Longleaf Partners Fund, a Memphis-based fund under Southeastern Asset Management, recently released its Q3 2020 Investor Letter, a copy of which you can download here. The fund posted a return of 7.21% for the quarter, underperforming its benchmark, the S&P 500 Index which returned 8.93% in the same quarter. You should check out Longleaf Partners’ top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q3 2020 Investor Letter, Longleaf Partners’ highlighted a few stocks and Comcast Corp (NASDAQ:CMCSA) is one of them. Comcast Corp (NASDAQ:CMCSA) is a telecommunications company. Year-to-date, Comcast Corp (NASDAQ:CMCSA) stock gained 14.4% and on December 16th it had a closing price of $51.43. Here is what Longleaf Partners’ said:
“Comcast (18%, 0.83%), the cable and entertainment company, added to the strong absolute results in the quarter. Cable delivered one of its best quarters of net subscriber additions ever and grew EBITDA 5.5%, while losses from closed small business customers have moderated during reopening from the COVID lockdown. Sky, the European TV and broadband business acquired in 2018, retained subscribers at a high rate despite the extended absence of live sports. CEO Brian Roberts stated that Sky remains on pace to double its EBITDA over the next several years. Comcast’s new Peacock streaming service and Universal theme parks are ramping up revenues gradually, presenting more opportunities for Comcast to improve earnings significantly over the next several years. Despite the double-digit returns in the quarter, the company remains discounted. We were encouraged by Roberts’s statement in the quarter that he was committed to repurchasing shares again in the near future.”
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In October, we published an article revealing that First Eagle Investment Management is betting on Comcast Corp (NASDAQ:CMCSA) stock as the company is undervalued at the current price.
In Q3 2020, the number of bullish hedge fund positions on Comcast Corp (NASDAQ:CMCSA) stock increased by about 3% from the previous quarter (see the chart here), so a number of other hedge fund managers believe in Comcast’s growth potential. Our calculations showed that Comcast Corp (NASDAQ:CMCSA) isn’t ranked among the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 216% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 121 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. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
Video: Top 5 Stocks Among Hedge Funds
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 10 most profitable companies in the world to pick the best large-cap stocks to buy. 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.
