20 Stocks That Are Under The Control Of Hedge Funds (2024)

Markets

Lisa Mahapatra

2013-02-26T02:00:00Z

Goldman Sachs recently released its "Hedge Fund Trend Monitor," a massive report detailing the fourth quarter investment moves made by the world's biggest hedge funds.

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The report included a list of "most concentrated" stocks. These are the companies for which huge shares of their outstanding stocks are owned by hedge funds.

Goldman found that these stocks tend to do very well in upward trending markets, but they also do poorly in downward trending ones. From the report:

20 Stocks That Are Under The Control Of Hedge Funds (1)

The “most concentrated” stocks lagged for most of 2007 and 2008, but significantly outperformed in 2009 (81.4% vs. 26.5%) and 2010 (15.9% vs. 15.1%). Our “most concentrated” basket underperformed the S&P 500 by 391 bp in 2011 (-1.8% vs. 2.1%) but outperformed by 814 bp in 2012 (24.1% vs. 16.0%).

We pulled the 20 stocks with the largest hedge fund ownership stakes according to Goldman's report. All stocks listed have between 19-36% of their outstanding shares owned by hedge funds.We also included the names of the five hedge funds with the largest stakes.

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20. Legg Mason

20 Stocks That Are Under The Control Of Hedge Funds (2)

Ticker: LM

Sector:
Asset management and custody banks

Percentage owned by hedge funds: 19%

4Q Return: 5%

YTD Return: 11%

Major Owners:
Trian Fund Management LP: 12.9 million shares
Greenlight Capital Inc: 3.4million shares
Citadel Advisors LLC: 1.3million shares
Levin Advisors Strategies LP: .9million shares
QVT Financial LP: .8million shares

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19. Apollo Group

20 Stocks That Are Under The Control Of Hedge Funds (3)

Ticker: APOL

Sector:
Education services

Percentage owned by hedge funds: 19%

4Q Return: -28%

YTD Return: -8%

Major Owners:
Pzena Investment Management LLC: 7.1million shares
Citadel Advisors LLC: 2.5million shares
Bridgewater Associates LP: 1.8million shares
AQR Capital Management LLC: 1.1million shares
Two Sigma Investments LP: .8million shares

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18. Family Dollar Stores

20 Stocks That Are Under The Control Of Hedge Funds (4)

Ticker: FDO

Sector:
General merchandise stores

Percentage owned by hedge funds: 19%

4Q Return: -4%

YTD Return: -13%

Major Owners:
Trian Fund Management LP: 9million shares
Maverick Capital Ltd.: 4.2million shares
Highfields Capital Management: 1.5million shares
Pennant Capital Management LLC: 1.4million shares
Renaissance Technologies Corp: 1million shares

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17. CBRE Group Inc

20 Stocks That Are Under The Control Of Hedge Funds (5)

Ticker: CBG

Sector:
Real estate services

Percentage owned by hedge funds: 20%

4Q Return: 8%

YTD Return: 23%

Major Owners:
Valueact Holdings LP: 32million shares
Select Equity Group Inc: 18.5million shares
Blum Capital Partners LP: 15.1million shares
Partner Fund Management LP: 5.2million shares
Criterion Capital Management: 2.9million shares

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16. Genworth Financial

20 Stocks That Are Under The Control Of Hedge Funds (6)

Ticker: GNW

Sector:
Multi-line insurance

Percentage owned by hedge funds: 20%

4Q Return: 44%

YTD Return: 21%

Major Owners:
Highfields Capital Management: 27.2million shares
Baupost Group LLC: 15million shares
RBS Partners LP: 12million shares
Arrowstreet Cap Limited Partners: 5.1million shares
Paulson & Co: 3.9million shares

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15. Life Technologies

20 Stocks That Are Under The Control Of Hedge Funds (7)

Ticker: LIFE

Sector:
Life sciences tools and services

Percentage owned by hedge funds: 20%

4Q Return: 0%

YTD Return: 29%

Major Owners:
Paulson & Co: 14million shares
Glenview Capital Management Inc: 11.2million shares
Sectoral Asset Management: 2million shares
Orbimed Advisors LLC: 1.9million shares
Cadian Capital Management LLC: 1.6million shares

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14. WPX Energy

20 Stocks That Are Under The Control Of Hedge Funds (8)

Ticker: WPX

Sector:
Oil and gas exploration and production

Percentage owned by hedge funds: 21%

4Q Return: -10%

YTD Return: 1%

Major Owners:
Fir Tree Inc: 8.2million shares
Taconic Capital Advisors LP: 7.5million shares
Levin Capital Strategies LP: 3.8million shares
Brenner West Capital Advisors: 3.3million shares
Omega Advisors: 2.1million shares

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13. Ralph Lauren Corp.

20 Stocks That Are Under The Control Of Hedge Funds (9)

Ticker: RL

Sector:
Apparel accessories and luxury goods

Percentage owned by hedge funds: 21%

4Q Return: -1%

YTD Return: 18%

Major Owners:
Lone Pine Capital LLC: 3.9million shares
Maverick Capital Ltd: 1.8million shares
Blue Ridge Capital LLC: 1.6million shares
Brookside Capital Investors Inc: 1.2million shares
SAC Capital Advisors LP: .7million shares

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12. American International Group

20 Stocks That Are Under The Control Of Hedge Funds (10)

Ticker: AIG

Sector:
Multi-line insurance

Percentage owned by hedge funds: 21%

4Q Return: 8%

YTD Return: 9%

Major Owners:
Third Point LLC: 18.5 million shares
Perry Corp: 14.9 million shares
D.E. Shaw & Company Inc: 11. 8 million shares
Kensico Capital Management: 10.6 million shares
Steadfast Capital Management LLC: 10.4 million shares

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11. Netflix Inc.

20 Stocks That Are Under The Control Of Hedge Funds (11)

Ticker: NFLX

Sector:
Internet retail

Percentage owned by hedge funds: 23%

4Q Return: 70%

YTD Return: 112%

Major Owners:
Ichan Associates Corp: 5.5million shares
Slate Patch Capital LP: 1.3million shares
Coatue Management LLC: 1.3million shares
Jana Partners LLC: 1million shares
Apex Capital LLC: .6million shares

10. Dollar General

20 Stocks That Are Under The Control Of Hedge Funds (12)

Ticker: DG

Sector:
General merchandise stores

Percentage owned by hedge funds: 23%

4Q Return: -14%

YTD Return: 0%

Major Owners:
Lone Pine Capital LLC: 13.3 million shares
Eton Park Capital Management: 6.5 million shares
Scout Capital Management LLC: 6.3 million shares
Brookside Capital Investors Inc: 5.3 million shares
Maverick Capital Ltd: 4.6 million shares

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9. J.C. Penney

20 Stocks That Are Under The Control Of Hedge Funds (13)

Ticker: JCP

Sector:
Department stores

Percentage owned by hedge funds: 26%

4Q Return: -19%

YTD Return: -1%

Major Owners:
Pershing Square Capital Management: 39.1million shares
Glenview Capital Management Inc: 7.3million shares
Westchester Capital Management: 1.7million shares
Ivory Investment Management LP: 1.3 million shares
Kinetics Asset Management LLC: 1 million shares

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8. LyondellBasell Industries N.V.

20 Stocks That Are Under The Control Of Hedge Funds (14)

Ticker: LYB

Sector:
Commodity chemicals

Percentage owned by hedge funds: 26%

4Q Return: 18%

YTD Return: 7%

Major Owners:
Viking Global Investors LP: 7.5million shares
Discovery Capital Management LLC: 5.2million shares
Adage Capital Partners GP LLC: 2.5million shares
Third Point LLC: 2.4million shares
Columbus Circle Investors: 1.7million shares

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7. Tenet Healthcare

20 Stocks That Are Under The Control Of Hedge Funds (15)

Ticker: THC

Sector:
Health care facilities

Percentage owned by hedge funds: 28%

4Q Return: 29%

YTD Return: 25%

Major Owners:
Glenview Capital Management Inc: 13.8million shares
Oracle Management Inc: 2.8million shares
Samlyn Capital LLC: 2million shares
Bridger Management LLC: 2million shares
Blue Ridge Capital LLC: 1.7million shares

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6. Delphi Automotive

20 Stocks That Are Under The Control Of Hedge Funds (16)

Ticker: DLPH

Sector:
Auto parts and equipment

Percentage owned by hedge funds: 29%

4Q Return: 23%

YTD Return: 4%

Major Owners:
Eliott Management Corp: 25.3million shares
Paulson & Co: 13.5million shares
Silver Point Capital LP: 11.1million shares
Centerbridge Partners 10.4million shares
Thrid Point LLC: 10million shares

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5. MetroPCS Communications

20 Stocks That Are Under The Control Of Hedge Funds (17)

Ticker: PCS

Sector:
Wireless telecommunications services

Percentage owned by hedge funds: 31%

4Q Return: -15%

YTD Return: 3%

Major Owners:
Paulson & Co: 31.8million shares
MHR Fund Management LLC: 14.6million shares
Westchester Capital Management: 11.9million shares
P Schoenfeld Asset Management LLC: 6million shares
Quaker Capital Management: 5.8million shares

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4. AutoNation

20 Stocks That Are Under The Control Of Hedge Funds (18)

Ticker: AN

Sector:
Automotive retail

Percentage owned by hedge funds: 33%

4Q Return: -9%

YTD Return: 14%

Major Owners:
RBS Partners L P: 34.6million shares
Horizon Asset Management LC: 3.5million shares
Kinetics Asset Management LLC: 2.8million shares
Apex Capital Management: .4million shares
D.E. Shaw & Company Inc: .4 million shares

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3. TripAdvisor

20 Stocks That Are Under The Control Of Hedge Funds (19)

Ticker: TRIP

Sector:
Internet retail

Percentage owned by hedge funds: 33%

4Q Return: 27%

YTD Return: 4%

Major Owners:
Lone Pine Capital LLC: 6.6million shares
Pennant Capital Management LC: 4.5million shares
Coatue Management LLC: 3.3million shares
Par Capital Management Inc: 3.2million shares
Jana Partners LLC: 2.3million shares

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2. E*Trade Financial

20 Stocks That Are Under The Control Of Hedge Funds (20)

Ticker: ETFC

Sector:
Investment banking and brokerage

Percentage owned by hedge funds: 33%

4Q Return: 2%

YTD Return: 26%

Major Owners:
Citdel Advisors LLC: 27.4million shares
Glenview Capital Management Inc: 11.5million shares
Omega Advisors: 8million shares
Senator Investment Group LP: 7.5million shares
Carlson Capital LP: 4.2million shares

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1. VeriSign Inc.

20 Stocks That Are Under The Control Of Hedge Funds (21)

Ticker: VRSN

Sector:
Internet software and services

Percentage owned by hedge funds: 36%

4Q Return: -20%

YTD Return: 19%

Major Owners:
Lone Pine Capital LLC: 14.7million shares
Hoplite Capital Management: 4.5million shares
Blue Ridge Capital LLC: 3.5million shares
Coatue Management LLC: 3.2million shares
Jana Partners LLC: 3.1million shares

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