James Morrow’s Callodine Capital Portfolio: Top 5 Picks

In this article, we will discuss the top 5 stock picks of James Morrow’s Callodine Capital based on Q2 holdings of the fund. If you want to read our detailed analysis of Morrow’s history, investment philosophy, and hedge fund performance, go directly to James Morrow’s Callodine Capital Portfolio: Top 10 Picks.

5. Vistra Corp. (NYSE:VST)

Callodine Capital’s Stake Value: $11,571,000

Percentage of Morrow’s 13F Portfolio: 4.36%

Number of Hedge Fund Holders: 32

Vistra Corp. (NYSE: VST) is an Irving, Texas-based integrated electricity generation and supply company that provides power across 20 states in the United States and caters to 4.3 million customers with a generation capacity of nearly 39,000 megawatts.

As of Q2 2021, Callodine Capital’s stake in Vistra Corp. (NYSE: VST) stood at 623,750 shares with a market value of nearly $11.57 million. James Morrow has increased his stake in the stock by around 126% as of the second quarter of 2021. Overall, 32 hedge funds in Insider Monkey’s database were bullish on Vistra Corp. (NYSE: VST), compared to 46 in the preceding quarter.

Vistra Corp. (NYSE: VST) has caught investors’ eye after the company announced a $2 billion share repurchase program on October 12 to boost shareholders’ return. At the moment, the stock of Vistra Corp. (NYSE: VST) is up more than 7% in pre-market trading. The company intends to start the share repurchase program next month and intends to wrap it up by December 2022.

This program has been noted as a positive indication of the company’s strategic direction by analysts. Owing to these developments, BMO Capital maintained an Outperform rating on Vistra Corp. (NYSE: VST) stock and raised the price target from $25 to $27 on October 13.