At Insider Monkey we track the activity of some of the best-performing hedge funds like Appaloosa Management, Baupost, and Third Point because we determined that some of the stocks that they are collectively bullish on can help us generate returns above the broader indices. Out of thousands of stocks that hedge funds invest in, small-caps can provide the best returns over the long term due to the fact that these companies are less efficiently priced and are usually under the radars of mass-media, analysts and dumb money. This is why we follow the smart money moves in the small-cap space.
Broadcom Corporation (NASDAQ:BRCM) has seen a decrease in enthusiasm from smart money recently. BRCM was in 67 hedge funds’ portfolios at the end of September. There were 79 hedge funds in our database with BRCM positions at the end of the previous quarter. At the end of this article we will also compare BRCM to other stocks including Travelers Companies Inc (NYSE:TRV), Brookfield Asset Management Inc. (NYSE:BAM), and Sony Corporation (ADR) (NYSE:SNE) to get a better sense of its popularity.
With all of this in mind, let’s go over the new action surrounding Broadcom Corporation (NASDAQ:BRCM).
What does the smart money think about Broadcom Corporation (NASDAQ:BRCM)?
At Q3’s end, a total of 67 of the hedge funds tracked by Insider Monkey were bullish on this stock, a change of -15% from one quarter earlier. With the smart money’s capital changing hands, there exists a select group of key hedge fund managers who were upping their stakes meaningfully (or already accumulated large positions).
When looking at the institutional investors followed by Insider Monkey, Andreas Halvorsen’s Viking Global has the number one position in Broadcom Corporation (NASDAQ:BRCM), worth close to $1.2122 billion, accounting for 4.6% of its total 13F portfolio. The second most bullish fund manager is Matthew Halbower of Pentwater Capital Management, with a $1.1367 billion position; 10% of its 13F portfolio is allocated to the stock. Remaining peers with similar optimism include Eric W. Mandelblatt’s Soroban Capital Partners, Thomas Steyer’s Farallon Capital and D E Shaw.