Baron Partners Fund recently published its third-quarter commentary – a copy of which can be downloaded here. During the third quarter of 2020, the Baron Partners Fund returned 47.15% (institutional shares). In comparison, the benchmark S&P 500 Index was up 8.93%, while the Russell Midcap Growth Index was up 9.37%. You should check out Baron Partners Fund’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q3 2020 Investor Letter, Baron Partners Fund highlighted a few stocks and Tesla Inc. (NASDAQ:TSLA) is one of them. Tesla Inc. (NASDAQ:TSLA) is an electric car company. Year-to-date, Tesla Inc. (NASDAQ:TSLA) stock gained 609.2% and on December 3rd it had a closing price of $593.38. Here is what Baron Partners Fund said:
“Tesla, Inc. designs, manufactures, and sells fully electric vehicles, solar products, and energy storage solutions. The stock rose on strong second quarter results, including profitability that beat analyst forecasts and solid growth in existing and new programs across different geographies and vehicles. In addition, Tesla presented a grand vision around its battery research aimed at expanding its competitive advantage and market opportunity. We remain confident that Tesla will leverage its market trend and technology leadership to achieve sustainable long-term growth.”
In Q3 2020, the number of bullish hedge fund positions on Tesla Inc. (NASDAQ:TSLA) stock increased by about 6% from the previous quarter (see the chart here), so a number of other hedge fund managers believe in Tesla’s growth potential. Our calculations showed that Tesla Inc. (NASDAQ:TSLA) isn’t ranked among the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 216% since the end of 2014 and outperformed the S&P 500 Index ETFs by more than 121 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. Below you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
Video: Top 5 Stocks Among Hedge Funds
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Disclosure: None. This article is originally published at Insider Monkey.