Top 5 Stock Picks of John Hempton’s Bronte Capital

In this article, we discuss the top 5 stock picks of John Hempton’s Bronte Capital. If you want to read a detailed analysis of Hempton’s investment philosophy and current portfolio allocation strategies, go directly to Top 10 Stock Picks of John Hempton’s Bronte Capital.

5. Visa Inc. (NYSE:V)

Bronte Capital’s Stake Value: $58,265,000
Percentage of Bronte Capital’s 13F Portfolio: 6.67%
Number of Hedge Fund Holders: 166

Insider Monkey data shows that Bronte Capital owned 295,928 shares of Visa Inc. (NYSE:V) at the end of the second quarter of 2022, worth more than $58.27 million, representing 6.67% of the portfolio. TCI Fund Management is Visa Inc. (NYSE:V)’s most significant stakeholder. In Q2 2022, 166 hedge funds owned positions worth $24.08 billion in Visa Inc. (NYSE:V), compared to 159 funds with stakes valued at nearly $28.08 billion a quarter earlier.

Visa Inc. (NYSE:V) announced on September 10 that it would provide a new merchant category code for American gun merchants to help customers identify purchases made at gun shops.

On August 16, Daiwa analyst Kazuya Nishimura downgraded Visa Inc. (NYSE:V) from ‘Outperform’ to ‘Neutral’ and trimmed his price objective from $230 to $225. The analyst anticipated that there would be less prospects for profitability to exceed market expectations despite the practically complete elimination of border barriers.

Here is what Baron Funds has to say about Visa Inc. (NYSE:V) in its Q2 2022 investor letter:

“The Fund’s holdings in the Payments and Information Services themes also contributed to relative performance. Within Payments, lower exposure to this lagging theme and outperformance of Visa, Inc. (NYSE:V). These global payment networks are viewed as safe havens during market downturns but are also benefiting from resilient payment volumes and a sharp rebound in international travel.”