Polen Capital Management, a value-driven, concentrated, long-term investment management firm, published its ‘Polen U.S. Small Company Growth’ fourth-quarter 2020 Investor Letter – a copy of which can be downloaded here. A gross return of 29.14% was recorded by the fund for the Q4 of 2020, slightly below its Russell 2000 Growth benchmark that delivered a 29.61% return. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.
Polen Capital Management, in their Q4 2020 investor letter, mentioned Etsy, Inc. (NASDAQ: ETSY) and shared their insights on the company. Etsy, Inc. is a Brooklyn, New York-based e-commerce website that currently has a $25.9 billion market capitalization. Since the beginning of the year, ETSY delivered a 15.60% return, extending its 12-month gains to 490.99%. As of March 31, 2021, the stock closed at $201.67 per share.
Here is what Polen Capital Management has to say about Etsy, Inc. in their Q4 2020 investor letter:
“In terms of individual holdings, Etsy was a top contributor during the quarter, based on relative contribution to return. Etsy is the leader in the $100 billion-plus global market for unique and creative goods. Etsy operates a scaled, two-sided marketplace and we believe it is a great example of our flywheel investment criteria. The company was handed a once-in-a-lifetime opportunity to rally its ‘makers’ to produce masks to meet global demand. Thanks to well-timed investments, actions of leadership, and its culture, we believe Etsy has been able to leverage that success into broad strength and long-lasting customer acquisitions, leaving us even more optimistic about its long-term prospects.”
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Our calculations show that Etsy, Inc. (NASDAQ: ETSY) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Etsy, Inc. was in 56 hedge fund portfolios, compared to 51 funds in the third quarter. ETSY delivered a 15.60% return in the past 3 months.
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 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. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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Disclosure: None. This article is originally published at Insider Monkey.
