Wasatch Small Cap Growth Fund recently released its Q4 2020 Investor Letter, a copy of which you can download here. The fund posted a return of 29.7% for the quarter, in line with its benchmark, the Russell 2,000 Growth Index which returned 29.6% in the same quarter. You should check out Wasatch’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q4 2020 Investor Letter, the fund highlighted a few stocks and Euronet Worldwide Inc. (NASDAQ:EEFT) is one of them. Euronet Worldwide Inc. (NASDAQ:EEFT) is a credit card service company. In the last three months, Euronet Worldwide Inc. (NASDAQ:EEFT) stock lost 2.2% and on April 1st it had a closing price of $141.80. Here is what the fund said:
“Euronet Worldwide, Inc. (EEFT) performed well too. The company provides electronic-payment services, including automated teller machines, point-of-sale transaction processing and related financial services. We believe Euronet has the ability to generate double-digit annual sales growth over the long term, fueled by meaningfully improved earnings and the potential to generate significant free cash flows. The stock was down significantly earlier in the year due to the slowdown in the global economy. At the time, we remained confident in Euronet’s long-term prospects— and we were impressed with its management team and healthy balance sheet. We’ve since been rewarded for our patience, as the stock has bounced back strongly due to vaccine-related optimism gaining momentum among investors.”
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In Q3 2020, the number of bullish hedge fund positions on Euronet Worldwide Inc. (NASDAQ:EEFT) stock increased by about 5% from the previous quarter (see the chart here), so a number of other hedge fund managers believe in EEFT’s growth potential. Our calculations showed that Euronet Worldwide Inc. (NASDAQ:EEFT) 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.
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 15 best innovative stocks to buy 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. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free daily newsletter on our website:
Disclosure: None. This article is originally published at Insider Monkey.
