Artisan Global Remains Hopeful in Boston Scientific (BSX) Despite its Weak Contribution

Artisan Partners Limited Partnership, a high value-added investment management firm, published its ‘Artisan Global Discovery Fund’ fourth quarter 2020 investor letter – a copy of which can be downloaded here. A return of 16.95% was recorded by its Investor Class: APFDX, 17% by its Advisor Class: APDDX, and 17.05% by its Institutional Class: APHDX, in the fourth quarter of 2020, outperforming its MSCI All Country World benchmark that delivered a 14.68% return in the same period. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.

Artisan Global Discovery Fund, in their Q4 2020 investor letter, mentioned Boston Scientific Corporation (NYSE: BSX) and emphasized their views on the company. Boston Scientific Corporation is a Massachusetts-based medical device manufacturing company that currently has a $55 billion market capitalization. Since the beginning of the year, BSX delivered an 8.09% return, extending its 12-month gains to 34.98%. As of March 16, 2021, the stock closed at $38.86 per share.

Here is what Artisan Global Discovery Fund has to say about Boston Scientific Corporation in their Q4 2020 investor letter:

“Among our bottom contributors in Q4 was Boston Scientific. Shares of Boston Scientific were pressured in Q4 alongside the cancellation of its transcatheter aortic valve product Lotus Edge. We acknowledge the modest disappointment, but we believe it will be slightly accretive to earnings in the near term. Longer term, we believe the company’s investments over the past five years in higher growth categories—structural heart, peripheral interventions, international oncology, atrial fibrillation in particular—position it well to improve its margins and grow revenue at a rate on the higher end of its peer group. Given this backdrop and the Lotus news more than accounted for in the share price, we added to our position at an attractive valuation.”

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Our calculations show that Boston Scientific Corporation (NYSE: BSX) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Boston Scientific Corporation was in 58 hedge fund portfolios, compared to 61 funds in the third quarter. BSX delivered a 12.09% return in the past 3 months.

The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.

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Disclosure: None. This article is originally published at Insider Monkey.