With the third-quarter round of 13F filings behind us it is time to take a look at the stocks in which some of the best money managers in the world preferred to invest or sell heading into the fourth quarter of 2021. One of these stocks was Kimco Realty Corp (NYSE:KIM).
Kimco Realty Corp (NYSE:KIM) has experienced an increase in enthusiasm from smart money in recent months. Kimco Realty Corp (NYSE:KIM) was in 21 hedge funds’ portfolios at the end of the third quarter of 2021. The all time high for this statistic is 28. Our calculations also showed that KIM isn’t among the 30 most popular stocks among hedge funds (click for Q2 rankings).
At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, lithium prices have more than doubled over the past year, so we go through lists like the 10 best EV stocks to pick the next Tesla that will deliver a 10x return. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. Now let’s take a gander at the latest hedge fund action surrounding Kimco Realty Corp (NYSE:KIM).
Do Hedge Funds Think KIM Is A Good Stock To Buy Now?
Heading into the fourth quarter of 2021, a total of 21 of the hedge funds tracked by Insider Monkey were long this stock, a change of 5% from one quarter earlier. Below, you can check out the change in hedge fund sentiment towards KIM over the last 25 quarters. So, let’s examine which hedge funds were among the top holders of the stock and which hedge funds were making big moves.
According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Citadel Investment Group, managed by Ken Griffin, holds the number one position in Kimco Realty Corp (NYSE:KIM). Citadel Investment Group has a $26.6 million position in the stock, comprising less than 0.1%% of its 13F portfolio. The second largest stake is held by Andrew Kurita of Kettle Hill Capital Management, with a $26.2 million position; 4.9% of its 13F portfolio is allocated to the company. Other hedge funds and institutional investors with similar optimism consist of Stuart J. Zimmer’s Zimmer Partners, Chuck Royce’s Royce & Associates and Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital. In terms of the portfolio weights assigned to each position Kettle Hill Capital Management allocated the biggest weight to Kimco Realty Corp (NYSE:KIM), around 4.9% of its 13F portfolio. Zimmer Partners is also relatively very bullish on the stock, designating 0.36 percent of its 13F equity portfolio to KIM.
As aggregate interest increased, specific money managers have been driving this bullishness. Zimmer Partners, managed by Stuart J. Zimmer, assembled the biggest position in Kimco Realty Corp (NYSE:KIM). Zimmer Partners had $22.8 million invested in the company at the end of the quarter. Jinghua Yan’s TwinBeech Capital also initiated a $1 million position during the quarter. The following funds were also among the new KIM investors: Greg Eisner’s Engineers Gate Manager, Peter Algert’s Algert Global, and Renee Yao’s Neo Ivy Capital.
Let’s also examine hedge fund activity in other stocks – not necessarily in the same industry as Kimco Realty Corp (NYSE:KIM) but similarly valued. We will take a look at Floor & Decor Holdings, Inc. (NYSE:FND), DENTSPLY SIRONA Inc. (NASDAQ:XRAY), Korea Electric Power Corporation (NYSE:KEP), AMERCO (NASDAQ:UHAL), Guardant Health, Inc. (NASDAQ:GH), Agnico Eagle Mines Limited (NYSE:AEM), and Campbell Soup Company (NYSE:CPB). This group of stocks’ market values resemble KIM’s market value.
| Ticker | No of HFs with positions | Total Value of HF Positions (x1000) | Change in HF Position |
|---|---|---|---|
| FND | 33 | 1417942 | 5 |
| XRAY | 35 | 745567 | 0 |
| KEP | 3 | 22067 | -1 |
| UHAL | 25 | 900713 | 4 |
| GH | 31 | 1515303 | -18 |
| AEM | 33 | 415664 | 4 |
| CPB | 29 | 443269 | 2 |
| Average | 27 | 780075 | -0.6 |
View table here if you experience formatting issues.
As you can see these stocks had an average of 27 hedge funds with bullish positions and the average amount invested in these stocks was $780 million. That figure was $153 million in KIM’s case. DENTSPLY SIRONA Inc. (NASDAQ:XRAY) is the most popular stock in this table. On the other hand Korea Electric Power Corporation (NYSE:KEP) is the least popular one with only 3 bullish hedge fund positions. Kimco Realty Corp (NYSE:KIM) is not the least popular stock in this group but hedge fund interest is still below average. Our overall hedge fund sentiment score for KIM is 56.6. Stocks with higher number of hedge fund positions relative to other stocks as well as relative to their historical range receive a higher sentiment score. Our calculations showed that top 5 most popular stocks among hedge funds returned 95.8% in 2019 and 2020, and outperformed the S&P 500 ETF (SPY) by 40 percentage points. These stocks gained 29.6% in 2021 and still beat the market by 3.6 percentage points. A small number of hedge funds were also right about betting on KIM as the stock returned 19.7% since the end of the third quarter (through 12/31) and outperformed the market by an even larger margin.
Follow Kimco Realty Corp (NYSE:KIM)
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Disclosure: None. This article was originally published at Insider Monkey.
