In this article, we discuss the top 5 stocks to buy according to Charles Pollnow’s Triple Frond Partners. If you want to read our detailed analysis of Pollnow’s history and hedge fund performance, go directly to the Top 10 Stocks to Buy According to Charles Pollnow’s Triple Frond Partners.
5. TransDigm Group Incorporated (NYSE:TDG)
Triple Frond Partner’s Stake Value: $83 million
Percent of Triple Frond Partner’s Portfolio: 9.01%
Number of Hedge Fund Holders: 57
TransDigm Group Incorporated (NYSE:TDG) is based in Ohio and works in the Aerospace & Defense Industry. TransDigm Group Incorporated (NYSE:TDG) manufactures and sells aircraft components in the US and abroad. TransDigm Group Incorporated (NYSE:TDG) ranks 5th on the list of top stocks according to Charles Pollnow’s Triple Frond Partners.
As of Q2 2021, Triple frond Partners holds 128,394 shares in TransDigm Group Incorporated (NYSE:TDG) worth $83 million. TransDigm Group Incorporated (NYSE:TDG) constitutes 9.01% of the hedge fund’s 13F portfolio. Compared to Q1 2021, the fund’s activity has increased in TransDigm Group Incorporated (NYSE:TDG) by 13% in Q2 2021.
As of Q2, 2021, 57 hedge funds have more than $67.35 billion worth of stakes in TransDigm Group Incorporated (NYSE:TDG), as tracked by Insider Monkey.
4. Visa Inc. (NYSE:V)
Triple Frond Partner’s Stake Value: $106 million
Percent of Triple Frond Partner’s Portfolio: 11.52%
Number of Hedge Fund Holders: 62
Visa Inc. (NYSE:V) ranks 4th on our list of top stocks by Charles Pollnow. Visa Inc. (NYSE:V) is a San Francisco-based company providing Financial Services. Visa Inc. (NYSE:V) provides a digital payment gateway to consumers, merchants, businesses, and institutions.
As of Q2 2021, Triple Frond Partners holds 453,500 shares in Visa Inc. (NYSE:V), valued at $106 million. Visa Inc. (NYSE:V) accounts for 11.52% of the portfolio of Charles Pollnow’s Triple Frond Partners.
Visa Inc. (NYSE:V) has generated a net income of $2.57 billion in Q2 2021, increasing from $2.37 billion in the same quarter last year. The year-on-year growth of quarterly revenue is recorded to be 26.7%. Visa Inc. (NYSE:V) reported an EPS of $1.49, beating the market consensus by $0.14 in Q2 2021. In September, Visa (NYSE:V) announced a strategic partnership in the Asia Pacific with Ascenda, the loyalty technology company. In September 2021, JPMorgan Chase & Co. raised its firm’s price target on Visa Inc. (NYSE:V) to $267 from $249, keeping an ‘Overweight’ rating on the shares.
As of Q2, 2021, 62 hedge funds have more than $27.6 billion worth of stakes in Visa Inc. (NYSE:V), as tracked by Insider Monkey.
3. Moody’s Corporation (NYSE:MCO)
Triple Frond Partner’s Stake Value: $108.2 million
Percent of Triple Frond Partner’s Portfolio: 11.73%
Number of Hedge Fund Holders: 44
Moody’s Corporation (NYSE:MCO) is based in New York, the US, and provides financial services through its risk assessment segments.
As of Q2 2021, Triple Frond Partners has 298,608 shares in the Moody’s Corporation (NYSE:MCO), worth $108.2 million. Moody’s Corporation (NYSE:MCO) accounts for 11.73% of the total 13F portfolio of Triple Frond Partners.
In September 2021, Oppenheimer raised its price target on Moody’s Corporation (NYSE:MCO) to $418 from $406, keeping an ‘Outperform’ rating on the shares.
As of Q2, 2021, 44 hedge funds have more than $16 billion worth of stakes in Moody’s Corporation (NYSE:MCO), as tracked by Insider Monkey. This number has increased from 55 hedge funds with a value of $13.7 billion in Q1 of 2021.
In the Q2 2021 investor letter of Qualivian Investment Partners, the fund mentioned Moody’s Corporation (NYSE: MCO). Here is what the fund said:
“Moody’s: Revenue, operating profit margins, and EPS all exceeded expectations, and annual guidance for these items (and for free cash flow) was raised. In MIS (Moody’s Investors Service) which houses the traditional ratings business, the outlook for debt issuance was raised for the remainder of the year, while MA (Moody’s Analytics) also came in ahead of expectations. The company leveraged strong revenue growth with strong operating profit margin improvement of 200 bps, with EPS coming in $0.22 ahead of consensus estimates. Management alluded to having interesting opportunities in their M&A pipeline, which we will have to assess when the time comes, but Moody’s management team has been very effective at allocating capital in the past toward value-creating bolt-on acquisitions, especially in their Moody’s Analytics business, a key growth driver for the company.”
2. Alphabet Inc. (NASDAQ:GOOG)
Triple Frond Partner’s Stake Value: $123 million
Percent of Triple Frond Partner’s Portfolio: 13.35%
Number of Hedge Fund Holders: 155
Alphabet Inc. (NASDAQ:GOOG) is based in California and operates as an advertising company. Alphabet Inc. (NASDAQ:GOOG) has operations in the Americas, Middle East, Europe, and Asia. Alphabet Inc. (NASDAQ:GOOG) runs its operations in segments like Google Services, Google Cloud, and Other Bets.
In the Q2 of 2021, Triple Frond Partners owned 49,120 shares worth $123 million. Alphabet Inc. (NASDAQ:GOOG) accounts for 13.35% of the hedge fund’s portfolio of 13F securities.
In September 2021, Goldman Sachs initiated coverage of Alphabet (NASDAQ:GOOG) with a ‘Buy’ rating and a $3,350 price target.
In the Q2 2021 investor letter of Polen Capital, the fund mentioned Alphabet Inc. (NASDAQ: GOOG). Here is what the fund said:
“Alphabet was the top contributor to our return for the second consecutive quarter. The company has over $1 trillion market capitalizations. Yet, based on first quarter 2021 results, GOOG is currently still growing revenue at over 30% organically! Alphabet has generated earnings and intrinsic value growth for many years, driven largely by the mostly free services the company provide to people who can easily choose to stop using them and spend their time elsewhere.
That said, we are regularly asked about the perceived high regulatory risk around Alphabet. We examine risks to businesses and, in particular, regulatory risks through a lens of risk exposure versus actual risk. However, we do not believe risk exposure is the same as actual risk…” (Click here to see the full text)
1. Charter Communications, Inc. (NASDAQ:CHTR)
Triple Frond Partner’s Stake Value: $229.08 million
Percent of Triple Frond Partner’s Portfolio: 24.84%
Number of Hedge Fund Holders: 75
Charter Communications, Inc. (NASDAQ:CHTR) tops our list of top 10 stocks to buy according to Charles Pollnow’s Triple Frond Partners. Charter Communications, Inc. (NASDAQ:CHTR) is based in Connecticut, United States, and specializes in communication services such as broadband internet and cable operator services for residential and commercial customers. The company has over 31 million customers and serves in 41 states.
Charles Pollnow’s Triple Frond Partners holds 317,529 shares worth $229 million in Charter Communication, accounting for 24.84% of the total 13F portfolio in the second quarter of 2021.
Charter Communications, Inc. (NASDAQ:CHTR) generated revenue of $12.8 billion in the Q2 of 2021, increasing from $11.69 billion in the same quarter last year. Charter Communications, Inc. (NASDAQ:CHTR) reported an EPS of $5.29, beating the market consensus of $4.78 in Q2 2021. In August 2021, Pivotal Research raised its price target on Charter Communications Inc. (NASDAQ:CHTR) to $1,000 from $820, keeping a ‘Buy’ rating on the shares.
As of Q2 of 2021, 75 hedge funds as tracked by Insider Monkey have stakes in Charter Communications, Inc. (NASDAQ:CHTR), valued at $19.48 billion.
You can also take a peek at 10 Best High-Yield Dividend Stocks According to Billionaire Mario Gabelli and 10 Best Safe Dividend Stocks According to Billionaire Dan Loeb.
