5 Undervalued Stocks to Buy According to Billionaire Paul Tudor Jones

In this article, we discuss 5 undervalued stocks to buy according to Paul Tudor Jones. If you want to read our discussion on Jones’ outlook on the economic environment, go to 10 Undervalued Stocks to Buy According to Billionaire Paul Tudor Jones.

5. HCA Healthcare, Inc. (NYSE:HCA)

Number of Hedge Fund Holders: 62

Tudor Investment Corp’s Holdings: $12,284,000

Percentage of Tudor Investment Corp’s Portfolio: 0.28%

PE Ratio as of July 1: 7.94

Return since June 30th: 24.7%

HCA Healthcare, Inc. (NYSE:HCA) is a Nashville, Tennessee-based entity involved in the operations of healthcare facilities through 182 hospitals and 2,300 care locations spread across 20 states in the US and UK.

In an investment note issued on July 1, Ann Hynes at Mizuho revised the price target on HCA Healthcare, Inc. (NYSE:HCA) from $260 to $210 and reiterated a Buy rating on the stock. The revised target price still provides a potential upside of nearly 20% from the last closing price. The analyst surveyed 210 physicians belonging to 14 specialties to understand the inpatient and outpatient trends during Q1 2022. The key takeaway was that although there has been an increase in the overall volume, it has not still recovered to pre-COVID levels.

HCA Healthcare, Inc. (NYSE:HCA) is trading at a PE ratio of 7.94x, which is considerably lower than the sector average of 19.41x.

First Eagle Investment Management discussed its stance on HCA Healthcare, Inc. (NYSE:HCA) in its Q3 2021 investor letter. Here’s what the firm said:

“HCA Healthcare owns and operates 185 hospitals and approximately 2,000 sites of care in the US and UK. Admissions to its facilities, depressed during the worst of the Covid-19 outbreak in 2020, have begun to rebound. HCA reported a nearly 20% year-over-year increase in admissions during the second quarter and a 14% increase in revenue, and forecast that volume would continue to improve throughout the year. We maintain our positive opinion of the company’s management team, believing them to be effective stewards of both the balance sheet and HCA’s business operations.”

As of Q1 2022, 62 hedge funds held a stake in HCA Healthcare, Inc. (NYSE:HCA).