Apple Inc. (AAPL), Clearwire Corporation (CLWR): We’re Watching This Hedge Fund

Key Corp. (NYSE:KEY) is the third-largest holding in Sirios Capital’s equity portfolio, worth 6.27% of its total holdings. The bank holding company, which presently trades at a P/E of 11.32, is paying a 2.01% dividend, which is comparable to competitors, such as Wells Fargo. The company’s return on equity (8.44%) outpaces the industry average (8.03%), and the stock’s price is up more than 20% over the past year. Key Bank is expected to post an 11.63% EPS growth rate next year.

The second-largest holding in the Sirios Capital equity portfolio is Clearwire Corporation (NASDAQ:CLWR). The wireless broadband service provider comprises 6.64% of John Brennan’s 13F-reported stock holdings, although he has decreased his position substantially, as of late. However, heading into 2013, a total of 32 of the hedge funds we track were long in this stock, a change of 45% from one quarter earlier. The 4G-network operator’s stock is up 39% over the past year and is presently trading with expectations of an EPS growth rate of 62.48% this year.

Comerica Incorporated (NYSE:CMA), Brennan’s favorite stock, comprises a whopping 8% of the Sirios equity portfolio. Recently, Brennan increased his long position in the stock by 2%. The financial services company’s stock is up nearly 12% over the past year. Further, earnings per share growth this year is expected to come close to 30%, with five-year averages falling in the 6-7% range. Add to this, a healthy profit margin (20.46%) and an industry-pacing ROE (7.46% to 8.03%), and it’s not surprising that Brennan is bullish on the stock.

Obviously, the financial services industry is immensely sensitive to economic cycles. Thus, given the present climate, it’s understandable that investors may not be too eager to take a long position in a stock like Comerica. However, it appears to be a strong regional bank, which is appropriately valued, and the valuation argument is one that stretches back to Apple, Clearwire Corporation (NASDAQ:CLWR), Whirlpool, and the remaining members of this hedgie’s top five. If pressed to choose one out of this group, we’d go with Apple Inc. (NASDAQ:AAPL), as the bargain-bin multiples and analyst sentiment are a combination that’s too attractive to ignore.

Disclosure: none

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!