Jim Simons’ Quant Hedge Fund is Buying These 5 Stocks

4. UnitedHealth Group Incorporated (NYSE:UNH)

Simons’ Stake Value: $157.9 million

Percentage of Jim Simons’ 13F Portfolio: 0.19%

Number of Hedge Fund Holders: 105

UnitedHealth Group Incorporated (NYSE:UNH) is a healthcare company based in Minnesota that offers services ranging from health care services, pharmacy care services and health benefit plans. Ranked fourth on the list of the 10 stocks Jim Simons’ quant hedge fund is buying, UnitedHealth Group Incorporated (NYSE:UNH) has a market capitalization of $382.14 billion.

According to the recent 13F Filings, Jim Simons’ Renaissance Technologies holds 394,435 shares of UnitedHealth Group Incorporated (NYSE:UNH), amounting to over $157.9 million in worth and accounting for 0.19% of the fund’s portfolio. At the end of the second quarter of 2021, 105 hedge funds in the database of Insider Monkey held stakes worth $13.1 billion in UnitedHealth Group Incorporated (NYSE: UNH), up from 89 in the preceding quarter worth $12.1 billion.

On September 27, SVB Leerink analyst Whit Mayo initiated coverage of UnitedHealth Group Incorporated (NYSE:UNH) with an Outperform rating and $480 price target.

In its Q2 2021 investor letter, ClearBridge Investments mentioned UnitedHealth Group Incorporated (NYSE: UNH) and discussed its stance on the firm. Here is what the fund said:

“A good way to conceptualize how we think about portfolio construction is to picture a pyramid. At the bottom of the pyramid are the durable compounding growth companies that form the strong foundation, resilience, and consistency for the Strategy. We think these companies should comprise just under half of portfolio assets and feature annual revenue growth rates ranging from two times GDP up to 20% as well as healthy free cash flow generation.

UnitedHealth Group, a name we have owned in the Strategy since 1992, is a good example of a long-term compounder, having grown its revenue base from approximately $600 million to north of $260 billion over that time frame. It remains constantly focused on investing in new growth drivers such as telemedicine and health care analytics. Broadcom and Comcast have delivered similar long-term appreciation through a combination of organic growth, capital deployment into new and adjacent opportunities through merger and acquisition activity as well as returning capital to shareholders through buybacks and dividends.”