5 Stocks to Buy According to Carlson Capital

In this article, we discuss 5 stocks to buy according to Carlson Capital. If you want to read our detailed analysis of the fund’s history, investment philosophy, and hedge fund performance, go directly to 10 Stocks to Buy According to Carlson Capital.

5. Coherent, Inc. (NASDAQ:COHR)

Carlson Capital’s Stake Value: $38,180,000
Percentage of Carlson Capital’s Portfolio: 2.61%
Number of Hedge Fund Holders: 36

Coherent, Inc. (NASDAQ:COHR) provides photonics-based technologies for commercial and scholarly purposes. The successful purchase of Coherent, Inc. (NASDAQ:COHR) by II-VI Incorporated (NASDAQ:IIVI) on July 1 resulted in the creation of a world leader in materials, networking, and lasers. The merged business will be known as Coherent and trade on the Nasdaq stock exchange under the ticker COHR.

Richard Shannon, an analyst with Craig-Hallum, maintained a ‘Buy’ rating on II-VI Incorporated (NASDAQ:IIVI) on July 1 but slashed his price objective from $85 to $80. However, the analyst modified his anticipated model when it became clear that the II-VI Incorporated (NASDAQ:IIVI) – Coherent, Inc. (NASDAQ:COHR) agreement would close.

According to Insider Monkey’s Q1 data, 36 hedge funds were bullish on Coherent, Inc. (NASDAQ:COHR), down from 38 funds in the preceding quarter. Pentwater Capital Management was the biggest shareholder of Coherent, Inc. (NASDAQ:COHR), with 774,000 shares worth $211.58 million.

Appleseed Fund mentioned Coherent, Inc. (NASDAQ:COHR) in its Q1 2021 investor letter. Here is what the fund said:

“Our most significant contributors to the Fund’s equity performance during the quarter (includes) Coherent (COHR). During the quarter, Coherent announced that it was being acquired, after which several other bidders emerged. Between the takeover announcement and the bidding war among Coherent suitors, the shares rallied strongly during the quarter.”