Top 5 Stocks to Buy Today According to Stephen Perkins’ Toronado Partners

3. Magnachip Semiconductor Corporation (NYSE: MX)

Perkins’ Stake Value: $39,698,000
Percentage of Stephen Perkins’ 13F Portfolio: 11.57%
Number of Hedge Fund Holders: 35

Magnachip Semiconductor Corporation (NYSE: MX) manufactures and designs analog and mixed-signal semiconductor platform solutions. The company was founded in 2004 and is placed third on the list of top 10 stocks to buy today according to Stephen Perkins’ Toronado Partners. Stephen Perkins’ bet on Magnachip Semiconductor Corporation (NYSE: MX) is also paying off. Shares of the company surged 37.82% over the last 12 months.

On August 5, Magnachip Semiconductor Corporation (NYSE: MX) announced earnings for the second quarter of 2021. It posted earnings per share of $0.15, missing the market predictions by $0.05. Revenue for the second quarter was $113.88 million, down 4.2% YoY, missing the estimates by $17.22 million. 

Stephen Perkins’ Toronado Partners currently holds 1.66 million shares of Magnachip Semiconductor Corporation (NYSE: MX), worth $39.70 million. Overall, hedge funds are loading up on Magnachip Semiconductor Corporation (NYSE: MX), as 35 out of 873 funds tracked by Insider Monkey held stakes in the company in the second quarter of 2021, compared to 30 funds a quarter earlier. 

Wasatch Global Investors, in its first-quarter 2021 investor letter, mentioned Magnachip Semiconductor Corporation (NYSE: MX). Here is what the fund said: 

“Magnachip Semiconductor Corp. (MX) also contributed to Fund performance. The company designs, develops and manufactures mixed-signal and digital multimedia semiconductors. We think Magnachip is a classic “growth at a reasonable price” (GARP) company. The stock was a laggard in 2020, but our belief was that Wall Street underappreciated the company’s earnings and that the P/E ratio would exceed expectations going forward. In the first quarter, we think Magnachip benefited from the realization that the company is a steady—if not spectacular—grower as there was a rotation in preference away from higher-priced growth stocks and toward lower-priced growth stocks. The stock also benefited from news that the company has agreed to be acquired.”