Two Stocks That Have Deerfield Management And Anchor Bolt Capital Excited

Anchor Bolt Capital’s biggest equity position is LyondellBasell Industries NV (NYSE:LYB), a chemical company with a global presence. During the second quarter, Polak doubled his stake to 1.27 million shares worth $131 million at the end of June. He is also very bullish on Magna International Inc. (USA) (NYSE:MGA), having increased his holding by 160% to more than 1.86 million shares. Although hedge fund titans like Leon Cooperman and David Einhorn are still buying General Motors Company (NYSE:GM), Polak saw fit to reduce his position by 11%, leaving Anchor Bolt with 2.97 million shares. An understudy of billionaire Ken Griffin, Polak decided to set out on his own in 2012, founding Anchor Bolt. Three years later, he is running a public equity portfolio with an estimated market value of $2.79 billion, with bets across a host of sectors, the technology and consumer discretionary sectors being chief among them.

Hornbeck Offshore Services, Inc. (NYSE:HOS) has a market cap of $592 million and is traded at a trailing Price to Earnings (P/E) ratio of 5.xx, significantly lower than the industry average P/E of 40.20. For the three months ending June 30, 2015, the company posted revenues of $136 million, down by 20% compared to the same period last year, while earnings decreased to $0.53 per share. Wall Street expects Hornbeck’s financials to deteriorate during this quarter as well, with analysts reaching a consensus of $127 million in revenues and earnings of $0.29 per share. William C. Martin, the manager of Raging Capital Management, is very optimistic about the prospects of Hornbeck Offshore Services, Inc. (NYSE:HOS), having increased his holding of the stock by 288% during the second quarter to amass 1.54 million shares. Debra Fine, on the other hand, decided to slightly reduce her exposure to the stock, trimming her position by roughly 2%. Her fund Fine Capital Partners reported ownership of 3.5 million shares, worth approximately $72 million, in its latest 13F filing. During the second quarter, the number of hedge funds in our directory holding a long position in Hornbeck decreased by two, while the value of their overall investments was down by $8 million to $291 million.

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