Longleaf Partners Fund, a Memphis-based fund under Southeastern Asset Management, recently released its Q4 2020 Investor Letter, a copy of which you can download here. The fund posted a return of 22.75% for the quarter, outperforming its benchmark, the S&P 500 Index which returned 12.15% in the same quarter. You should check out Longleaf Partners’ top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q4 2020 Investor Letter, the fund highlighted a few stocks and Hyatt Hotels Corp (NYSE:H) is one of them. Hyatt Hotels Corp (NYSE:H) is a hospitality company. In the last three months, Hyatt Hotels Corp (NYSE:H) stock gained 12.6% and on March 25th it had a closing price of $82.46. Here is what the fund said:
“Hyatt Hotels (35%, 2.11%; 39%, 1.74%), the global hotel company, was another top performer for the year, even as system-wide revenue per available room (REVPAR) was down 70% year-over-year in the face of COVID. The company is well positioned to weather the storm, with over three years of liquidity at the current rate of intrapandemic cash burn. We expect the business to return to profitability in 2021 as vaccines help drive a recovery in global travel. Hyatt’s global number of rooms increased by a net 4% this year, and 2021 and ’22 should see even stronger growth with a strong pipeline of ongoing construction. When the transaction market for hotels recovers, Hyatt plans to resume selling over $1 billion of its owned properties. The company’s value primarily comes from its franchise fee revenues, a less cyclical and high-margin annuity on the long-term growth in global luxury travel. CEO Mark Hoplamazian and the management team performed admirably this year to navigate the industry’s extraordinary challenges.”
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 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. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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