You probably know from experience that there is not as much information on small-cap companies as there is on large companies. Of course, this makes it really hard and difficult for individual investors to make proper and accurate analysis of certain small-cap companies. However, well-known and successful hedge fund investors like Carl Icahn and George Soros hold the necessary resources and abilities to conduct an extensive stock analysis on small-cap stocks, which enable them to make millions of dollars by identifying potential winners within the small-cap galaxy of stocks. This represents the main reason why Insider Monkey takes notice of the hedge fund activity in these overlooked stocks.
In this article, we will discuss the hedge fund interest towards Danaher Corporation (NYSE:DHR). Overall, there were no changes in the number of investors bullish on the stock. This is usually a negative indicator. However, the level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Costco Wholesale Corporation (NASDAQ:COST), BHP Billiton plc (ADR) (NYSE:BBL), and Simon Property Group, Inc (NYSE:SPG) to gather more data points.
Follow Danaher Corp (NYSE:DHR)
Follow Danaher Corp (NYSE:DHR)
At Insider Monkey, we’ve developed an investment strategy that has delivered market-beating returns over the past 12 months. Our strategy identifies the 100 best-performing funds of the previous quarter from among the collection of 700+ successful funds that we track in our database, which we accomplish using our returns methodology. We then study the portfolios of those 100 funds using the latest 13F data to uncover the 30 most popular mid-cap stocks (market caps of between $1 billion and $10 billion) among them to hold until the next filing period. This strategy delivered 18% gains over the past 12 months, more than doubling the 8% returns enjoyed by the S&P 500 ETFs.
With all of this in mind, let’s take a gander at the recent action surrounding Danaher Corporation (NYSE:DHR).
What does the smart money think about Danaher Corporation (NYSE:DHR)?
As mentioned previously, the hedge funds sentiment towards Danaher Corporation remained unchanged at 54 during the third quarter. With the smart money’s sentiment swirling, there exists an “upper tier” of key hedge fund managers who were increasing their stakes considerably (or already accumulated large positions).
According to Insider Monkey’s hedge fund database, Dan Loeb’s Third Point has the largest position in Danaher Corporation (NYSE:DHR), worth close to $352.8 million, comprising 3.1% of its total 13F portfolio. The second largest stake is held by Robert Joseph Caruso of Select Equity Group, with a $252.7 million position; 2.2% of its 13F portfolio is allocated to the stock. Other professional money managers that hold long positions include Eric W. Mandelblatt’s Soroban Capital Partners, John Griffin’s Blue Ridge Capital and Charles Akre’s Akre Capital Management.