GDS Investments Shares Bullish Theses on FMC, GM, Mosaic, More

Another favorite for GDS Investments is Mosaic Co (NYSE:MOS). The firm notes that demand for potash crop nutrient is accelerating and supply rationalizing is underway, with 6 to 7 million tons of potash capacity leaving the market over the last two years. With that being the case, GDS feels that ‘the Mosaic Company is now spring-loaded for enhanced profitability when demand for phosphate and potash crop nutrient improves’. 16 top funds had a bullish position in Mosaic Co (NYSE:MOS) at the end of the fourth quarter, down 8 funds from the previous quarter.

When it comes to the energy patch, GDS Investments prefers more global integrated companies such as BP plc (ADR) (NYSE:BP) as opposed to strict E&P’s. GDS notes that “energy tends to outperform in an environment of rising interest rates, as evidenced by its massive outperformance in the 1970’s”, and that many parts of the oil producing world face great political and security instability. 26 elite funds were long BP plc (ADR) (NYSE:BP) at the end of the fourth quarter, down 4 funds from the previous quarter.

Last but not least, GDS likes Abbott Laboratories (NYSE:ABT) CEO Miles White, who the firm notes ‘has consistently made very large purchases of the Abbott Laboratories’ stock’ and who was also instrumental in the company’s merger with St. Jude Medical. GDS believes the merger will make Abbot more competitive in the growing medical device sector. 54 elite funds were long Abbott Laboratories (NYSE:ABT) at the end of December, up 2 funds from the previous quarter.

Disclosure:None