#3. Silicon Motion Technology Corp. (ADR) (NASDAQ:SIMO)
– Investors with long positions (as of March 31): 21
– Aggregate value of investors’ holdings (as of March 31): $126.84 Million
Silicon Motion Technology Corp. (ADR) (NASDAQ:SIMO) lost some appeal among the money managers followed by our team during the March quarter, as the number of managers invested in the company fell to 21 from 24 quarter-over-quarter. At the same time, the dollar value of those managers’ equity investments in Silicon Motion dropped by 4% to $126.84 million, even though the company’s ADSs gained an impressive 24% during the first quarter. Roughly 9% of the company’s outstanding shares were being held by the 21 hedge funds long the stock. The fabless semiconductor company has seen its market value jump by 45% since the beginning of the year. Silicon Motion Technology’s net sales for 2015 were $361.30 million, up from $289.32 million in 2014 and $225.31 million in 2013. Silicon Motion shares are changing hands at around 14.3-times expected earnings, but the company may deserve an even higher valuation given its bottom-line growth of 12.2% in 2013, 15.3% in 2014 and 16.7% in 2015. Ken Griffin’s Citadel Advisors owns 278,071 ADSs of Silicon Motion Technology Corp. (ADR) (NASDAQ:SIMO) as of March 31.
#2. Himax Technologies Inc. (ADR) (NASDAQ:HIMX)
– Investors with long positions (as of March 31): 27
– Aggregate value of investors’ holdings (as of March 31): $161.86 Million
Himax Technologies Inc. (ADR) (NASDAQ:HIMX) was a hedge fund darling in the first quarter of the year, given that the number of funds in our system with equity investments in the company spiked to 27 from 17 during the quarter. Similarly, the overall value of the aggregate holdings among those investors jumped to $161.86 million from $111.69 million quarter-over-quarter. The 27 asset managers invested in Himax stockpiled nearly 14% of the company’s outstanding shares. The ADSs of the fables semiconductor solutions provider focused on display imaging processing technologies are up by 21% in 2016. Himax Technologies is enthusiastic about its future prospects in the Augmented Reality and Virtual Reality segments, as the company is uniquely positioned as the provider of choice for microdisplay and related optics to enable AR. David Halper’s Price Street Capital Management acquired a new stake of 1.62 million ADSs of Himax Technologies Inc. (ADR) (NASDAQ:HIMX) during the March quarter.
#1. Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM)
– Investors with long positions (as of March 31): 3o
– Aggregate value of investors’ holdings (as of March 31): $2.05 Billion
Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM) also received more love from the hedge funds monitored by our team during the January-to-March period, with the number of funds invested in the company increasing to 30 from 24 quarter-over-quarter. What’s more, the aggregate value of those funds’ positions in TSMC rose by a little less than 15% to $2.05 billion, thanks to the 15% price appreciation of the company’s ADSs during the quarter. The leading provider of integrated circuits and other semiconductor devices has seen its shares advance by that same 15% mark since the start of 2016, with shares flat in the second quarter. Although Apple Inc. (NASDAQ:AAPL) had A9 processors for its phones built by both Samsung and TSMC, several sources claim that the iPhone maker will have its A10 processors for the iPhone 7 build solely by TSMC. Even though iPhone unit sales likely won’t grow as they did over the past few years, the Taiwan-based chipmaker will most likely get a strong boost from its Apple-related business thanks to the new arrangement. Howard Marks’ Oaktree Capital Management has 4.46 million ADSs of Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM) among its holdings as of the end of March.