revenue of $1.50 billion, outperforming estimates by $1.79 and $153.85 million, respectively.
Securities filings for Q1 2022 reveal that Steve Cohen’s Point72 Asset Management acquired 371,126 shares of Carlisle Companies Incorporated (NYSE:CSL), worth $91.2 million, representing 0.36% of the total 13F holdings.
On May 9, Credit Suisse analyst Daniel Oppenheim raised the price target on Carlisle Companies Incorporated (NYSE:CSL) to $300 from $275 and kept a Neutral rating on the shares. The analyst also lifted estimates due to pricing power and healthy backlog, and noted that robust underlying trends in Carlisle Companies Incorporated (NYSE:CSL) offer upside potential.
According to Insider Monkey’s Q1 data, 29 hedge funds were bullish on Carlisle Companies Incorporated (NYSE:CSL), up from 21 funds in the preceding quarter. David Blood and Al Gore’s Generation Investment Management is the leading shareholder of the company, with 1.6 million shares worth $411.2 million.
3. The Boeing Company (NYSE:BA)
Number of Hedge Fund Holders: 52
The Boeing Company (NYSE:BA) was incorporated in 1916 and is based in Chicago, Illinois. The company designs and manufactures commercial jetliners, military aircrafts, satellites, missile defense, human space flight and launch systems, and services worldwide.
13F filings for the first quarter of 2022 disclose that Steve Cohen’s fund acquired 484,449 shares of The Boeing Company (NYSE:BA), worth $92.7 million, representing 0.36% of the total 13F portfolio.
The decline in The Boeing Company (NYSE:BA)’s stock price has raised continuous questions from investors, JPMorgan analyst Seth Seifman observed. However, the primary goal for the company remains unchanged – to deliver 737s and 787s – which will help generate cash, lower working capital, and start the de-levering process, said the analyst. He noted the “several other important debates around Boeing” will “take on a different tone if deliveries are accelerating”. The analyst maintained an Overweight rating on The Boeing Company (NYSE:BA) with a $190 price target on May 24.
Among the hedge funds tracked by Insider Monkey, 52 funds were bullish on The Boeing Company (NYSE:BA) at the end of March 2022, up from 50 funds in the last quarter. Matthew Halbower’s Pentwater Capital Management is a prominent shareholder of the company, with 1.13 million shares worth $216.3 million.
2. Entergy Corporation (NYSE:ETR)
Number of Hedge Fund Holders: 29
Entergy Corporation (NYSE:ETR) is a Louisiana-based company that distributes electricity and natural gas in Arkansas, Louisiana, Mississippi, and Texas. Entergy Corporation (NYSE:ETR) is a new arrival in Steve Cohen’s Q1 portfolio, with the billionaire purchasing 1.12 million shares of the company, worth $131.7 million.
On April 25, Credit Suisse analyst Nicholas Campanella initiated coverage of Entergy Corporation (NYSE:ETR) with an Outperform rating and a $136 price target. Entergy Corporation (NYSE:ETR) is one of his best ideas for the second half of 2022 since he believes the company is positioned feasibly to navigate inflation and de-carbonization, the analyst told investors.
According to Insider Monkey’s data, 29 hedge funds held long positions in Entergy Corporation (NYSE:ETR) at the end of March 2022, up from 27 funds in the last quarter. Stuart J. Zimmer’s Zimmer Partners is a notable stakeholder of the company, with 1.3 million shares worth $154.5 million.
1. Norfolk Southern Corporation (NYSE:NSC)
Number of Hedge Fund Holders: 48
Norfolk Southern Corporation (NYSE:NSC) is a Georgia-based company that provides rail transportation services for raw materials, intermediate products, and finished goods in the United States. Norfolk Southern Corporation (NYSE:NSC) is a new addition to billionaire Steve Cohen’s Q1 2022 portfolio. He purchased 406,242 shares of the company, worth $115.8 million.
On May 19, Citi analyst Christian Wetherbee downgraded Norfolk Southern Corporation (NYSE:NSC) to Neutral from Buy, slashing the price target to $260 from $345. He sees short-term risk in a decelerating freight and economic environment. However, he noted that rail valuations have improved relative to the market and earnings growth expectations are at their highest.
According to Insider Monkey’s database, Norfolk Southern Corporation (NYSE:NSC) was part of 48 public hedge fund portfolios at the end of the first quarter of 2022, compared to 46 funds in the last quarter. Billionaire Israel Englander’s Millennium Management held the largest position in the company, comprising over 1 million shares worth $291.10 million.
You can also take a look at 10 Consumer Technology Stocks to Invest In According to Ken Fisher’s Fisher Asset Management and 10 Finance Stocks to Buy Today According to George Soros’ Soros Fund Management.
