In this article, we will look at the top five stock picks of Himanshu Shah’s Shah Capital. If you want to learn more about the hedge fund and discover more stocks, head on over to Top 10 Stock Picks of Himanshu Shah’s Shah Capital.
5. Genworth Financial, Inc. (NYSE:GNW)
Shah Capital’s Stake Value: $41 million
Percentage of Shah Capital’s 13F Portfolio: 10.59%
Number of Hedge Fund Holders: 22
Genworth Financial, Inc. (NYSE:GNW) is an American insurance provider that is headquartered in Richmond, Virginia. The firm provides its services in the U.S. and globally, and it offers mortgage, life, and other insurance products.
Genworth Financial, Inc. (NYSE:GNW) has a fortress of a balance sheet that sees it own two independent insurance companies that are cumulatively worth $79 billion. One of these, Enact is slated to earn $600 million this year and pay $200 million in dividends. The company’s latest quarter saw it bring in $1.88 billion in revenue, missing analyst estimates of $1.94 billion.
Shah Capital owned a $41 million stake in Genworth Financial, Inc. (NYSE:GNW) by the end of this year’s second quarter, which came through 11 million shares and represented 10.59% of its portfolio. Insider Monkey’s 895 hedge fund survey for the same time period saw 22 investors in the company.
Out of these, Lawrence Kam’s Sonic Capital is Genworth Financial, Inc. (NYSE:GNW)’s second largest investor. It owns 3.3 million shares that are worth $11.7 million.
4. Antero Resources Corporation (NYSE:AR)
Shah Capital’s Stake Value: $41 million
Percentage of Shah Capital’s 13F Portfolio: 10.72%
Number of Hedge Fund Holders: 64
Antero Resources Corporation (NYSE:AR) is an independent natural gas and oil company that is headquartered in Denver, Colorado, the United States. The company has access to hundreds of thousands of acres of drilling sites and millions of cubic feet of proven reserves.
Mr. Shah’s hedge fund held 1.3 million Antero Resources Corporation (NYSE:AR) shares during this year’s June quarter which let it hold a $41 million stake in the company. Insider Monkey’s Q2 2022 survey of 895 hedge funds revealed that 64 had also bought Antero Resources Corporation (NYSE:AR)’s shares.
Antero Resources Corporation (NYSE:AR)’s future is uncertain since the recent slowdown in China and the natural gas market has led to reduced growth estimates for the firm’s revenue. Despite this, the fact that the company rode the tide on high natural gas prices this year has resulted in its stock price appreciating by a massive 73% year to date. However, over the course of the past month, the shares are down by 27%.
Antero Resources Corporation (NYSE:AR)’s largest investor is Zach Schreiber’s Point State Capital which owns 4.2 million shares that are worth $129 million.
3. Vanguard Scottsdale Funds
Shah Capital’s Stake Value: $47 million
Percentage of Shah Capital’s 13F Portfolio: 12.21%
Number of Hedge Fund Holders: N/A
Vanguard Scottsdale Funds is an exchange traded fund which is fund registered in Delaware, the United States of America. Vanguard Scottsdale Funds consists of a wide variety of sub funds such as bonds, treasuries, corporate bonds, long term treasury indexes, and mortgage backed securities.
Shah Capital held 800,587 Vanguard Scottsdale Funds shares as part of its Q2 2022 investment portfolio, allowing it to hold a $47 million stake. This stake represented 12.21% of the hedge fund’s investment portfolio.
2. ReneSola Ltd (NYSE:SOL)
Shah Capital’s Stake Value: $51 million
Percentage of Shah Capital’s 13F Portfolio: 15.7%
Number of Hedge Fund Holders: 4
ReneSola Ltd (NYSE:SOL) is an American company that sells its products and services all over the globe. These include developing solar power projects, solar gardens, and procurement of solar modules. ReneSola Ltd (NYSE:SOL) is headquartered in Stamford, Connecticut, the United States.
ReneSola Ltd (NYSE:SOL) is currently facing headwinds from a slowdown in China, with the company announcing in June this year that its self operated solar facilities in China would drop down to a high end estimate of 70 megawatts of electricity production. Northland set an $8 share price target for the company in September 2022, as it stated that the firm is expected to benefit heavily from the growing focus on solar energy in Europe and the United States.
Mr. Shah’s hedge fund owned 12 million ReneSola Ltd (NYSE:SOL) shares as part of its June quarter of 2022 investments. These let it hold a $51 million stake which represented 15.7% of the investment portfolio. During Q2 2022, four out of the 895 hedge funds polled by Insider Monkey had also invested in ReneSola Ltd (NYSE:SOL).
ReneSola Ltd (NYSE:SOL)’s largest investor in our database after Shah Capital is Paul Marshall and Ian Wace’s Marshall Wace LLP which owns 810,555 shares that are worth $3.8 million.
1. New Oriental Education & Technology Group Inc. (NYSE:EDU)
Shah Capital’s Stake Value: $61 million
Percentage of Shah Capital’s 13F Portfolio: 15.84%
Number of Hedge Fund Holders: 22
New Oriental Education & Technology Group Inc. (NYSE:EDU) is a Chinese private educational services firm which is based in Beijing, the People’s Republic of China. It provides test preparation services for a variety of exams held in China and in the U.S.
By the end of this year’s second quarter, Shah Capital had held a $61 million stake in New Oriental Education & Technology Group Inc. (NYSE:EDU). This came through the hedge fund owning 3 million shares of the company and it represented 15.84% of its investment portfolio. During the same time period, 22 of the 895 hedge funds surveyed by Insider Monk had invested in the company.
Management and investors of New Oriental Education & Technology Group Inc. (NYSE:EDU) were dealt with a shock last year when the Chinese government announced a crackdown on private tuition services. Despite this, the company’s shares have rallied by 16% on the market year to date. However, management proved to be agile, as it quickly suspended those programs that would become the target of stringent regulations, and instead chose to focus on services that would generate revenue instead. New Oriental Education & Technology Group Inc. (NYSE:EDU) also has $1 billion in cash and $1.2 billion in short term investments.
New Oriental Education & Technology Group Inc. (NYSE:EDU)’s largest investor in our database is Seth Klarman’s Baupost Group which owns 8 million shares that are worth $162 million.
Disclosure: None. You can also take a look at 10 Best Sugar Stocks To Buy and 11 Best Pharma and Biotech Stocks to Buy.
