In this article, we discuss 5 stocks to buy according to Matthew Hulsizer’s PEAK6 Capital Management. If you want to read our detailed analysis of Hulsizer’s history, investment philosophy, and hedge fund performance, go directly to 10 Stocks to Buy According to Matthew Hulsizer’s PEAK6 Capital Management.
5. Moderna, Inc. (NASDAQ:MRNA)
PEAK6 Capital Management’s Stake Value: $49,282,000
Percentage of PEAK6 Capital Management’s Portfolio: 0.1%
Number of Hedge Fund Holders: 41
Moderna, Inc. (NASDAQ:MRNA) is a company that works on developing transformational therapeutics based on messenger ribonucleic acid (mRNA). Philippe Laffont’s Coatue Management is the biggest stakeholder of Moderna, Inc. (NASDAQ:MRNA), increasing its hold on the company by 62% in Q1, with 6.93 million shares worth almost $1.19 billion.
PEAK6 Capital Management elevated its position in Moderna, Inc. (NASDAQ:MRNA) by 6% in Q1 2022, holding 286,090 shares worth over $49.28 million. The stock accounted for 0.1% of the fund’s total 13F portfolio.
The number of hedge funds tracked by Insider Monkey owning stakes in Moderna, Inc. (NASDAQ:MRNA) stood at 41 in Q1 2022, declining from 43 in the previous quarter. The total value of these holdings is more than $3.80 billion, down from $3.89 billion in Q4 2021.
Piper Sandler analyst Edward Tenthoff trimmed his price target on Moderna, Inc. (NASDAQ:MRNA) from $348 to $214 on May 17, noting pipeline modifications that reflect current market realities, but reiterated an Overweight rating on the company.
Carillon Tower Advisers mentioned Moderna, Inc. (NASDAQ:MRNA) in its Q3 2021 investor letter. Here is what the fund said:
“Moderna is a biotechnology company pioneering messenger RNA (mRNA) therapeutics and vaccines. The stock proved to be an impressive contributor once again in the quarter, as investors continue to evaluate the potential for future growth driven primarily by the firm’s revolutionary COVID-19 vaccine. Strong global demand for the vaccine may persist for the foreseeable future in order to maintain immunity as well as provide protection against any additional future variants. The potential for the firm’s mRNA technology to be used in a number of other use cases, specifically influenza, could also provide an additional tailwind for future growth.”
4. JPMorgan Chase & Co. (NYSE:JPM)
PEAK6 Capital Management’s Stake Value: $54,422,000
Percentage of PEAK6 Capital Management’s Portfolio: 0.11%
Number of Hedge Fund Holders: 110
JPMorgan Chase & Co. (NYSE:JPM) is the result of the merger of two financial services corporations in 2000, and today it has operations in over 60 countries. The company’s investment and banking services are available to consumers, as well as large and small enterprises.
JPMorgan Chase & Co. (NYSE:JPM) was raised to Buy from Hold by Societe Generale analyst Andrew Lim on May 24, and a price objective of $150, up from $145. Lim informed investors in a research note that the business gave a favorable forecast on net interest income, credit quality, and investment bank trading revenues during its investor day.
According to the 13F filings for the first quarter of 2022, PEAK6 Capital Management held over 399,227 shares of JPMorgan Chase & Co. (NYSE:JPM), amounting to more than $54.42 million and representing 0.11% of the fund’s portfolio value.
At the end of March 2022, 110 hedge funds tracked by Insider Monkey owned stakes in JPMorgan Chase & Co. (NYSE:JPM), up from 107 in the previous quarter. These stakes hold an aggregate value of over $5.05 billion. Ken Fisher’s Fisher Asset Management was JPMorgan Chase & Co. (NYSE:JPM)’s leading shareholder in Q1 2022, owning a $1.06 billion position.
In its Q4 2021 investor letter, ClearBridge Investments mentioned JPMorgan Chase & Co. (NYSE:JPM). Here is what the firm said:
“Our energy and financials holdings kept pace in the 2021 rally. In financials, JPMorgan benefited from strong economic growth, a rise in Treasury yields, and a benign credit environment.”
3. Amazon.com, Inc. (NASDAQ:AMZN)
PEAK6 Capital Management’s Stake Value: $57,176,000
Percentage of PEAK6 Capital Management’s Portfolio: 0.12%
Number of Hedge Fund Holders: 271
Amazon.com, Inc. (NASDAQ:AMZN) is an e-commerce, cloud computing, digital streaming, and artificial intelligence-focused American multinational technology firm. Matthew Hulsizer initiated a new stake in Amazon.com, Inc. (NASDAQ:AMZN) in the first quarter of 2022 by purchasing 17,539 shares worth $57.18 million.
Morgan Stanley analyst Brian Nowak cut his price objective on Amazon.com, Inc. (NASDAQ:AMZN) from $3,800 to $3,500 on June 1 and reiterated an Overweight rating on the stock. Nowak notified investors that he reduced projections for online ad and e-commerce firms due to a more conservative base case he picked to account for heightened macro and micro uncertainty.
As per Insider Monkey’s Q1 2022 database, 271 hedge funds held stakes worth $48.03 billion in Amazon.com, Inc. (NASDAQ:AMZN). In comparison, 279 hedge funds held positions in the company in the previous quarter, with stakes valued at over $49.16 billion. In addition, Fisher Asset Management was one of the leading shareholders of Amazon.com, Inc. (NASDAQ:AMZN) in Q1 2022, owning stakes worth over $7.70 billion.
Baron Funds, an investment firm, in its Q1 2022 investor letter, mentioned Amazon.com, Inc. (NASDAQ:AMZN). Here’s what the fund said:
“Jeff Bezos sums up the current market behavior well in his 2000 shareholder letter where he quoted Benjamin Graham’s famous statement that, in the short term, a stock market is a voting machine, while in the long term, it is a weighing machine, saying that Amazon (NASDAQ:AMZN) is a “company that wants to be weighed, and over time we will be – over the long term, all companies are. In the meantime, we have our heads down working to build a heavier and heavier company.”
We have a lot of conviction that our businesses are doing the same – working to build heavier and heavier companies.”
2. Alphabet Inc. (NASDAQ:GOOG)
PEAK6 Capital Management’s Stake Value: $68,182,000
Percentage of PEAK6 Capital Management’s Portfolio: 0.14%
Number of Hedge Fund Holders: 160
Alphabet Inc. (NASDAQ:GOOG) is a technology company located in California. In the United States, the Middle East, Africa, Europe, Asia-Pacific, Canada, and Latin America, it offers a variety of products and platforms. Another stock that PEAK6 Capital Management added to its portfolio in the first quarter was Alphabet Inc. (NASDAQ:GOOG), where the hedge fund owner purchased 24,514 shares. On June 6, Gevo, Inc. (NASDAQ:GEVO) announced a partnership with Alphabet Inc. (NASDAQ:GOOG) Cloud to evaluate and verify the performance of next-generation biofuels across the supply chain using full lifecycle sustainability data tracking.
On June 2, Piper Sandler analyst Thomas Champion cut his price target on Alphabet Inc. (NASDAQ:GOOG) from $2,900 to $2,775 while maintaining his Overweight rating. Group multiples, according to the analyst, will not re-rate until ad spend growth has reached a bottom. In the online industry, Champion slashed estimates across the board.
Chris Hohn’s TCI Fund Management owned a $6.62 billion stake in Alphabet Inc. (NASDAQ:GOOG), becoming its largest shareholder in Q1 2022. In addition, 160 hedge funds tracked by Insider Monkey were bullish on Alphabet Inc. (NASDAQ:GOOG) at the end of the first quarter of 2022, up from 158 funds in the earlier quarter. Hedge funds’ investments in these companies have a total value of approximately $29.68 billion as of Q1 2022, down from $36.63 billion in Q4 2021.
In its Q4 2021 investor letter, Vulcan Value Partners highlighted a few stocks, and Alphabet Inc. (NASDAQ:GOOG) was one of them. Here is what the fund said:
“In contrast, we made a different kind of mistake about a decade ago. Google, now Alphabet Inc. (NASDAQ:GOOG), performed very well for us while we owned it. The company kept outperforming our assumptions and we kept lowering them to be conservative. “Trees do not grow to the sky.” The stock kept going up and our value grew but did not keep pace with the stock. It hit our estimate of fair value and we sold it with a nice gain, patting ourselves on the back. We kept following the company and what they actually did over the next several years was roughly double the assumptions we used to value it. Therefore, our value was too conservative, and we sold it too cheaply, missing many years of compounding. Fortunately, we experienced some volatility several years ago that allowed us to purchase Alphabet Inc. (NASDAQ:GOOG) (Google) again with a margin of safety.”
1. Citigroup Inc. (NYSE:C)
PEAK6 Capital Management’s Stake Value: $80,978,000
Percentage of PEAK6 Capital Management’s Portfolio: 0.17%
Number of Hedge Fund Holders: 88
Citigroup Inc. (NYSE:C) is a holding corporation that provides financial goods and services. Global Consumer Banking, Institutional Clients Group, and Corporate and Others are the company’s segments. Legendary investor and billionaire Warren Buffett’s Berkshire Hathaway is the biggest stakeholder of Citigroup Inc. (NYSE:C) as of the end of the first quarter of 2022. The Oracle of Omaha owns 55.16 million shares of the company, worth $2.95 billion.
Peak6 Capital Management had a stake worth $80.98 million in Citigroup Inc. (NYSE:C), which contained 1.52 million shares. The investor has boosted his investment in Citigroup Inc. (NYSE:C) by 46% compared to the previous quarter.
Susan Roth Katzke of Credit Suisse downgraded Citigroup Inc. (NYSE:C) from Outperform to Neutral with a price objective of $58 on May 27. The analyst cited valuation as the rationale for the downgrade, pointing out that the stock had risen 15% from its recent lows and was within 10% of the target price.
The number of hedge funds tracked by Insider Monkey owning stakes in Citigroup Inc. (NYSE:C) in Q1 2022 fell to 88 from 97 in the previous quarter. The collective value of these stakes stands at roughly $8.12 billion.
You can also take a peek at 10 Stocks to Buy According to John Rogers’ Ariel Investments and 10 Stocks to Sell According to Jinghua Yan’s TwinBeech Capital
