Key Hedge Funds Bullish Ferrari (NYSE:RACE)


Investors can judge whether Ferrari (NYSE:RACE) is a good investment right now by following the lead of some of the best investors in the world and mirroring their ideas.

There is no better way to get these firms’ immense resources and analytical capabilities working than to follow their lead into their best ideas.

While not all of these picks will be winners, the research shows that these picks historically outperformed the market when we factor in known risk factors.

Ferrari was in 32 hedge funds’ portfolios at the end of September. RACE investors should be aware of an increase in hedge fund interest recently. There were 30 hedge funds in our database with RACE positions at the end of the prior Quarter.

According to most shareholders, hedge funds are seen as unimportant, old investment tools of years past. While there are greater than 8000 funds in operation at present, Our researchers choose to focus on the bigs of this group, approximately 750 funds. These investment experts shepherd most of all hedge funds’ total capital.

Heading into Q-4 of Y 2019, a total of 32 of the hedge funds tracked are Bullish Ferrari, a change of 7% from a Quarter earlier. By comparison, 26 hedge funds held shares or Bullish all Call options in RACE a year ago.

So, let us see which hedge funds were among the Top holders of the stock and which hedge funds were making big moves, as follows:

D1 Capital Partners was the largest shareholder of Ferrari N.V. (NYSE:RACE), with a stake worth $387-M reported as of the end of September.

Trailing D1 Capital Partners was Melvin Capital Management, which amassed a stake valued at $311.3-M.

Darsana Capital Partners, Alatus Capital, and Renaissance Technologies were also very fond of the stock, becoming one of the largest hedge fund holders of the company.

In terms of the portfolio weights assigned to each position Alatus Capital allocated the biggest weight to Ferrari (NYSE:RACE), around 45.34% of its portfolio.

Aquamarine Capital Management is Very Bullish the stock, with 15.59% of its 13F equity portfolio in RACE.

As aggregate interest increased, Key hedge funds have jumped into Ferrari.

Renaissance Technologies established the biggest position in Ferrari. Renaissance Technologies had $78-M invested in the company at the end of the Quarter.

North Fourth Asset Management made a $9-M investment in the stock during the Quarter.

The following funds were also among the new RACE investors: Peter Rathjens, Bruce Clarke and John Campbell’s Arrowstreet Capital, David E. Shaw’s D E Shaw, and Richard Driehaus’s Driehaus Capital.

Ferrari is not the most popular stock in this group but hedge fund interest is still above average.

Our calculations showed that the Top 20 most popular stocks among hedge funds returned 37.4% in Y 2019 through the end of November and outperformed the S&P 500 ETF (SPY) by 9.9 percentage points.

Hedge funds were right about betting on RACE, though not to the same extent, as the stock returned 9.2%% during the 1st 2 months of Q-4 and outperformed the market too.

Ferrari is the Aristocrat of the automotive sector.

Enzo Ferrari’s iconic Italian Supercar manufacturer claimed the title according to the latest Brand Finance Global 500 2019 report launched at the World Economic Forum in Davos.

HeffX-LTN overall technical outlook for RACE is Very Bullish, overhead resistance is Nil, and Key support at 167.46, as all Key indicators are Bullish and the stock has established long term support ahead of this breakout.

Ferrari finished at 168.02, +2.91 Tuesday in NY.

Ferrari will continue to create value in the long term. Ferrari is a quality 1st long term luxury products investment, and I see it at 200+/share in that frame.

Ferrari will continue to create value in the long term. Ferrari is a quality 1st long term luxury products investment, and I see it at 200+/share in that frame.

Stay tuned…

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