Markets tumbled on Friday following a disappointing jobs report from the Labor Department, according to which just 38,000 new jobs were created in May, the lowest since 2010. Analysts had predicted 158,000 new jobs. Some of the stocks worth watching today are McKesson Corporation (NYSE:MCK), Baidu Inc (ADR), (NASDAQ:BIDU), CST Brands Inc (NYSE:CST), Toyota Motor Corp (ADR) (NYSE:TM) and Chemours Co (NYSE:CC). Let’s see why these stocks are moving today and find out what elite investors think about each of them.
Through extensive research, we determined that imitating some of the picks of hedge funds and other institutional investors can help generate market-beating returns over the long run. The key is to focus on the small-cap picks of these investors, since they are usually less followed by the broader market and are less price-efficient. Our backtests that covered the period between 1999 and 2012, showed that following the 15 most popular small-caps among hedge funds can help a retail investor beat the market by an average of 95 basis points per month (see more details here).
McKesson Corporation To Let Go of Its IT Unit
McKesson Corporation (NYSE:MCK) is in the spotlight today after the Wall Street Journal reported that the company is considering to sell or spin off its Information Technology business due to the pricing difficulties it is facing in its core medicine delivery business. The source said that it is not yet clear whether the company would sell the complete business or only a part of it. McKesson Corporation’s IT business, dubbed as Technology Solutions, provides software solutions and services to doctors and hospitals. A total of 66 hedge funds from our database are long in McKesson Corporation (NYSE:MCK) as of the end of the first quarter of 2016.
Baidu To Mass Produce Driverless Cars
Baidu Inc (ADR) (NASDAQ:BIDU)’s stock has inched down after its Senior Vice President Wang Jing announced that the company is planning to launch driverless cars in five years. He was speaking at The Wall Street Journal’s Converge Technology Conference in Hong Kong. Mr. Jing said that the market of self-driving cars is vast and a single company cannot dominate it. Out of nearly 766 funds tracked by Insider Monkey, 72 funds amassed $4.8 billion worth of s Baidu Inc (ADR) (NASDAQ:BIDU) shares at the end of March. Natixis Global Asset Management’s Harris Associates owns more than 4.6 million shares of the company.
We will see why CST Brands, Toyota Motor Company and Chemours are in the spotlight today on the next page.