In this article we will take a look at the some of notable stocks on the move today.
The markets are modestly lower on Tuesday with the Dow Jones down 0.24%, the S&P 500 in the red by 0.22%, and the NASDAQ 100 down by 0.42%. Among the stocks in the spotlight today include GlaxoSmithKline plc (NYSE:GSK), NIKE, Inc. (NYSE:NKE), Tesla, Inc. (NASDAQ:TSLA), Ford Motor Company (NYSE:F), General Motors Company (NYSE:GM), Square, Inc. (NYSE:SQ), and Moderna, Inc. (NASDAQ:MRNA). Let’s analyze why each stock is trending and how elite funds are positioned among them.
Why do we care about hedge fund activity? Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 86 percentage points since March 2017. Between March 2017 and July 2021 our monthly newsletter’s stock picks returned 186.1%, vs. 100.1% for the SPY. Our stock picks outperformed the market by 86 percentage points (see the details here). That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.
10. Tesla, Inc. is in the spotlight after China’s Passenger Car Association said Tesla shipments increased 27% to 56,006 units in September. That’s a record for Tesla in China. Tesla, Inc. shares are also trending due to the stock rising above $800 on Tuesday. Billionaire Elon Musk owns substantial shares in Tesla, Inc..
9. Ford Motor Company has increased 3.8% due to an improvement in sentiment. Given General Motors’ investor day last week, some investors may have more optimism over a similar company like Ford Motor Company’s future growth potential. 55 elite funds were long Ford Motor Company at the end of Q2 in our database.
8. General Motors Company is up 1.6% due to continued momentum from its investor day last week. If General Motors Company can achieve its financial targets successfully by 2030, the company could potentially increase its profits substantially from 2020. Warren Buffett’s Berkshire Hathaway was long 60 million shares of General Motors Company at the end of June.
7. Square, Inc. is in the spotlight after Kunaal Malde of Atlantic Equities upgraded the stock to ‘Overweight’ from ‘Neutral’. Malde has a $300 price target citing Square, Inc.’s substantial growth prospects. Of the around 873 elite funds in our database, 94 were long Square, Inc. at the end of Q2.
6. Moderna, Inc. is in the spotlight given the FDA’s advisory group is scheduled to meet this Thursday and Friday to discuss potential booster doses. Although the advisory group’s recommendation is nonbinding, the FDA generally follows the recommendations of the advisory group. Renaissance Technologies was long more than 3.1 million shares of Moderna, Inc. at the end of Q2.
Like Tesla, Inc., Ford Motor Company, General Motors Company, Square, Inc., and Moderna, Inc., GlaxoSmithKline plc (NYSE:GSK), and NIKE, Inc. are also trending.
5. GlaxoSmithKline plc (NYSE:GSK) is in the spotlight after after Bloomberg reported GlaxoSmithKline’s consumer division is fielding interest from private equity firms. GlaxoSmithKline plc (NYSE:GSK) has said before that the company’s board will evaluate options to increase shareholder value. What the board decides is still not clear. 28 elite funds were long GlaxoSmithKline plc (NYSE:GSK) at the end of June.
4. NIKE, Inc. is up 0.77% after Kate McShane of Goldman Sachs initiated coverage on the company with a ‘Buy’ rating. McShane has a $172 price target for NIKE, Inc.. 67 elite funds in our database were long NIKE, Inc. at the end of Q2.
3. CureVac N.V. (NASDAQ:CVAC) is down 6.3% after the company decided not to proceed with the development of its most advanced vaccine candidate for COVID-19. CureVac N.V.’s vaccine candidate’s efficacy was not comparable to Pfizer’s. The number of elite funds long CureVac N.V. rose by 3 from the prior quarter to 12 at the end of the second quarter.
2. Airbnb, Inc. (NASDAQ:ABNB) is up 4.2% after Cowen upgraded the stock to ‘outperform’ from ‘market perform’. Airbnb, Inc. could benefit from the rebound in the travel industry once the pandemic ends. The number of elite funds in our database that were long Airbnb, Inc. rose to 58 in the second quarter from 52 in the first quarter.
1. MGM Resorts International (NYSE:MGM) has surged over 8.4% after Benjamin Chaiken of Credit Suisse upgraded MGM Resorts International to ‘Outperform’ from ‘Neutral’. The analyst doesn’t think the market is giving enough credit to MGM Resorts International for its transformation. Corvex Capital was long more than 15.6 million shares of MGM Resorts International at the end of June.
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This article is originally published at Insider Monkey.
