5 Best Stocks to Buy According to John Paulson

3. BrightSphere Investment Group Inc. (NYSE: BSIG)

Paulson’s Stake Value: $407,611,000
Percentage of John Paulson’s 13F Portfolio: 9.36%
Number of Hedge Fund Holders: 26

BrightSphere Investment Group Inc. (NYSE: BSIG) operates as an asset management firm. It was founded in 1980 and stands third on the list of 10 best stocks to buy according to John Paulson. John Paulson’s bet on BrightSphere is paying off. The company shares are up 74.15% over the last 12 months. 

On June 10, BrightSphere published that it signed an agreement to sell its 75.1% ownership interest in Thompson, Siegel Walmsley, or TSW to Pendal Group for $240 million. On April 29, BrightSphere Investment Group Inc. (NYSE: BSIG) declared a quarterly dividend of $0.01 per share, in line with the previous. On April 9, BofA analyst Michael Carrier upgraded BrightSphere Investment Group to “Buy” from “Neutral” with a price target of $27, up from $22. Paulson & Co owns more than 20 million shares of the company, worth $407.61 million. 

Third Avenue Management, in its second quarter 2021 investor letter, mentioned BrightSphere Investment Group Inc. (NYSE: BSIG). Here is what Third Avenue Management has to say about BrightSphere in its letter:

“The time-arbitrage/special-situations bucket predominantly comprises other out-of-favor, misunderstood companies such as BrightSphere. This company is cyclical and currently out of favor, but given its strong financial positions, Fund Management believes they have the luxury of time and capital to invest and grow until the clouds dissipate.”