Street of Walls is out with its latest analysis of hedge fund SEC Form 13F filings. As we have point out previously, the 13F filings are an interesting, if incomplete, trailing indicator of hedge fund sentiment. Nevertheless, it makes for good reading and the Street of Walls folks do a nice job digging through them and synthesizing what they find.
Here are the highlights of their report:
- The most crowded new ideas during the quarter were AAPL, GOOG, WYNN, and HCA. Other new positions shared among hedge funds but with less overlap were PCLN, DTV, LBTYA, SHW, ANV, NFLX, VRSN, SHW, TRIP, and SIRI.
- Excluding large allocation from Hayman, Financials saw a -2.0% decline in sector exposures. Low rates and mortgage related put-back problems in Financials may have led managers to trim and exit positions within the space throughout 2011 and into 2012.
- We found a majority of hedge funds largest positions were shared amongst the hedge funds in our universe. AAPL was by far the most crowded position in the top 12 holdings for hedge funds: Greenlight, Lone Pine, Appaloosa, Maverick, Passport, Blue Ridge, Coatue, and Tiger all have AAPL as one of the largest position in their holdings. Other large crowded positions include GOOG, ESRX, DLPH, QCOM, and C.
- On average the funds listed below bought companies with a 2012 forward price to earnings ratio of 17.5x vs. 18.6x last quarter. Appaloosa and Baupost bought into the higher valuation stocks at 47.4x and 27.9x respectively while Glenview and Hayman bought into much lower valuations at 12.4x and 11.8x respectively.
To read the full report at streetofwalls.com, click here.