This article discusses the top 3 stock picks of BlueDrive Global Investors at the end of June 2022. To know more about how Oscar Hattink founded BlueDrive Global Investors, his career trajectory and his role at TCI Fund Management along with other details of BlueDrive Global Investors’ portfolio please check out BlueDrive Global Investors’ Latest Portfolio: Top 7 Stock Picks.
3. Alibaba Group Holding Limited (NYSE:BABA)
BlueDrive Global Investors’ Stake Value: $21,190,000
Percentage of BlueDrive Global Investors’ 13F Portfolio: 14.99%
Number of Hedge Fund Holders: 106
Alibaba Group Holding Limited’s (NYSE:BABA) stock might have started its downward journey at the end of 2020, losing over two-thirds of its value in the process, but if you were tracking smart money flows as we do, you could have anticipated this move all the way back in 2019. The popularity of Alibaba Group Holding Limited (NYSE:BABA) among funds tracked by us peaked at the end of 2019 when 177 funds disclosed a stake in the Chinese e-tailer. It has dwindled to only 106 funds reporting a stake in the company at the end of June this year.
On August 31, Reuters reported that Alibaba Group Holding Limited (NYSE:BABA) is going to be among the first mainland China-based companies that will go through audit inspection by US regulators. Several investors and regulators, over the years, have raised concerns about the audit and financial regulatory practices followed by Chinese companies. In addition, there have always been concerns over the variable interest entity (VIE) structure under which most companies based in China raise capital from foreign investors and list on exchanges like the NYSE. According to the report, Alibaba Group Holding Limited (NYSE:BABA) has already been notified that its audit will be inspected by the Public Company Accounting Oversight Board (PCAOB), a non-profit established by the United States Congress that oversees the audits of public companies.
2. Lamb Weston Holdings, Inc. (NYSE:LW)
BlueDrive Global Investors’ Stake Value: $38,586,000
Percentage of BlueDrive Global Investors’ 13F Portfolio: 27.29%
Number of Hedge Fund Holders: 35
Founded in 1950, Lamb Weston Holdings, Inc. (NYSE:LW) is one of the largest producers and processors of waffle fries, frozen french fries, and other frozen potato products in the world. BlueDrive Global Investors first reported initiating a stake in the company in a regulatory filing for the fourth quarter of 2020. Although Lamb Weston Holdings, Inc.’s (NYSE:LW) stock hasn’t appreciated since then, it is currently trading up by approximately 25% year-to-date. During the second quarter, legendary trader and billionaire Steve Cohen’s Point72 Asset Management increased its stake in the company by a whopping 886% to 1.4 million shares while Michael Gelband’s ExodusPoint Capital initiated a fresh stake in the company by purchasing 191,073 shares.
On July 27, Lamb Weston Holdings, Inc. (NYSE:LW) reported its fiscal year 2022 fourth quarter and full-year earnings. For the full year, analysts were projecting the company to report non-GAAP EPS of $1.95 on revenue of $4.02 billion, which the company managed to beat by $0.13 and $80 million, respectively. Earlier in the year, Jefferies Financial Group’s analyst Robert Dickerson released a note to clients in which he reiterated his ‘Buy’ rating but dropped the price target on Lamb Weston Holdings, Inc.’s (NYSE:LW) stock to $75 from $80.
1. T-Mobile US, Inc. (NASDAQ:TMUS)
BlueDrive Global Investors’ Stake Value: $38,586,000
Percentage of BlueDrive Global Investors’ 13F Portfolio: 27.29%
Number of Hedge Fund Holders: 96
BlueDrive Global Investors cut its stake in T-Mobile US, Inc. (NASDAQ:TMUS) by 32% to 286,800 shares during the second quarter, but the telecom giant continued to remain the fund’s top stock pick at the end of that period. Beating almost all of its peers in the telecommunications industry in the US, T-Mobile US, Inc.’s (NASDAQ:TMUS) stock has appreciated the most in the last 10 years, rising over 700% during that time.
On August 26, T-Mobile US, Inc.’s (NASDAQ:TMUS) announced a new partnership with Elon Musk’s Starlink, whereby the former will use large antennas on the latter’s second-generation satellites to transmit signals directly to consumers’ cellphones in an effort to eliminate “dead zones.” Although the signals transmitted won’t have the bandwidth a Starlink terminal provides, it will be enough to send texts and even images. 11 of the 16 analysts who cover T-Mobile US, Inc.’s (NASDAQ:TMUS) stock on Wall Street currently have a ‘Buy’ rating on it with a consensus price target of $169.09, representing a potential upside of 17.5% from the stock’s last closing price.
You can also look at Billionaire Carl Icahn’s Latest Portfolio: Top 10 Stock Picks and 10 Best Stocks to Buy According to Billionaire Mario Gabelli
