The equity holdings of hedge funds in the third quarter may give a glimpse of what companies hold the most promise in the eyes of investors, according to a WalletHub report.
After experiencing a record high in the first half of 2019, total hedge fund capital decreased slightly in the third quarter to $3.245 trillion—a dip of $5.5 billion. Still, that's more than the GDP of any nation in the world except four, including the U.S.m according to WalletHub.The median yearly earnings for a hedge fund manager is now just under $350,000, with many of the managers billionaires.
Thanks to the latest public disclosures of Form 13F-HR and SC amendments from October 1 to November 14 for over 400 of the largest H.S. hedge funds, investors can view fund holdings, according to WalletHub.
Here, in ascending order, are WalletHub’s top 10 most popular hedge fund holdings of the third quarter:
10.) Mastercard Inc. (MA)
Mastercard Inc., headquartered in Purchase, N.Y., delivered another successive quarter of solid revenue and earnings growth, with adjusted earnings of $2.19 billion or $2.15 per share for the period. The company ranked 10th for a second successive quarter.
9. UnitedHealth Group Inc. (UNH)
UnitedHealth Group Inc., based in Minnetonka, Minn., beat Wall Street third-quarter estimates thanks to subsidiary Optum’s double-digit growth in both revenue and earnings. Despite a profitable third quarter, UnitedHealth fell from favor, dropping from eighth place in the second quarter.
8. Bank of America Corp. (BAC)
Formerly ranked ninth, Bank of America Corp., headquartered in Charlotte, N.C., climbed to eighth place in the hearts and investment portfolios of Wall Street’s button-down billionaires. On October 16, the bank reported that shares rose 3.3% thanks to gains realized by higher investment banking fees.
7. JPMorgan Chase & Co. (JPM)
On October 14, New York-based JPMorgan Chase & Co. beat analysts’ expectations by announcing that third-quarter profits rose 8% to $9.1 billion, or $2.68 a share, with the stock rising 3.1%. Despite an impressive third quarter, the bank’s ranking remained unchanged since the second quarter.
6. Alphabet Inc. (GOOG)
Investors continue to believe that Alphabet Inc., the Mountain View, Calif., parent company of Google and its subsidiaries, can do no wrong, despite shares of the tech giant dipping as much as 4% after missing third quarter expectations. .
5. Visa Inc. (V)
The San Francisco payment gateway firm surpassed third-quarter earnings and revenue estimates, reporting adjusted earnings per share of $1.37 on revenue of $5.84 billion.
4. Facebook Inc. (FB)
In the face of data privacy scandals and regulatory probes, Facebook, the Menlo Park, Calif., social media platform, lost some of its second-quarter luster in the eyes of investors. The tech giant dropped from third to fourth place despite an earnings increase to $2.12 a share.
3. Amazon.com Inc. (AMZN)
Shareholders in Seattle-based e-commerce giant Amazon.com had to settle for $4.23 a share in the third quarter, compared with $5.75 a year earlier. The retail behemoth fell from last quarter’s second place ranking to third place.
2. Apple Inc. (AAPL)
After two successive down quarters, the Cupertino, Calif., tech giant reported third-quarter earnings above expectations. Apple returned to growth, with revenue hitting $53.8 billion and shareholders earning $2.18 a share. Investors took notice and Apple climbed from fourth to second place.
1. Microsoft Corp. (MSFT)
The darling of hedge fund managers, Microsoft ranked first in the third quarter, just as it did the previous quarter. The Redmond, Wash., tech giant’s stock jumped more than 3% on better-than-expected earnings of $1.14 a share and revenue of $30.6 billion, setting a record after rallying 34% over the past year.
The full report can be viewed here.
