How do you pick the next stock to invest in? One way would be to spend hours of research browsing through thousands of publicly traded companies. However, an easier way is to look at the stocks that smart money investors are collectively bullish on. Hedge funds and other institutional investors usually invest large amounts of capital and have to conduct due diligence while choosing their next pick. They don’t always get it right, but, on average, their stock picks historically generated strong returns after adjusting for known risk factors. With this in mind, let’s take a look at the recent hedge fund activity surrounding The WhiteWave Foods Co (NYSE:WWAV).
Is The WhiteWave Foods Co (NYSE:WWAV) a good investment now? Prominent investors are getting more optimistic. The number of bullish hedge fund positions inched up by 3 lately. WWAV was in 33 hedge funds’ portfolios at the end of September. There were 30 hedge funds in our database with WWAV positions at the end of the previous quarter. At the end of this article we will also compare WWAV to other stocks including Torchmark Corporation (NYSE:TMK), CDW Corp (NASDAQ:CDW), and Brixmor Property Group Inc (NYSE:BRX) to get a better sense of its popularity.
Keeping this in mind, let’s view the latest action encompassing The WhiteWave Foods Co (NYSE:WWAV).
What have hedge funds been doing with The WhiteWave Foods Co (NYSE:WWAV)?
Heading into Q4, a total of 33 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 10% from the second quarter. With hedge funds’ capital changing hands, there exists a few notable hedge fund managers who were boosting their holdings significantly (or already accumulated large positions).
According to Insider Monkey’s hedge fund database, York Capital Management, managed by James Dinan, holds the number one position in The WhiteWave Foods Co (NYSE:WWAV). York Capital Management has a $134.5 million position in the stock, comprising 1.8% of its 13F portfolio. The second largest stake is held by Miura Global Management, managed by Pasco Alfaro / Richard Tumure, which holds a $128.5 million position; 7% of its 13F portfolio is allocated to the company. Other members of the smart money with similar optimism encompass John Paulson’s Paulson & Co, and D E Shaw.