WebMD Health Corp. (WBMD), Echostar Corporation (SATS) Among Kensico Capital’s Small-Cap Picks

Kensico Capital’s owns 1.74 million shares of its second small-cap pick, Echostar Corporation (NASDAQ:SATS), with the position worth $89.91 million. The global satellite services provider is expected to grow in earnings at an average rate of 5% per year until 2017. This year, several analysts forecast a 3.93% increase in earnings compared to last year. Next year, Echostar Corporation (NASDAQ:SATS) is expected to realize even bigger growth of 11.62% over the current year. The company released its first quarter 2015 results on May 7, posting $0.36 in earnings per share compared to $0.14 during the same quarter the previous year. A keen look at the stock reveals that the stock has been on a downward trend within the last four months, having gone down by about 3%. Some of the 29 hedge funds that had stakes in the stock for the quarter are Altalis Capital Partners, Foundation Asset Management, and Richard Patton‘s Courage Capital, all of which sold off parts of their positions in the company.

Lastly, Kensico Capital owns a total of 2.23 million shares of National General Holdings Corp (NASDAQ:NGHC) valued at $41.66 million. The company delivered an impressive performance last year of 106.2% growth in earnings per share. The firm, operating within the Property & Casualty Insurance space, is expected to perform even better this year. While many investors normally shy away from growth stocks when it comes to long-term strategies, a stock that has a great potential in its area of business is a great pick, and that’s why National General Holdings Corp (NASDAQ:NGHC) could be a big target for investors. The company is expected to register 28.7% growth in earnings per share for the year and has a long-term estimated growth rate of 15%. Analysts’ estimates on the stock have gone higher within the past month, with Zacks giving the company a “Buy” recommendation. Some of the metrics that make the stock a valuable one include its 0.89 in price-to-forward sales, a forward PE of 11.11 and its estimated $1.73 in earnings per share for the 2015 fiscal year. For the first quarter of 2015, the company delivered $0.41 in earnings per share, beating analysts’ consensus estimate of $0.35. This represented improvement compared to the same quarter last year when the stock posted $0.32 in earnings per share. A few of the hedge funds that currently hold shares of the company are Michael Blitzer‘s Kingstown Capital Management, Michael Thompson‘s BHR Capital, and Corsair Capital Management.

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