3 Top Stock Picks of Billionaire Bill Ackman

In this article, we discuss the 3 top stock picks of billionaire Bill Ackman. If you want to read about some stocks in the Ackman portfolio, go directly to 7 Top Stock Picks of Billionaire Bill Ackman.

3. Canadian Pacific Railway Limited (NYSE:CP)

Number of Hedge Fund Holders: 42   

Canadian Pacific Railway Limited (NYSE:CP) owns and operates a transcontinental freight railway. Latest data shows that Pershing Square owned 2.9 million shares of Canadian Pacific Railway Limited (NYSE:CP) at the end of the second quarter of 2022 worth $205 million, representing 2.75% of the portfolio. 

On September 12, investment advisory Bank of America upgraded Canadian Pacific Railway Limited (NYSE:CP) stock to Buy from Neutral and raised the price target to $87 from $85. Analyst Ken Hoexter issued the ratings update. 

At the end of the second quarter of 2022, 42 hedge funds in the database of Insider Monkey held stakes worth $7 billion in Canadian Pacific Railway Limited (NYSE:CP), compared to 41 in the preceding quarter worth $8.1 billion. 

In its Q3 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Canadian Pacific Railway Limited (NYSE:CP) was one of them. Here is what the fund said:

“The other major headwind to relative performance in the quarter was Canadian Pacific Railway Limited (NYSE:CP). The stock has been a strong performer for the Strategy but negative sentiment around its bidding war for U.S. rail operator Kansas City Southern has weighed on the stock since late May. As a result, the cyclical uptick we expected from the company has been masked by the takeover. Indeed, we have been frustrated by the muted performance among Canadian Pacific and other recently added positions in our structural bucket of growth companies with more cyclical business models or that are undergoing a restructuring that should lead to a step change improvement in earnings. As more regions reopen from COVID-19 and spending rebounds, we expect better performance from our structural names, including Airbus and hospitality and food service provider Compass.”