In this piece, we will take a look at the 5 stocks to sell according to billionaire Daniel Sundheim. If you want more details about Mr. Sundheim and his investment firm then head on over to 10 Stocks to Sell According to Billionaire Daniel Sundheim.
5. Deckers Outdoor Corporation (NYSE:DECK)
Number of Hedge Fund Holders: 48
Deckers Outdoor Corporation (NYSE:DECK) is an American apparel distributor and designer. Its footwear covers several use cases such as sports and casual wear.
Deckers Outdoor Corporation (NYSE:DECK) brought in $721 million in revenue and $3.66 in GAAP EPS for its second fiscal quarter, in a mixed bag performance that saw it only beat analyst estimates for EPS. Jefferies increased its price target for the retailer to $525 from $475 in November 2021, outlining that two of its brands are highly valuable.
During Q3 2021, Mr. Sundheim’s D1 Capital sold 351,000 Deckers Outdoor Corporation (NYSE:DECK) shares for $134 million. This stake had represented 0.88% of its portfolio in the prior quarter. During the third quarter of last year, 48 of 867 funds polled by Insider Monkey had owned the company’s shares.
Deckers Outdoor Corporation (NYSE:DECK)’s largest investor is Robert Pitts’ Steadfast Capital Management who owns 825,423 shares worth $297 million.
4. Chipotle Mexican Grill, Inc. (NYSE:CMG)
Number of Hedge Fund Holders: 39
Chipotle Mexican Grill, Inc. (NYSE:CMG) operates fast-food restaurants in the United States. These offer five Mexican foods which are tacos, quesadillas, salads, burritos, and bowls.
D1 Capital sold 102,400 Chipotle Mexican Grill, Inc. (NYSE:CMG) shares during the third quarter of last year. During the second quarter, these were worth $158.7 million and represented 1.03% of its portfolio. A survey of 867 hedge funds conducted by Insider Monkey for Q3 2021 revealed that 39 had owned the company’s shares.
Chipotle Mexican Grill, Inc. (NYSE:CMG) had a strong fiscal third-quarter which saw it beat analyst estimates for both revenue and non-GAAP EPS by posting $1.95 billion and $7.02 in the segments, respectively. JPMorgan raised the company’s price target to $1,750 from $1,710 in December 2021, sharing that the price reflects the company’s market penetration capabilities.
Bill Ackman’s Pershing Square is Chipotle Mexican Grill, Inc. (NYSE:CMG)’s largest investor. It owns a stake of $2 billion through 1 million shares.
“Chipotle Mexican Grill owns and operates fast-casual, fresh Mexican food restaurants. The company reported very strong quarterly earnings and an outlook ahead of investor expectations, sending the stock higher. Chipotle’s business is performing well and is accelerating as consumers return to more normalized levels of in-restaurant dining. Additionally, the company has recently implemented some price increases that give Chipotle the flexibility to successfully navigate the higher commodity and wage cost environment.”
3. Unity Software Inc. (NYSE:U)
Number of Hedge Fund Holders: 36
Unity Software Inc. (NYSE:U) is an American software platform provider. This platform allows developers to create their software products only once and then run them on multiple platforms, such as headsets, gaming consoles, and personal computers for monetization.
Unity Software Inc. (NYSE:U)’s fiscal Q3 results saw it beat analyst estimates for revenue by posting $286 in the segment. Additionally, it also beat non-GAAP EPS estimates by posting -$0.06 for the metric. Morgan Stanley substantially increased the company’s price target to $120 from $87 in December 2021. To justify the decision, it outlined that mobile advertisement markets are set to grow in the future.
D1 Capital sold its $435.7 million stakes worth 2.84% of its Q2 2021 portfolio in Unity Software Inc. (NYSE:U) during Q3 2021. During the same time period, 36 of the 867 hedge funds part of Insider Monkey’s research owned the company’s shares.
Unity Software Inc. (NYSE:U)’s largest investor is Jim Davidson, Dave Roux, and Glenn Hutchins’s Silver Lake Partners. This is due to it owning 40 million shares worth $5 billion.
2. Bath & Body Works, Inc. (NYSE:BBWI)
Number of Hedge Fund Holders: 56
Bath & Body Works, Inc. (NYSE:BBWI) is a body-care, home fragrance, and other similar products retailer based out of the United States. The company sells its products in North America and globally. Bath & Body Works, Inc. (NYSE:BBWI) raked in $1.68 billion in revenue and $0.92 in non-GAAP EPS for its fiscal Q3, as it pleased investors and beat Wall Street estimates for both. Goldman Sachs set a $93 price target for the company in December 2021.
Mr. Sundheim’s investment firm sold 6.8 million Bath & Body Works, Inc. (NYSE:BBWI) shares during the third quarter of last year. These were worth $491.6 million and had represented 3.21% of its portfolio in the previous quarter. An Insider Monkey Q3 2021 survey of 867 hedge funds revealed that 56 owned the company’s shares.
Bath & Body Works, Inc. (NYSE:BBWI)’s largest investor during Q2 2021 was Stephen Mandel’s Lone Pine Capital who owned 26 million shares worth a whopping $1.8 billion.
1. Booking Holdings Inc. (NASDAQ:BKNG)
Number of Hedge Fund Holders: 96
Booking Holdings Inc. (NASDAQ:BKNG) is an online travel services provider whose services allow its customers to make reservations, book rental cars, and airline tickets. It also lets customers manage their travel insurance and restaurant management.
Booking Holdings Inc. (NASDAQ:BKNG) earned $4.68 billion in revenue and $37.70 in non-GAAP EPS for its fiscal Q3, beating analyst estimates for both. RBC Capital raised the stock’s rating to Outperform from Sector Perform in December 2021 but kept its $2,700 price target unchanged.
D1 Capital sold 255,164 Booking Holdings Inc. (NASDAQ:BKNG) shares during Q3 2021. These were worth $558 million and represented 3.65% of its portfolio in Q2 2021. 96 of 867 hedge funds held the company’s shares in the third quarter of last year according to Insider Monkey’s research.
Booking Holdings Inc. (NASDAQ:BKNG)’s largest investor is Natixis Global Asset Management’s Harris Associates who owns 668,053 shares worth a cool $1.5 billion.
