In this article, we discuss the 10 stocks Ben Jacob is currently buying.
Ben Jacobs is Managing Partner and Chief Investment Officer at Anomaly Capital Management, since launching the hedge fund in 2019. With an undergraduate business degree from The University of Austin at Texas, Ben Jacobs previously held the position of co-Chief Investment Officer at Viking Global Investors LP. Based in New York City, Ben Jacobs’ fund has approximately $1.75 billion of assets under management (AUM), and its top 10 holdings make up 69.07% of the overall portfolio.
With sizeable investments in Lyft Inc. (NASDAQ: LYFT), Expedia Group Inc. (NASDAQ: EXPE), and Fiserv Inc. (NASDAQ: FISV), Anomaly Capital Management is making waves in the hedge fund industry with its vision for growth.
With this context in mind, we picked the 10 best stocks Ben Jacobs’ Anomaly Capital Management is buying, based on 13F holdings data for the second quarter of 2021. These are the top 10 stock picks of the fund, based on its second quarter portfolio.
Best Stocks to Buy According to Ben Jacobs’ Anomaly Capital
10. Tapestry Inc (NYSE:TPR)
Jacobs’ Stake Value: $ 83,051,000
Percentage of Ben Jacobs’ 13F portfolio: 5.24%
Number of Hedge Fund Holders: 41
Tapestry Inc (NYSE: TPR) ranks 10th on Ben Jacobs’ list of top stocks to buy. The company is a provider of luxury products and accessories through its segments: Kate Spade, Coach and Stuart Weitzman. With a market cap of $10.69 billion, Tapestry Inc has continued its growth unabated by the pandemic’s effects on the stock market.
According to Q2 filings, Ben Jacobs’ Anomaly Capital Management holds 1,910,087 shares worth $83.05 million in Tapestry Inc, which represents 5.24% of the fund’s overall portfolio.
By 2025, China is expected to become the world’s largest market for luxury goods. Tapestry Inc has positioned itself well to take advantage of this trend, and sales in China increased 46% to $804 million, according to numbers reported in March 2021.
As of the end of the second quarter, 41 hedge funds tracked by Insider Monkey reported owning stakes in Tapestry Inc.
9. Lithia Motors Inc (NYSE:LAD)
Jacobs’ Stake Value: $ 84,252,000
Percentage of Ben Jacobs’ 13F portfolio: 5.31%
Number of Hedge Fund Holders: 63
An automotive franchise giant that deals in the retail of new and used automobiles, Lithia Motors Inc (NYSE: LAD) ranks 9th on Ben Jacobs’ list of top stocks to buy. 63 hedge funds tracked by Insider Monkey hold stakes worth $2.92 billion in Lithia Motors Inc as of the second quarter of 2021. This shows that hedge fund sentiment is positive for the car retailer, as 40 hedge funds held stakes in the company in the previous quarter, having a total worth of $2.31 billion.
8. CF Industries Holdings Inc (NYSE:CF)
Jacobs’ Stake Value: $ 86,504,000
Percentage of Ben Jacobs’ 13F portfolio: 5.46%
Number of Hedge Fund Holders: 47
Ranking 8th on Ben Jacobs’ list of top stocks to buy, CF Industries Holdings Inc (NYSE: CF) is a manufacturer of nitrogen fertilizer based in Illinois, United States. Anomaly Capital Management as of Q2 holds 1,681,316 shares in the company, valued at $86.50 million which represents 5.46% of the fund’s overall portfolio.
On 7th October, research firm RBC Capital’s analyst Andrew Wong kept a rating of ‘Sector Perform’ on the CF Industries Holdings Inc’s (NYSE: CF) stock, raising the price target to $65 from $57. The analyst further assessed that strong nitrogen pricing heading into 2022 would factor into the company’s growth.
Out of the 873 hedge funds tracked by Insider Monkey, 47 hedge funds held stakes worth $955.52 million in CF Industries Holdings Inc in the second quarter of 2021.
7. Match Group Inc (NASDAQ:MTCH)
Jacobs’ Stake Value: $ 97,087,000
Percentage of Ben Jacobs’ 13F portfolio: 6.12%
Number of Hedge Fund Holders: 63
Match Group Inc (NASDAQ: MTCH) ranks 7th on Ben Jacobs’ list of top stocks to buy. The company holds multiple popular dating platforms in its portfolio, including Tinder, OkCupid and Match.
As of Q2 2021, Ben Jacobs’ Anomaly Capital Management holds 602,088 shares in Match Group Inc valued at $97.08 million, which represents 6.12% of the fund’s total holdings.
Match Group Inc is the market leader in the online dating space, and looks set towards continued long-term growth. The firm’s recent acquisition of Hyperconnect increased its total addressable market, signaling towards optionality moving forward.
As of Q2 2021, 63 hedge funds out of the 873 tracked by Insider Monkey held positions worth $3.36 billion in Match Group Inc.
6. Teck Resources Ltd (NYSE:TECK)
Jacobs’ Stake Value: $ 98,953,000
Percentage of Ben Jacobs’ 13F portfolio: 6.24%
Number of Hedge Fund Holders: 40
Teck Resources Ltd (NYSE: TCK) is a resource company that deals in the exploration and mining of natural resources in Asia, North America and Europe.
Anomaly Capital Management, Jacobs’ hedge fund, owns 4,294,827 shares in the company valued at $98.95 million, which represents a 6.24% slice of his overall portfolio, according to data for Q2 2021.
On 14th October, research firm Raymond James kept its ‘Outperform’ rating on the stock, raising the price target to C$42 from C$39.
5. Fiserv Inc (NASDAQ:FISV)
Jacobs’ Stake Value: $ 102,846,000
Percentage of Ben Jacobs’ 13F portfolio: 6.49%
Number of Hedge Fund Holders: 72
Fiserv Inc ranks 5th on Ben Jacobs’ list of top stocks to buy. The firm deals in the provision of financial services technology, and operates through its three segments: Financial Technology, Merchant Acceptance, and Payments and Network.
Ben Jacobs’ hedge fund Anomaly Capital Management holds 962,166 shares in the fin-tech company as of Q2, amounting to a value of $102.84 million which represents 6.49% of the fund’s overall portfolio, according to Q2 2021 data.
4. Lyft Inc (NASDAQ:LYFT)
Jacobs’ Stake Value: $ 120,926,000
Percentage of Ben Jacobs’ 13F portfolio: 7.63%
Number of Hedge Fund Holders: 43
Ben Jacobs’ Anomaly Capital Management holds 1,999,437 shares in Lyft Inc amounting to $120.92 million, which represents 7.63% of the fund’s overall portfolio.
With the world continuing to recover from pandemic disruptions, growing demand for rideshare could signal a positive recovery for Lyft Inc, as the company’s financials remained resilient even through turbulent times.
On 14th October, research firm RBC Capital maintained its ‘Outperform’ rating on Lyft Inc stock, setting price target at $65.0.
In the second quarter of 2021, 43 hedge funds out of the 873 tracked by Insider Monkey held $1.38 billion worth of positions in Lyft Inc . In contrast, 60 hedge funds held $1.95 billion worth of positions in the previous quarter.
ClearBridge Investments, in its Q2 2021 investor letter, mentioned Lyft Inc. Here is what the investment management firm had to say:
“We also added to our disruptors exposure in the second quarter with the purchase of Lyft, a leading, U.S. focused ride-hailing
business. Lyft operates in a rational duopoly with Uber and has been able to maintain consistent 30%–35% market share for the past several years. The company should be a key beneficiary of the U.S. reopening, with a post-COVID-19 recovery in rideshare demand driving an acceleration in volumes and revenue. We also see considerable runway for growth beyond this rebound, as rideshare remains underpenetrated. Lyft’s ability to weather a period of significant demand destruction in 2020 is encouraging and we see opportunity for margin expansion ahead. Despite volatility created by ongoing labor negotiations, we see the potential for new, state-level legislation creating collective bargaining rights for gig economy workers to provide greater
certainty around industry labor costs, with increases that should be manageable.”
3. Builders FirstSource Inc (NYSE:BLDR)
Jacobs’ Stake Value: $ 132,380,000
Percentage of Ben Jacobs’ 13F portfolio: 8.35%
Number of Hedge Fund Holders: 60
Builders FirstSource Inc (NYSE: BLDR) is a Texas-based company dealing in the provision of building materials and constructions services, and ranks 3rd on Ben Jacobs’ list of top stocks to buy. According to data for the second quarter of 2021, Anomaly Capital Management holds 3,103,152 shares worth $132.38 million in the company, which amounts to 8.35% of the fund’s total holdings.
Out of the 873 hedge funds tracked by Insider Monkey, 60 hedge funds hold positions worth $1.94 billion in Builders FirstSource Inc for the second quarter of 2021.
2. Palo Alto Networks Inc (NYSE:PANW)
Jacobs’ Stake Value: $ 143,889,000
Percentage of Ben Jacobs’ 13F portfolio: 9.08%
Number of Hedge Fund Holders: 69
Palo Alto Networks Inc (NYSE: PANW) ranks 2nd on Ben Jacobs’ list of top stocks to buy. The company provides security networking solutions to a range of business and government entities worldwide. It is headquartered in California.
On 11th October, research firm Wedbush kept its ‘Outperform’ rating on the stock, raising the price target to $600 from $470.
Ben Jacobs’ Anomaly Capital Management holds 387,790 shares worth $143.88 million in Palo Alto Networks Inc stock, representing a 9.08% slice of the fund’s total holdings.
1. Expedia Group Inc (NASDAQ:EXPE)
Jacobs’ Stake Value: $ 144,100,000
Percentage of Ben Jacobs’ 13F portfolio: 9.09%
Number of Hedge Fund Holders: 87
Expedia Group Inc is an online travel company which operates through its segments: B2B, Retail and Trivago. The firm includes popular tourism websites Hotels.com and Expedia.com in its brand portfolio.
The company ranks 1st on Ben Jacobs’ list of top stocks to buy. Jacobs’ hedge fund Anomaly Capital Management owns 880,216 shares in Expedia Group Inc worth $144.10 million, representing 9.09% of the fund’s total holdings, according to data for Q2 2021.
In September, research firm Goldman Sachs initiated its coverage on Expedia Group Inc, giving the company a ‘Buy’ rating and setting a $185 price target.
You can also take a peek at the 14 Best Internet of Things Stocks To Buy Now and Billionaire Izzy Englander’s Top 10 Stock Picks.
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This article is originally published at Insider Monkey.
