Two Companies Update Their Guidance and Hedge Funds Say You Should Bet on One of Them

Meanwhile, Autodesk, Inc. (NASDAQ:ADSK) similarly reaffirmed its guidance for the current quarter and for the full year. For the third quarter of its fiscal 2016, it expects revenue to be between $580 million and $600 million, while adjusted earnings per share are expected in the range of $0.05 to $0.10, the firm said. For the full fiscal 2016 year, the firm expects revenue to be in the range from $2.47 billion to $2.51 billion and adjusted earnings between $0.60 and $0.72 per share. Like AT&T, Autodesk believes it will report more net subscription for the full year, setting the forecast in the range of 375,000 to 425,000. Billings are expected to grow anywhere from 2% to 4%. The company’s management continues to believe that their transition from one-time licenses to a subscription model will provide further opportunities for the company, making the 2017 fiscal year an “inflection point” for revenue with financial metrics stabilizing in the 2020 fiscal year.

Hedge funds favored Autodesk, Inc. (NASDAQ:ADSK) during the second quarter, when compared to AT&T, because even though there were 45 hedge funds from our database long Autodesk, down by three over the quarter, the aggregate value of their holdings declined only by 10.90% to $2.25 billion, amid a 14.61% decline of the stock. Moreover, hedge funds owned 19.70% of Autodesk at the end of June. Among these investors, Eric W. Mandelblatt’s Soroban Capital Partners reduced its stake by 2% on the quarter to 10.34 million shares.

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