In this article, we discuss the top 5 stock picks of billionaire Ken Griffin. If you want our detailed analysis of Griffin’s history, investment philosophy, and hedge fund performance, go directly to Billionaire Ken Griffin’s Portfolio: Top 10 Stock Picks.
5. Vulcan Materials Company (NYSE:VMC)
Citadel Investment Group’s Stake Value: $302,942,000
Percentage of Citadel Investment Group’s 13F Portfolio: 0.06%
Number of Hedge Fund Holders: 43
Vulcan Materials Company (NYSE:VMC), an Alabama-based distributor of construction materials, is one of the top stock picks of Ken Griffin from the third quarter, with the billionaire holding a $303.94 million position in the company, which represents 0.06% of his total investments.
Brandon Haley’s Holocene Advisors is one of the leading Vulcan Materials Company (NYSE:VMC) stakeholders as of Q3 2021, with 1.46 million shares worth $248.5 million. Overall, 43 funds in the database of 867 elite hedge funds monitored by Insider Monkey were long Vulcan Materials Company (NYSE:VMC) in the third quarter, with total stakes valued at $1.92 billion.
Vulcan Materials Company (NYSE:VMC), on November 4, reported its Q3 results. EPS in the period equaled $1.54, missing estimates by -$0.11. The $1.52 billion quarterly revenue jumped 15.77% from the prior-year quarter, exceeding estimates by $39.22 million.
Stating that the company’s size and scale make it one of the best positioned construction materials companies, Argus analyst David Coleman on November 9 upgraded Vulcan Materials Company (NYSE:VMC) to Buy from Hold with a $240 price target. He noted that Vulcan Materials Company (NYSE:VMC) should benefit from economic conditions and the approval of the Biden administration’s new infrastructure plan.
4. Invesco QQQ Trust (NASDAQ:QQQ)
Citadel Investment Group’s Stake Value: $426,087,000
Percentage of Citadel Investment Group’s 13F Portfolio: 0.08%
Number of Hedge Fund Holders: 37
Invesco QQQ Trust (NASDAQ:QQQ) is an ETF that tracks the movement of the NASDAQ 100 Index, which contains the 100 largest non-financial securities listed on the Nasdaq based on market capitalization. Ken Griffin, via Citadel Investment Group, holds a $426 million position in Invesco QQQ Trust (NASDAQ:QQQ) in the third quarter, which accounts for 0.08% of the firm’s total Q3 portfolio.
At the end of the third quarter of 2021, 37 hedge funds monitored by Insider Monkey’s database of elite funds were long Invesco QQQ Trust (NASDAQ:QQQ), with total stakes amounting to $2.7 billion. This is comparable to 34 funds being bullish on Invesco QQQ Trust (NASDAQ:QQQ) in the preceding quarter, with a total stake value of $2.42 billion.
3. S&P Global Inc. (NYSE:SPGI)
Citadel Investment Group’s Stake Value: $427,452,000
Percentage of Citadel Investment Group’s 13F Portfolio: 0.08%
Number of Hedge Fund Holders: 78
S&P Global Inc. (NYSE:SPGI) is a financial information and data analytics organization that is also the parent company of S&P Global Ratings, S&P Global Market Intelligence, S&P Global Platts, and CRISIL, in addition to being the majority owner of the S&P Dow Jones Indices. Ken Griffin holds a $427.45 million stake in S&P Global Inc. (NYSE:SPGI) as of September this year, with the stock making up 0.08% of his total Q3 investments.
S&P Global Inc. (NYSE:SPGI) posted its Q3 earnings on October 26. EPS in the period amounted to $3.54, exceeding estimates by $0.39. The quarterly revenue totaled $2.09 billion, up 13.06% from the prior-year quarter, beating estimates by $101.65 million.
Of the 78 hedge funds that were bullish on S&P Global Inc. (NYSE:SPGI) in the third quarter, Chris Hohn’s TCI Fund Management is the leading stakeholder of the company, holding 4.81 million shares worth over $2 billion.
Here is what Baron FinTech Fund has to say about S&P Global Inc. (NYSE:SPGI) in its Q1 2021 investor letter:
“S&P Global Inc. provides credit ratings, indexes, data, and analytics to the financial and commodities markets. Shares increased on strong fourth quarter results and 2021 guidance that exceeded Street expectations. Although bond issuance is expected to moderate after two years of exceptional growth, management still expects revenue to grow mid-single-digits this year. Also, shareholders overwhelmingly voted to approve the merger with IHS Markit. We continue to own the stock as we see a long runway for growth and significant competitive advantages for the company.”
2. IHS Markit Ltd. (NYSE:INFO)
Citadel Investment Group’s Stake Value: $448,332,000
Percentage of Citadel Investment Group’s 13F Portfolio: 0.09%
Number of Hedge Fund Holders: 64
IHS Markit Ltd. (NYSE:INFO) is a London-based information provider, and it was announced at the end of November 2020 that the company would be acquired by S&P Global Inc. (NYSE:SPGI) in a $44 billion deal. However, the merger is still pending and is expected to close in Q1 2022. IHS Markit Ltd. (NYSE:INFO) stock represents 0.09% of Ken Griffin’s Q3 portfolio, with the billionaire maintaining a $448.3 million position in the company.
Earnings for the quarter ending August 2021 were reported by IHS Markit Ltd. (NYSE:INFO) on November 16. EPS in the period equaled $0.85, exceeding estimates by $0.02. The $1.18 billion revenue also outperformed estimates by $13.29 million.
Matthew Halbower’s Pentwater Capital Management is the largest stakeholder of IHS Markit Ltd. (NYSE:INFO), with 8.63 million shares worth over $1 billion. Overall, 64 hedge funds were bullish on IHS Markit Ltd. (NYSE:INFO) in the third quarter, with total stakes valued at $6.72 billion.
Here is what Artisan Mid Cap Fund has to say about IHS Markit Ltd. (NYSE:INFO) in its Q1 2021 investor letter:
“We ended our campaign in IHS Markit. IHS Markit is a global provider of information services to the financial services, automotive and energy sectors. Since beginning our investment campaign in 2009, we have been attracted to the company’s position relative to the meaningful secular tailwind driving demand for data and analytics to help guide business decisions. The company announced in Q4 it is merging with S&P Global, one of the largest credit ratings agencies globally and a provider of benchmarks, data and analytics to the global capital and commodities markets. We believe the combination provides a good level of cost and revenue synergies which will help drive profit growth, and S&P Global has a solid track record of acquiring and integrating new businesses. However, we exited our position as the combined entity will be well beyond our mid-cap market cap mandate.”
1. Constellation Brands, Inc. (NYSE:STZ)
Citadel Investment Group’s Stake Value: $454,280,000
Percentage of Citadel Investment Group’s 13F Portfolio: 0.09%
Number of Hedge Fund Holders: 53
Constellation Brands, Inc. (NYSE:STZ) is an American producer of beer, wine, and spirits and it is the largest exporter of beer in the United States. Ken Griffin holds a $454.28 million position in Constellation Brands, Inc. (NYSE:STZ) as of Q3 2021, making it the largest holding in the billionaire’s portfolio. The Constellation Brands, Inc. (NYSE:STZ) stock represents 0.09% of Griffin’s portfolio for the third quarter.
On October 13, HSBC analyst Carlos Laboy upgraded Constellation Brands, Inc. (NYSE:STZ) to Buy from Hold with a price target of $262, up from $254, citing strong company fundamentals.
Harris Associates is the biggest stakeholder of Constellation Brands, Inc. (NYSE:STZ) as of Q3 2021, holding over 4 million shares worth $849.7 million. Overall, 53 hedge funds were long Constellation Brands, Inc. (NYSE:STZ), up from 50 funds in the preceding quarter. The total stakes in Q3 amounted to $1.71 billion.
You can also take a look at 10 Meme Stocks that More than Doubled in 2021 and 10 Infrastructure Stocks to Buy Under $10.
