5 Top Stock Picks of Billionaire Seth Klarman

4. Fiserv, Inc. (NASDAQ:FISV)

Number of Hedge Fund Holders: 59   

Fiserv, Inc. (NASDAQ:FISV) provides payment and financial services technology worldwide. Regulatory filings show that Baupost Group owned more than 3.5 million shares of Fiserv, Inc. (NASDAQ:FISV) at the end of June 2022 2022 worth $314 million, representing 4.64% of the portfolio.  

On August 11, Evercore ISI analyst David Togut upgraded Fiserv, Inc. (NASDAQ:FISV) stock to Outperform from in Line with a price target of $149, up from $101, noting that the firm was embracing a new growth playbook. 

At the end of the second quarter of 2022, 59 hedge funds in the database of Insider Monkey held stakes worth $3.7 billion in Fiserv, Inc. (NASDAQ:FISV), down from 58 in the preceding quarter worth $3.9 billion. 

In its Q2 2022 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Fiserv, Inc. (NASDAQ:FISV) was one of them. Here is what the fund said:

“While the threat of disruption risk to these established payment companies should not be taken lightly, it is important to note that many of these emerging disruptors are small relative to the massive global payments network and heavily reliant on the very payment infrastructure they are trying to disrupt. This led us to initiate a position in Fiserv, Inc. (NASDAQ:FISV), whose stock dropped to a level that embedded projections for negative long-term growth despite no current evidence of disruption. We think Fiserv will continue to grow despite perceived disruption risks given its scale and efficiency. Fiserv also owns cloud-based payments hardware and software system Clover, which is both bigger and faster growing than Square; this provides an additional degree of protection against further disruption risk.”