First Eagle Investment Management recently released its Q3 2020 Investor Letter, a copy of which you can download here. The First Eagle Global Fund A Shares posted a return of 5.64% for the third quarter (without sales charge), underperforming its benchmark, the MSCI World Index which returned 7.93% in the same quarter. You should check out First Eagle’s top 5 stock picks for investors to buy right now, which could be the biggest winners of this year.
In the said letter, First Eagle highlighted a few stocks and Comcast Corp (NASDAQ:CMCSA) is one of them. Comcast Corp (NASDAQ:CMCSA) is a telecommunications company. Year-to-date, Comcast Corp (NASDAQ:CMCSA) stock lost 5% and on October 28th it had a closing price of $41.97. Here is what First Eagle said:
“Media and telecommunications company Comcast hit an all-time high in early 2020, only to sell off with the onset of the Covid-19 pandemic and its anticipated impact on the company’s NBCUniversal entertainment unit. Comcast’s stock price has since recovered, driven in part by ongoing strength in the company’s broadband business. Late in the quarter, activist hedge fund Trian Fund Management announced that it had acquired a stake in Comcast, believing it to be undervalued; however, any actions Trian seeks to employ to unlock value may be complicated by the fact the more than one-third of Comcast’s voting rights are held by the company’s founding family.”
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In Q2 2020, the number of bullish hedge fund positions on Comcast Corp (NASDAQ:CMCSA) stock decreased by about 4% from the previous quarter (see the chart here), so a number of other hedge fund managers don’t believe in Comcast’s growth potential. Our calculations showed that Comcast Corp (NASDAQ:CMCSA) isn’t ranked 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 scour multiple sources to uncover the next great investment idea. For example, Federal Reserve has been creating trillions of dollars electronically to keep the interest rates near zero. We believe this will lead to inflation and boost real estate prices. So, we recommended this real estate stock to our monthly premium newsletter subscribers. We go through lists like the 10 most profitable companies in the world to pick the best large-cap stocks to buy. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. 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.
