In this article, we discuss the top 10 stock picks of apocalyptic investor Crispin Odey. You can skip our comprehensive analysis of Crispin Odey’s history, investment philosophy, and hedge fund performance, go directly to the Top 5 Stocks Picks of Apocalyptic Investor Crispin Odey.
Crispin Odey, who often thrives in the midst of chaos and market crashes, is often called a “doom-monger.” Odey is almost always looking over his shoulder for incoming financial crises.
In a 2009 Forbes piece titled “Crispin Odey’s Apocalyptic Worldview,” the investor was quoted as saying:
“If we go into a crisis, that crisis will test everything, but actually I would rather be invested in companies that have already done their MOT than with the government whose MOT is still to come,” he says. (MOT referes to a car-safety check in the U.K.)
After losing 95% of the clients in 1994, Odey made a comeback in 2000 (when the MSCI World lost 7 percent) by posting a gain of about 20%. In 2008, when the world was reeling from a financial crisis, Odey made a whopping $38.7 million when his short bets against a bank paid off.
During Brexit, Odey made £220 million by betting the market would collapse on the event of a leave vote.
The morning after the referendum, he said to BBC:
“You might have been up all night, but, you know, I’m feeling fresh as a daily. There’s that Italian expression. II mattino ha l’oro in bocca – ‘the morning has gold in its mouth’ – and never has one felt so much that idea as this morning.”
In this article, we will be discussing the top 10 stock picks of Crispin Odey based on his second quarter portfolio.
Among the notable holdings of Odey as of the second quarter of 2021 are Microsoft Corporation (NASDAQ:MSFT), Alphabet Inc. (NASDAQ:GOOG), and Facebook, Inc. (NASDAQ: FB).
Crispin Odey of Odey Asset Management Group
Why pay attention to Odey’s picks? Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 86 percentage points since March 2017. Between March 2017 and July 2021, our monthly newsletter’s stock picks returned 186.1%, vs. 100.1% for the SPY. Our stock picks outperformed the market by more than 86 percentage points (see the details here). That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.
Keeping all these points in mind, let’s start our list of top 10 stock picks of apocalyptic investor Crispin Odey. We picked stocks from the Q2 portfolio of Odey.
Top 10 Stocks Picks of Apocalyptic Investor Crispin Odey
10. ViacomCBS Inc. (NASDAQ:VIACA)
Odey’s Stake Value: $8,522,000
Percentage of Crispin Odey’s 13F Portfolio: 1.91%
Number of Hedge Fund Holders: 71
ViacomCBS Inc. (NASDAQ:VIACA) is a multi-media and entertainment company. It was incorporated in 1986 and is ranked tenth on the list of top 10 stocks picks of apocalyptic investor Crispin Odey.
The hedge fund managed by Crispin Odey holds 188,524 shares in ViacomCBS Inc. (NASDAQ: VIACA), worth over $8.52 million, representing 1.91% of their portfolio. There were 71 hedge funds in our database that held stakes in ViacomCBS Inc. (NASDAQ:VIACA) in the second quarter of 2021, compared to 89 funds in the previous quarter.
9. Sculptor Capital Management Inc (NYSE:SCU)
Odey’s Stake Value: $9,701,000
Percentage of Crispin Odey’s 13F Portfolio: 2.18%
Number of Hedge Fund Holders: 19
Sculptor Capital Management Inc (NYSE:SCU) is a global alternative asset management organization with a diverse portfolio. The company was founded in 1994 and is placed eighth on the list of top 10 stocks picks of apocalyptic investor Crispin Odey.
Crispin Odey’s Odey Asset Management Group currently holds 394,497 shares of Sculptor Capital Management Inc (NYSE:SCU) that amounts to $9.70 million. Sculptor occupies 2.42% of Odey Asset Management Group’s total portfolio. There were 19 hedge funds in our database that held stakes in Sculptor Capital Management Inc (NYSE:SCU) in the second quarter of 2021, compared to 17 funds in the first quarter.
8. AGCO Corporation (NYSE:AGCO)
Odey’s Stake Value: $13,196,000
Percentage of Crispin Odey’s 13F Portfolio: 2.96%
Number of Hedge Fund Holders: 38
AGCO Corporation (NYSE:AGCO) is a global manufacturer and distributor of agricultural equipment and replacement components. It was founded in 1990 and is placed eighth on the list of top 10 stocks picks of apocalyptic investor Crispin Odey.
Odey Asset Management Group owns 101,213 shares in AGCO Corporation (NYSE:AGCO), worth over $13.20 million. This represents 2.96% of their portfolio. The latest data reveals that the hedge fund’s stake in AGCO stock decreased by 40% in the second quarter of 2021. AQR Capital Management is a leading shareholder in AGCO Corporation (NYSE:AGCO), with 788,739 shares worth more than $100.91 million.
7. Viasat, Inc. (NASDAQ:VSAT)
Odey’s Stake Value: $13,580,000
Percentage of Crispin Odey’s 13F Portfolio: 3.05%
Number of Hedge Fund Holders: 22
Viasat, Inc. (NASDAQ:VSAT) is a global internet and communication goods and services provider.
The hedge fund chaired by Crispin Odey holds 272,477 shares in Viasat, Inc. (NASDAQ:VSAT) worth $13.58 million. Odey Asset Management Group’s stake in Viasat shares decreased by 73% in the second quarter of 2021. Viasat, Inc. (NASDAQ:VSAT) saw a decrease in hedge fund sentiment recently. The number of long hedge fund positions declined to 22 in the second quarter of 2021 compared to 26 positions in the previous quarter.
Longleaf Partners Small-Cap Fund, in its fourth-quarter 2020 investor letter, mentioned Viasat, Inc. (NASDAQ:VSAT). Here is what the fund has to say about Viasat in its letter:
“ViaSat (-50%, -2.29%; –, –), the satellite communications company, was also a top detractor this year. We exited our position in September at a moderate loss, but a longer-term opportunity cost after six years of ownership. Over the course of our holding, ViaSat shrunk its residential subscriber churn and raised prices, as we had originally believed they would. Its government business grew revenues and profits strongly, and ViaSat Inflight signed up over 2000 airplanes. But the company will not produce positive FCF for several more years due to the ongoing investment demands of its next-gen satellites and other capital allocation decisions. Hard to quantify threats from new entrants have emerged from the likes of a still questionable but now well-funded SpaceX and a farther-off Amazon constellation. We have also disagreed with management on certain items over our holding period. There is a wide range of outcomes from here for the business, but we felt we could deploy the capital elsewhere with less risk.”
6. Banco Macro S.A. (NYSE:BMA)
Odey’s Stake Value: $25,251,000
Percentage of Crispin Odey’s 13F Portfolio: 5.67%
Number of Hedge Fund Holders: 6
Banco Macro S.A. (NYSE:BMA) offers various banking products and services to both retail and business customers. It was incorporated in 1966 and is placed sixth on the list of top 10 stocks picks of apocalyptic investor Crispin Odey.
The hedge fund chaired by Crispin Odey holds 1.68 million shares in Banco Macro S.A. (NYSE:BMA) worth over $25.25 million, representing 5.67% of their portfolio. In addition, the hedge fund has increased its stake in the firm by 4% in the second quarter of 2021.
In the second quarter of 2021, 6 hedge funds in the database of Insider Monkey held stakes worth $35.38 million in Banco Macro S.A. (NYSE:BMA), down from 8 the preceding quarter worth $30.49 million.
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Disclosure: None. Top 10 Stocks Picks of Apocalyptic Investor Crispin Odey is originally published on Insider Monkey.
