Top 5 Stocks to Buy According to Patrick Degorce’s Theleme Partners

In this article, we will discuss the top 5 stocks to buy according to Patrick Degorce’s Theleme Partners. If you want to read our detailed analysis of Degorce’s history, investment philosophy, and hedge fund performance, go directly to the Top 9 Stocks to Buy According to Patrick Degorce’s Theleme Partners. 

5. Micron Technology, Inc. (NASDAQ:MU)

Degorce’s Stake Value: $171,830,000
Percentage of Patrick Degorce’s 13F Portfolio: 5.01%
Number of Hedge Fund Holders: 87

Micron Technology, Inc. (NASDAQ:MU) is ranked fifth on the list of top 9 stocks to buy according to Patrick Degorce’s Theleme Partners. It supplies memory and storage technologies such as DRAM, NOR, NAND, and 3D XPoint memory under the Micron and Crucial brands and private labels.

On September 29, Wedbush analyst Matt Bryson lowered his price target on Micron Technology, Inc. (NASDAQ:MU) to $85 from $105 and kept a “Neutral” rating on the shares after quarterly results. The analyst observes that while the statistics were somewhat better than expected, the guidance was much below consensus.

Peter Rathjens, Bruce Clarke, and John Campbell’s Arrowstreet Capital is the most significant stakeholder of Micron Technology, Inc. (NASDAQ:MU), with 14.86 million shares worth $1.26 billion.

In its fourth-quarter 2020 investor letter, Bonsai Partners mentioned Micron Technology, Inc. (NASDAQ:MU). Here is what the fund said:

“Micron is a manufacturer of memory semiconductor chips. Micron’s stock appreciated 60.1% during the quarter.

Micron’s shares significantly appreciated this quarter for a couple of reasons. First, and most importantly, the DRAM market appears to have begun its cyclical rebound. As a result, we will likely see higher pricing and profitability through at least the calendar year 2021, hopefully meaningfully longer.

Another (and less meaningful) driver wasthat semiconductor stocks have become ‘en vogue’ once again. I may not be old, but I’ve been around the sector long enough to know that when generalists start getting excited about a ‘new paradigm’ around semiconductors, it’s time to be wary.

I wouldn’t call Micron overvalued, but I’d certainly say it’s more fairly priced today compared to when we first purchased it a few months ago.”