Aoris Investment Management recently released its Q1 2020 Investor Letter, a copy of which you can download below. The Aoris International Fund aims to generate returns of 8–12% p.a. over a market cycle. The portfolio is long-only and highly selective. You should check out Aoris Investment Management’s top 5 stock picks for investors to buy right now, which could be the biggest winners of the stock market crash. There weren’t a lot of funds who could deliver these kinds of returns without shorting the market or using aggressive put options.
In the said letter, Aoris Investment Management highlighted a few stocks and Costco Wholesale Corp (NASDAQ:COST) is one of them. Costco engages in the operation of membership warehouses. Year-to-date, Costco Wholesale Corp (NASDAQ:COST) stock gained 2.9% and on May 21st it had a closing price of $301.97. Here is what Aoris Investment Management said:
“Costco is one of the world’s largest retailers, operating a highly successful membership model. It benefits from a long-tenured management and a very strong corporate culture, a fortress capital structure (it has net cash on its balance sheet and owns 80% of its stores), and a very relevant and resonant customer proposition. We expect Costco to have another successful year of profitable growth and new store openings in 2020.”
In Q4 2019, the number of bullish hedge fund positions on Costco Wholesale Corp (NASDAQ:COST) stock increased by about 11% from the previous quarter (see the chart here), so a number of other hedge fund managers seem to agree with COST’s growth potential. Our calculations showed that Costco Wholesale Corp (NASDAQ:COST) isn’t among the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 185% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 109 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. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
Video: Top 5 Stocks Among Hedge Funds
At Insider Monkey we leave no stone unturned when looking for the next great investment idea. For example, we believe electric vehicles and energy storage are set to become giant markets, and we want to take advantage of the declining lithium prices amid the COVID-19 pandemic. So we asked astrophysicist Neil deGrasse Tyson about Tesla, Elon Musk, and his top stock picks. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. Our best call in 2020 was shorting the market when S&P 500 was trading at 3150 after realizing the coronavirus pandemic’s significance before most investors. You can subscribe to our free enewsletter below to receive our stories in your inbox:
Disclosure: None. This article is originally published at Insider Monkey.
