Palm Valley Capital recently released its Q1 2021 Investor Letter, a copy of which you can download here. The fund posted a return of 3.60% for the quarter, underperforming its benchmark, the S&P Small Cap 600 Index which returned 18.23% in the same quarter. You should check out Palm Valley Capital’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q1 2021 Investor Letter, the fund highlighted a few stocks and Scholastic Corp (NASDAQ:SCHL) is one of them. Scholastic Corp (NASDAQ:SCHL) is a book publishing company. In the last three months, Scholastic Corp (NASDAQ:SCHL) stock gained 23.8% and on April 13th it had a closing price of $31.25. Here is what the fund said:
“Although Scholastic’s fiscal second quarter earnings were impacted by a significant reduction in schoolbased book fairs due to COVID-19 protocols, the trade channel business is excelling, and management has meaningfully reduced the company’s expenses. We think the business will recover once the country fully returns to in-person instruction for elementary students.”
Pixabay/Public Domain
Our calculations showed that Scholastic Corp (NASDAQ:SCHL) isn’t ranked among the 30 most popular stocks among hedge funds.
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.
At Insider Monkey we scour multiple sources to uncover the next great investment idea. For example, Federal Reserve has been creating trillions of dollars electronically to keep the interest rates near zero. We believe this will lead to inflation and boost real estate prices. So, we recommended this real estate stock to our monthly premium newsletter subscribers. We go through lists like the 15 best innovative stocks to buy 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. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free daily newsletter on our website:
Disclosure: None. This article is originally published at Insider Monkey.
