Hedge Funds Regret Being Bullish On These 4 Stocks In Q2

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Magna International Inc (USA) (NYSE:MGA)

Investors with Long Positions (as of June 30): 52
Aggregate Value of Investors’ Holdings (as of June 30): $1.56 Billion

Another Canadian company is next on our list, as Magna International Inc (USA) (NYSE:MGA), one of the world’s largest automotive parts suppliers, was in the portfolios of 18 more funds on June 30 than it was on March 31. The aggregate value of funds’ holdings was also up by over 60% during a quarter in which shares gained less than 5%. One of the biggest new shareholders was billionaire Rob Citrone, with the stock ranking as one of his top new picks. Citrone bought over 2.35 million shares of Magna International during the second quarter. Doug Silverman and Alexander Klabin’s Senator Investment was another bullish investor, opening a new 3.75 million-share position. Shares of Magna International Inc (USA) (NYSE:MGA) have fallen by more than 14% in the third quarter however, much to its new shareholders’ chagrin.

Anthem Inc (NYSE:ANTM)

Investors with Long Positions (as of June 30): 60
Aggregate Value of Investors’ Holdings (as of June 30): $3.02 Billion

Lastly is Anthem Inc (NYSE:ANTM), which was found in the portfolios of nine more hedge funds at the end of the second quarter than it was at the start. In this case however, we see that funds collectively trimmed their holdings by $130 million, even as the stock gained 6% in the second quarter, so there were at least some signs among the smart money’s moves that indicated caution. Shares have been on a steady decline in the third quarter, dropping by around 14% to hit their six-month low. Billionaire Andreas Halvorsen was one of the investors with a new position in Anthem Inc (NYSE:ANTM), consisting of 1.91 million shares, while top shareholders Larry Robbins and Cliff Asness both trimmed their holdings.

Disclosure: None



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