Here is What Hedge Funds Think About Sportradar Group AG (SRAD)

Before we spend countless hours researching a company, we like to analyze what insiders, hedge funds and billionaire investors think of the stock first. This is a necessary first step in our investment process because our research has shown that the elite investors’ consensus returns have been exceptional. In the following paragraphs, we find out what the billionaire investors and hedge funds think of Sportradar Group AG (NASDAQ:SRAD).

Is Sportradar Group AG (NASDAQ:SRAD) undervalued? Money managers were turning bullish. The number of long hedge fund bets improved by 30 in recent months. Sportradar Group AG (NASDAQ:SRAD) was in 30 hedge funds’ portfolios at the end of the third quarter of 2021. Our calculations also showed that SRAD isn’t among the 30 most popular stocks among hedge funds (click for Q3 rankings).

At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, lithium prices have more than doubled over the past year, so we go through lists like the 10 best EV stocks to pick the next Tesla that will deliver a 10x return. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. Now we’re going to check out the fresh hedge fund action regarding Sportradar Group AG (NASDAQ:SRAD).

Do Hedge Funds Think SRAD Is A Good Stock To Buy Now?

Heading into the fourth quarter of 2021, a total of 30 of the hedge funds tracked by Insider Monkey were long this stock, a change of 30 from the second quarter of 2021. Below, you can check out the change in hedge fund sentiment towards SRAD over the last 25 quarters. So, let’s see which hedge funds were among the top holders of the stock and which hedge funds were making big moves.

According to publicly available hedge fund and institutional investor holdings data compiled by Insider Monkey, Spruce House Investment Management, managed by Zachary Sternberg and Benjamin Stein, holds the number one position in Sportradar Group AG (NASDAQ:SRAD). Spruce House Investment Management has a $22.6 million position in the stock, comprising 0.6% of its 13F portfolio. On Spruce House Investment Management’s heels is MIC Capital Partners, managed by Mubadala Investment, which holds a $21 million position; the fund has 3.9% of its 13F portfolio invested in the stock. Some other professional money managers that are bullish encompass Chase Coleman’s Tiger Global Management LLC, Dmitry Balyasny’s Balyasny Asset Management and Ken Griffin’s Citadel Investment Group. In terms of the portfolio weights assigned to each position MIC Capital Partners allocated the biggest weight to Sportradar Group AG (NASDAQ:SRAD), around 3.85% of its 13F portfolio. Element Capital Management is also relatively very bullish on the stock, setting aside 3.24 percent of its 13F equity portfolio to SRAD.

Consequently, key hedge funds were leading the bulls’ herd. Spruce House Investment Management, managed by Zachary Sternberg and Benjamin Stein, created the most outsized position in Sportradar Group AG (NASDAQ:SRAD). Spruce House Investment Management had $22.6 million invested in the company at the end of the quarter. Mubadala Investment’s MIC Capital Partners also made a $21 million investment in the stock during the quarter. The other funds with brand new SRAD positions are Chase Coleman’s Tiger Global Management LLC, Dmitry Balyasny’s Balyasny Asset Management, and Ken Griffin’s Citadel Investment Group.

Let’s go over hedge fund activity in other stocks – not necessarily in the same industry as Sportradar Group AG (NASDAQ:SRAD) but similarly valued. We will take a look at Fiverr International Ltd. (NYSE:FVRR), AngloGold Ashanti Limited (NYSE:AU), Exelixis, Inc. (NASDAQ:EXEL), Beyond Meat, Inc. (NASDAQ:BYND), Prosperity Bancshares, Inc. (NYSE:PB), Digital Turbine Inc (NASDAQ:APPS), and OGE Energy Corp. (NYSE:OGE). This group of stocks’ market values are similar to SRAD’s market value.

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As you can see these stocks had an average of 20.1 hedge funds with bullish positions and the average amount invested in these stocks was $342 million. That figure was $158 million in SRAD’s case. Exelixis, Inc. (NASDAQ:EXEL) is the most popular stock in this table. On the other hand AngloGold Ashanti Limited (NYSE:AU) is the least popular one with only 10 bullish hedge fund positions. Sportradar Group AG (NASDAQ:SRAD) is not the most popular stock in this group but hedge fund interest is still above average. Our overall hedge fund sentiment score for SRAD is 90. Stocks with higher number of hedge fund positions relative to other stocks as well as relative to their historical range receive a higher sentiment score. This is a slightly positive signal but we’d rather spend our time researching stocks that hedge funds are piling on. Our calculations showed that top 5 most popular stocks among hedge funds returned 95.8% in 2019 and 2020, and outperformed the S&P 500 ETF (SPY) by 40 percentage points. These stocks gained 28.6% in 2021 through November 30th and beat the market again by 5.6 percentage points. Unfortunately SRAD wasn’t nearly as popular as these 5 stocks and hedge funds that were betting on SRAD were disappointed as the stock returned -28.8% since the end of September (through 11/30) and underperformed the market. If you are interested in investing in large cap stocks with huge upside potential, you should check out the top 5 most popular stocks among hedge funds as many of these stocks already outperformed the market since 2019.

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