Wasatch Ultra Growth Fund recently released its Q4 2020 Investor Letter, a copy of which you can download here. The fund posted a return of 23.2% for the quarter, underperforming its benchmark, the Russell 2,000 Growth Index which returned 29.6% in the same quarter. You should check out Wasatch’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q4 2020 Investor Letter, Wasatch highlighted a few stocks and Tandem Diabetes Care Inc (NASDAQ:TNDM) is one of them. Tandem Diabetes Care Inc (NASDAQ:TNDM) is a medical device manufacturer. In the last three months, Tandem Diabetes Care Inc (NASDAQ:TNDM) stock gained 3.1% and on February 26th it had a closing price of $95.99. Here is what Wasatch said:
“Another weak stock was Tandem Diabetes Care, Inc. (TNDM). The company offers insulindelivery systems for people with diabetes. Tandem has experienced robust adoption of its t:slim X2™ insulin pump with Control-IQ technology. Revenues surged 30.6% year-over-year in the company’s most recently reported quarter, and management raised its full-year guidance for 2020. Tandem’s stock sold off on the news, however, as investors appeared to have been expecting even more. From a longer-term standpoint, we believe the company is positioned to benefit from a trend toward continuous glucose monitoring, and our fundamental thesis for owning it remains intact.”
In Q3 2020, the number of bullish hedge fund positions on Tandem Diabetes Care Inc (NASDAQ:TNDM) stock decreased by about 6% from the previous quarter (see the chart here), so a number of other hedge fund managers don’t believe in TNDM’s growth potential. Our calculations showed that Tandem Diabetes Care Inc (NASDAQ:TNDM) 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.
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Disclosure: None. This article is originally published at Insider Monkey.