Fiat Chrysler Automobiles (FCAU) Has Fallen 8% in Last One Year, Underperforms Market

If you are looking for the best ideas for your portfolio you may want to consider some of Del Principe O’Brien Financial Advisors top stock picks. Del Principe O’Brien Financial Advisors, an investment management firm, is bullish on Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock. In its Q2 2019 investor letter – you can download a copy here – the firm discussed its investment thesis on Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock. Fiat Chrysler Automobiles N.V. (NYSE:FCAU) is an automobile company.

In August 2019, Del Principe O’Brien Financial Advisors had released its Q2 2019 investor letter. Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock has posted a return of -8.1% in the trailing one year period, underperforming the S&P 500 Index which returned 10.2% in the same period. This suggests that the investment firm was wrong in its decision. On a year-to-date basis, Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock has fallen by 19.4%.

In Q2 2019 investor letter, Del Principe O’Brien Financial Advisors said the fund posted a return of 7.1% in the second quarter of 2019, outperforming the S&P 500 Index which returned 4.30% in the same period. Let’s take a look at comments made by Del Principe O’Brien Financial Advisors about Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock in the Q2 2019 investor letter.

“We also realized gains from our ownership of Fiat Chrysler Automobiles (FCA). In May, FCA sold its automotive parts business, Magneti Marelli, to the holding company of Calsonic Kansei Corporation, a leading Japanese automotive component supplier, for approximately €5.8 billion ($6.54 billion). According to FCA CEO Mike Manley, the sale “recognizes the full strategic value of Magneti Marelli, improving our financial position, delivering value to our shareholders, and allowing us to enhance our focus on our core product portfolio.” Also in May, FCA executed a special dividend, paying shareholders a total of approximately €2 billion from the net proceeds of the sale—equivalent to $1.45 per share. This was considered a “special dividend” because it was paid separately from the company’s typical dividend cycle.”

Photo Credit: Fiat Chrysler Automobiles

Earlier this month, we published an article revealing Chou Associates Management’s bullish investment thesis on Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock. The investment firm expect the company to start paying dividends post COVID-19 crisis.

In Q1 2020, the number of bullish hedge fund positions on Fiat Chrysler Automobiles N.V. (NYSE:FCAU) stock increased by about 9% from the previous quarter (see the chart here), so a number of other hedge fund managers seem to agree with Fiat’s growth potential. Our calculations showed that Fiat Chrysler Automobiles N.V. (NYSE:FCAU) isn’t ranked among the 30 most popular stocks among hedge funds.

The top 10 stocks among hedge funds returned 185% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 109 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. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.

Video: Top 5 Stocks Among Hedge Funds

At Insider Monkey we leave no stone unturned when looking for the next great investment idea. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. We go through lists like the 10 most profitable companies in the world to pick the best large-cap stocks to buy. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. You can subscribe to our free enewsletter below to receive our stories in your inbox:

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