Baron Opportunity Fund recently published its second-quarter commentary – a copy of which can be downloaded here. During the second quarter of 2021, the Baron Opportunity Fund returned 10.14% (institutional shares). In comparison, the benchmark S&P 500 Index was up 8.55%, while the Russell 3000 Growth Index was up 11.38%. You should check out Baron’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q2 2021 Investor Letter, the fund highlighted a few stocks and Guardant Health Inc. (NASDAQ:GH) is one of them. Guardant Health Inc. (NASDAQ:GH) is a precision oncology company. In the last three months, Guardant Health Inc. (NASDAQ:GH) stock gained 2%. Here is what the fund said:
“Guardant Health, Inc. offers liquid biopsy tests for advanced stage cancer and recurrence monitoring and is developing a test for early cancer detection. Shares fell during the quarter as high-growth companies with high valuations sold off. We maintain conviction for the long term as we believe Guardant is a unique growth company that has the potential to transform cancer care.”
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Baron Fund has been a long time Guardant Health Inc. (NASDAQ:GH) bull. In July 2020, we shared Baron Fund GH’s thesis in this article.
In Q1 2021, the number of bullish hedge fund positions on Guardant Health Inc. (NASDAQ:GH) stock decreased by about 21% from the previous quarter (see the chart here), so a number of other hedge fund managers don’t believe in GH’s growth potential. Our calculations showed that Guardant Health Inc. (NASDAQ:GH) isn’t ranked among the 30 most popular stocks among hedge funds.
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.
