Jim Simons Stock Portfolio: 5 Biggest Healthcare Stocks

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Below we take a look at Jim Simons Stock Portfolio: 5 Biggest Healthcare Stocks. For our methodology and a more comprehensive list please see Jim Simons Stock Portfolio: 10 Biggest Healthcare Stocks.

5. Molina Healthcare, Inc. (NYSE:MOH)

Value of Renaissance Technologies’ 13F Position: $483 million

Number of Hedge Fund Shareholders: 40

Jim Simons’ RenTech scaled back the size of its Molina Healthcare, Inc. (NYSE:MOH) holding by 15% during Q3, leaving the quant fund with over 1.46 million shares entering the final quarter of 2022. Molina Healthcare hit an all-time high in hedge fund ownership during Q3, with Lee Ainslie’s Maverick Capital and Steve Cohen’s Point72 Asset Management among the funds adding MOH to their portfolios during Q3.

The global health insurance market is a gigantic one, being estimated to hit $3.6 trillion by 2028, and Molina Healthcare, Inc. (NYSE:MOH) is one of the biggest players in the United States with 5.2 million customers. The company’s adjusted diluted EPS grew by 54.1% year-over-year to $4.36 in Q3, and the company anticipates double digit EPS growth over the next three years.

In December, Bank of America analyst Kevin Fischbeck upgraded Molina Healthcare to ‘Neutral’ from ‘Underperform’ and expressed confidence that the company will be able to achieve its projected 13% to 18% annual EPS growth through 2025. He has a $388 price target on the stock.

Renaissance Investment Group (which is not affiliated with Renaissance Technologies) made the following comment about Molina Healthcare, Inc. (NYSE:MOH) in its Q3 2022 investor letter:

“Lastly, Molina Healthcare, Inc. (NYSE:MOH) returned 18.0% after reporting strong quarterly results that saw solid membership growth and a favorable medical cost environment. The stock also benefited from a rotation to companies with more stable and predictable business models, a desirable attribute in the current economic environment.”

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