In this article, we discuss the top 4 stock picks of Nelson Peltz’s Trian Partners. If you want our detailed analysis of these stocks, go directly to the Top 9 Stock Picks of Nelson Peltz’s Trian Partners.
4. Janus Henderson Group plc (NYSE:JHG)
Trian Partners’ Stake Value: $979,617,000
Percentage of Trian Partners’ 13F Portfolio: 12.17%
Number of Hedge Fund Holders: 24
Janus Henderson Group plc (NYSE:JHG), a publicly listed global asset management firm, is a top stock pick of Nelson Peltz as of September this year. Peltz’s Trian Partners holds 23.7 million shares in Janus Henderson Group plc (NYSE:JHG), worth $979.6 million, which represents 12.17% of the firm’s Q3 portfolio.
Janus Henderson Group plc (NYSE:JHG) on October 28 posted its Q3 results. EPS in the period came in at $1.16, beating estimates by $0.17. The $687.40 million revenue failed to meet analysts’ expected revenue by -$2.5 million.
At the end of the third quarter, 24 hedge funds in Insider Monkey’s database of elite funds were bullish on Janus Henderson Group plc (NYSE:JHG), up from 22 funds in the preceding quarter. The total stakes held by these hedge funds amounted to $1.37 billion. One of the prominent Janus Henderson Group plc (NYSE:JHG) stakeholders is Ariel Investments, holding a $132.9 million position in the company.
3. Sysco Corporation (NYSE:SYY)
Trian Partners’ Stake Value: $1,050,536,000
Percentage of Trian Partners’ 13F Portfolio: 13.06%
Number of Hedge Fund Holders: 29
Sysco Corporation (NYSE:SYY) is a Houston-based multinational corporation that provides food products, kitchen equipment, and tabletop items to restaurants and hospitality businesses around the US. Sysco Corporation (NYSE:SYY) posted its Q3 earnings on November 9. EPS in the period equaled $0.83, missing estimates by -$0.04. The Q3 revenue totaled $16.46 billion, outperforming estimates by $608.33 million, up 39.73% year-over-year.
Trian Partners holds a $1.05 billion position in Sysco Corporation (NYSE:SYY), which accounts for 13.06% of the firm’s Q3 portfolio. One of the leading stakeholders in Sysco Corporation (NYSE:SYY) as of Q3 2021 is Yacktman Asset Management, with a $424.2 million stake in the company.
At the end of September this year, 29 hedge funds in Insider Monkey’s database of 867 elite funds were long Sysco Corporation (NYSE:SYY), with total stakes amounting to $2.24 billion. This is a decrease from 40 funds holding a position in Sysco Corporation (NYSE:SYY) in the prior quarter, with a total stake value of $2.6 billion.
2. Comcast Corporation (NASDAQ:CMCSA)
Trian Partners’ Stake Value: $1,118,120,000
Percentage of Trian Partners’ 13F Portfolio: 13.90%
Number of Hedge Fund Holders: 75
Comcast Corporation (NASDAQ:CMCSA), a multinational telecommunications company, represents 13.9% of Trian Partners’ Q3 portfolio, with the firm owning 13.38 million shares in Comcast Corporation (NASDAQ:CMCSA), worth $1.11 billion. Loop Capital analyst Alan Gould assumed coverage of Comcast Corporation (NASDAQ:CMCSA) on November 22, and lowered the price target to $67 from $71, keeping a Buy rating on the shares.
Comcast Corporation (NASDAQ:CMCSA), on October 28, reported its Q3 results. EPS in the period came in at $0.87, beating estimates by $0.12. Revenue for the third quarter totaled $30.3 billion, outperforming estimates by almost $425 million.
As of September this year, 75 hedge funds tracked by Insider Monkey were bullish on Comcast Corporation (NASDAQ:CMCSA), with a total stake value of $8.54 billion, down from 84 funds in the preceding quarter with stakes worth $9.3 billion.
Jean-Marie Eveillard’s First Eagle Capital Management is the leading Comcast Corporation (NASDAQ:CMCSA) Q3 stakeholder, holding a $1.64 billion position in the company.
Here is what ClearBridge Investments has to say about Comcast Corporation (NASDAQ:CMCSA) in its Q2 2021 investor letter:
“We funded the shift primarily with trims in Comcast following big gains in this name. Comcast is a long-term holding that has been and remains a core holding. During the quarter, however, we took gains and resized the positions to reflect their current risk-reward post strong increases in the stocks.
Comcast, like Blackstone, has been a meaningful long-term holding whose stock performance has at times lagged its robust fundamental performance. Over the last nine months the stock price caught up some with the fundamentals and looked like it had more room to run. Our thesis on the name evolved, however, following the May 17 announcement that competitor Discovery was merging its operations with Time Warner. This deal positions the new company as a credible competitor to Netflix, Amazon Prime, Hulu and Disney, and results in Comcast being left without the proverbial dance partner in the evolving pay TV/DTC landscape. While we continue to believe Comcast’s cable systems business is well-positioned and that NBCUniversal remains valuable, the competitive dynamic for NBCUniversal has stiffened. Our reduced position size reflects both our continued enthusiasm for many parts of the franchise and emerging concerns given the evolving pay TV/DTC landscape.”
1. Ferguson plc (NYSE:FERG)
Trian Partners’ Stake Value: $1,773,802,000
Percentage of Trian Partners’ 13F Portfolio: 22.05%
Number of Hedge Fund Holders: 10
Ferguson plc (NYSE:FERG) is a leading British distributor of plumbing and heating products. Being the largest holding in Nelson Peltz’s Q3 portfolio, Ferguson plc (NYSE:FERG) represents 22.05% of his total investments, with Peltz owning a $1.77 billion position in the company.
On October 27, Ferguson plc (NYSE:FERG) announced a cash dividend of $1.665 per share, which would be payable on December 10 to stakeholders of record on October 29.
Morgan Stanley analyst Annelies Vermeulen on October 21 raised the price target on Ferguson plc (NYSE:FERG) to £11,070 from £9,970 and kept an Equal Weight rating on the shares.
Polar Capital is the leading Ferguson plc (NYSE:FERG) stakeholder, with a position worth $4.55 billion in the company. Overall, 10 hedge funds held stakes in Ferguson plc (NYSE:FERG), valued at over $6.5 billion as of September 2021.
You can also take a look at Top 10 Stock Picks of Leon Lowenstein’s Lionstone Capital Management and Top 10 Stock Picks of Lawrence Kam’s Sonic Capital.
