Kraft Heinz Co (KHC): Hedge Funds Are Snapping Up; Signs of Confidence in Post-Merger Synergies

What have hedge funds been doing with Kraft Heinz Co (NASDAQ:KHC)?

Heading into 2016, a total of 60 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 7% from the previous quarter. With the smart money’s sentiment swirling, there exists a select group of key hedge fund managers who were upping their holdings considerably (or already accumulated large positions).

According to Insider Monkey’s hedge fund database, Berkshire Hathaway, managed by Warren Buffett, holds the biggest position in Kraft Heinz Co (NASDAQ:KHC). Berkshire Hathaway has a $23.69 billion position in the stock, comprising 18% of its 13F portfolio. Sitting at the No. 2 spot is York Capital Management, led by James Dinan, holding a $250 million position; 3.7% of its 13F portfolio is allocated to the company. Remaining professional money managers that hold long positions consist of D.E. Shaw & Co. L.P., founded by David E. Shaw, Boykin Curry’s Eagle Capital Management and John Griffin’s Blue Ridge Capital.

Consequently, key hedge funds were leading the bulls’ herd. Viking Global, managed by Andreas Halvorsen, created the biggest position in Kraft Heinz Co (NASDAQ:KHC). Viking Global had $151.5 million invested in the company at the end of the quarter. Lee Ainslie’s Maverick Capital also initiated a $106.5 million position during the quarter. The other funds with new positions in the stock are Richard Gerson and Navroz D. Udwadia’s Falcon Edge Capital, Ram Seshan Venkateswaran’s Vernier Capital, and Yen Liow’s Aravt Global.

The final page of this article discusses the hedge fund activity in several other companies that have market capitalizations similar to KHC’s market cap.