Do Hedge Funds And Goldman Sachs Think Alike On These Promising Micro-Driven Stocks?

1. Dollar Tree, Inc. (NASDAQ:DLTR)

Investors with Long Positions (as of June 30): 60

Aggregate Value of Investors’ Holdings (as of June 30): $3.31 Billion

Although Dollar Tree, Inc. (NASDAQ:DLTR) was the third top stock on Goldman’s list with a dispersion score of 2.1 and an upside potential of 44%, it was the most popular stock on this list among hedge funds during the second quarter. The phenomenal rise that shares of Dollar Tree, Inc. (NASDAQ:DLTR) had during the first three months of the year has ensured that even after going down significantly following the company’s second quarter earnings release, they are still trading nearly flat for the year. The number of hedge funds tracked by us that were long in the company came down by three during the second quarter and the aggregate value of investors’ holdings in the company also saw a decline of $458 million during the period. On September 1, the company reported EPS of $0.25 for the second quarter, on revenue of $3.01 billion, compared to a analsyts’ consensus estimate of EPS of $0.67 on revenue of $3.04 billion. Analysts that cover the company continue to remain bullish on it, however, a lot of them have reduced their price target on the stock in the past few months. Ken Griffin‘s Citadel Investment Group was one of the hedge funds that reduced its stake in the company during the second quarter; as of June 30 it held nearly 2.29 million shares of Dollar Tree.

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