In this article, we discuss the 5 stocks that US Politicians are selling. If you want to read about some more stocks that US Politicians are selling, go directly to US Politicians are Selling These 10 Stocks.
5. Costco Wholesale Corporation (NASDAQ:COST)
Number of Hedge Fund Holders: 61
Costco Wholesale Corporation (NASDAQ:COST) owns and runs membership warehouses. According to the latest filings, US House member David McKinley disclosed a transaction related to Costco Wholesale Corporation (NASDAQ:COST) stock worth around $1,000-$15,000 on August 3. The politician revealed that his wife had sold the shares of the firm worth the above mentioned amount in late July.
On August 4, Oppenheimer analyst Rupesh Parikh maintained an Outperform rating on Costco Wholesale Corporation (NASDAQ:COST) stock and raised the price target to $600 from $535, noting that the firm was continuing to gain meaningful share in the retail sector.
At the end of the first quarter of 2022, 61 hedge funds in the database of Insider Monkey held stakes worth $5.41 billion in Costco Wholesale Corporation (NASDAQ:COST), up from 57 in the preceding quarter worth $5.40 billion.
In its Q4 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Costco Wholesale Corporation (NASDAQ:COST) was one of them. Here is what the fund said:
“Portfolio gains were led by a diverse group of contributors. Also in consumer discretionary, Costco Wholesale Corporation (NASDAQ:COST), which operates a chain of membership-only big-box retail stores, continues to impress as it takes to share and becomes more relevant for the consumer even as the world opens up.”
4. Airbnb, Inc. (NASDAQ:ABNB)
Number of Hedge Fund Holders: 66
Airbnb, Inc. (NASDAQ:ABNB) operates an online travel platform. On August 3, US House member Jim Langevin disclosed a sale transaction related to Airbnb, Inc. (NASDAQ:ABNB) stock worth somewhere between $1,000 and $15,000. The member revealed that he had exercised CALL options on the stock with a strike price of $120 that were expiring on August 5. The transaction in this regard took place in late July.
On August 3, RBC Capital analyst Brad Erickson maintained a Sector Perform rating on Airbnb, Inc. (NASDAQ:ABNB) stock and lowered the price target to $115 from $175, noting that the growth and margin leverage of the firm remain solid.
Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Airbnb, Inc. (NASDAQ:ABNB), with 3.3 million shares worth more than $575 million.
In its Q3 2021 investor letter, Tollymore Investment Partners, an asset management firm, highlighted a few stocks and Airbnb, Inc. (NASDAQ:ABNB) was one of them. Here is what the fund said:
“Today disruptors are not typically seeking to replace incumbents entirely. Rather, they break the links in the customer journey, in doing so better aligning monetisation with value creation and minimising externalities. For example, Airbnb, Inc. (NASDAQ:ABNB) broke the link between staying in residential property and owning it. Airbnb, Inc. (NASDAQ:ABNB) is a specific example of a business model innovation which separated asset use from ownership. This is hardly a novel idea; it’s called renting. Rental models lend themselves to assets which are expensive and durable, and where usage is infrequent.”
3. Block, Inc. (NYSE:SQ)
Number of Hedge Fund Holders: 84
Block, Inc. (NYSE:SQ) provides payments services. On August 3, US House member Jim Langevin disclosed a transaction related to Block, Inc. (NYSE:SQ) stock worth somewhere between $1,000 and $15,000. The member revealed that he had exercised CALL options on the stock with a strike price of $70 that were expiring in late July. The sale transaction in this regard took place on July 22.
On August 8, Mizuho analyst Dan Dolev maintained a Buy rating on Block, Inc. (NYSE:SQ) stock and lowered the price target to $125 from $135, noting the second quarter earnings of the firm were fine but lacked the pop of the previous quarters.
At the end of the first quarter of 2022, 84 hedge funds in the database of Insider Monkey held stakes worth $6.1 billion in Block, Inc. (NYSE:SQ), compared to 96 in the preceding quarter worth $5.9 billion.
In its Q1 2022 investor letter, Farrer Wealth Advisors, an asset management firm, highlighted a few stocks and Block, Inc. (NYSE:SQ) was one of them. Here is what the fund said:
“Block, Inc. (NYSE:SQ) (formerly Square): We ‘adopted’ Block’s stock after the company bought Afterpay, which we were investors in. We had been trimming the Afterpay position throughout 2021 and trimmed again after the acquisition, so the position was quite small. We held onto that small portion, as we did think the acquisition made sense and were excited to see the two companies integrate and for Block, Inc. (NYSE:SQ) to create a closed loop network between merchants and consumers. However, the market punished most highly valued tech stocks over the last months, and we saw the position move against us by over 50%. We are firm believers that when a stock goes against you by 50%+, you need to do something about it. Either trim/sell and reinvest or buy more. In the case of Block, the original reason for holding was to see how the acquisition and integration with Afterpay panned out. The market did not give us the time to see this play out, thus we were not comfortable adding more to the position. Further for the stock to recover to our purchase price, we felt the company’s valuation would need to command a future exit multiple that the market would be unlikely to pay in this environment. Given this, we exited the remainder of the position.”
2. UnitedHealth Group Incorporated (NYSE:UNH)
Number of Hedge Fund Holders: 103
UnitedHealth Group Incorporated (NYSE:UNH) operates as a diversified healthcare firm. Per latest disclosures, US House member David McKinley sold UnitedHealth Group Incorporated (NYSE:UNH) stock worth around $1,000-$15,000. The transaction, revealed on behalf of his wife, was disclosed almost a month after it was made.
On July 25, Argus analyst David Toung maintained a Buy rating on UnitedHealth Group Incorporated (NYSE:UNH) stock and raised the price target to $650 from $580, appreciating the second quarter earnings beat of the firm and the guidance raise.
At the end of the first quarter of 2022, 103 hedge funds in the database of Insider Monkey held stakes worth $12.8 billion in UnitedHealth Group Incorporated (NYSE:UNH), compared to 96 in the preceding quarter worth $13.6 billion.
In its Q2 2022 investor letter, Wedgewood Partners, an asset management firm, highlighted a few stocks and UnitedHealth Group Incorporated (NYSE:UNH) was one of them. Here is what the fund said:
“UnitedHealth Group Incorporated (NYSE:UNH) also contributed to performance during the quarter. United’s operating income grew +3% on difficult year-ago comparisons as benefits members utilized more services compared to last year. Optum Health grew operating income +40% as more patients are enrolled in the Company’s value-based care services. The Company estimates nearly a third of all medical care is unnecessary and represents an opportunity to capture savings for both patients. Optum’s integrated platform of patient data, IT, and service providers are focused on driving out these unnecessary costs and should serve as the engine for long-term, mid-teens earnings per share growth.”
1. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 271
Amazon.com, Inc. (NASDAQ:AMZN) is a diversified technology firm with core interests in e-commerce. On August 5, US House member Michael Burgess disclosed that he had sold Amazon.com, Inc. (NASDAQ:AMZN) stock worth somewhere between $15,001-$50,000. The transaction in this regard took place two weeks before it was made public.
On August 5, DA Davidson analyst Tom Forte maintained a Buy rating on Amazon.com, Inc. (NASDAQ:AMZN) stock with a price target of $151, noting that the firm would be more willing for merger and acquisition activity under new top management.
Among the hedge funds being tracked by Insider Monkey, London-based investment firm Citadel Investment Group is a leading shareholder in Amazon.com, Inc. (NASDAQ:AMZN), with 4 million shares worth more than $13 billion.
In its Q2 2021 investor letter, Oakmark Funds, an asset management firm, highlighted a few stocks and Amazon.com, Inc. (NASDAQ:AMZN) was one of them. Here is what the fund said:
“Amazon.com, Inc. (NASDAQ:AMZN) is the leading e-commerce and cloud-computing provider in the world. Two-thirds of U.S. households are Amazon Prime subscribers, and over half of all online product searches now start on Amazon.com, Inc. (NASDAQ:AMZN). We believe the company’s strong customer loyalty and massive infrastructure are significant barriers to entry in a growing e-commerce market. Separately, Amazon Web Services (“AWS”) controls nearly half of the market in cloud computing. We believe AWS has become utility-like in nature and scale and we expect healthy growth moving forward as IT workloads continue moving to the cloud. More recently, concerns about rising investment spending have weighed on the stock-as they have in times past-providing us another opportunity to purchase shares at a very attractive price. At our purchase price and valuing AWS like its peers, an investor isn’t paying much of anything for the immensely valuable e-commerce franchise.”
You can also take a peek at 10 Best Healthcare Dividend Stocks to Buy Now and 10 Dividend Stocks with Over 20 Years of Dividend Increases.
