Top 5 Stocks Kettle Hill Capital Management Is Buying

3. FMC Corporation (NYSE:FMC)

FMC Corporation (NYSE:FMC) comes in third on our list of the top 10 stocks to buy now according to Kettle Hill Capital Management. The fund bought 235,889 shares of FMC during Q3, building a new position that was valued at $21.6 million on September 30 and which ranked as the fund’s 7th largest holding overall. Hedge funds began selling out of FMC Corporation (NYSE:FMC) this year after shares soared by more than 50% during the previous two years. Just 28 hedge funds were long FMC at the end of Q3, the lowest total since the first quarter of 2016.

Tweedy, Browne Company laid out the ongoing bullish case for FMC Corporation (NYSE:FMC) in its Q3 2021 investor letter, saying that the crop materials products have pricing power thanks to their patents and high barriers of entry due to the regulatory approval process, which is why FMC was able to deliver stellar EBITDA margins and Return on Equity in 2020 of 27% and 25% respectively. The fund also likes FMC’s new product pipeline.