Is Baidu.com, Inc. (ADR) (NASDAQ:BIDU) the right investment to pursue these days? Hedge funds are taking an optimistic view. The number of long hedge fund positions rose by 3 recently. However, some prominent investors like Dinakar Singh and John Lykouretzos dumped their holdings according to Insider Monkey.
In today’s marketplace there are a lot of methods stock market investors employ to appraise their holdings. A duo of the less known methods are hedge fund and insider trading interest. Experts at Insider Monkey, a website specializing in hedge funds, have shown that, historically, those who follow the top picks of the elite hedge fund managers can outpace their index-focused peers by a significant margin (see the details here).
So it may make sense to follow what hedge funds are doing. Let’s analyze the latest action encompassing Baidu.com, Inc. (ADR) (NASDAQ:BIDU).
What have hedge funds been doing with Baidu.com, Inc. (ADR) (NASDAQ:BIDU)?
At the end of the third quarter, a total of 85 of the hedge funds tracked by Insider Monkey were long in this stock, a change of 4% from the second quarter. With hedge funds’ capital changing hands, there exists a few notable hedge fund managers who were boosting their holdings meaningfully.
According to hedge fund experts at Insider Monkey, Stephen Mandel’s Lone Pine Capital had the number one position in Baidu.com, Inc. (ADR) (NASDAQ:BIDU), worth close to $1.787 billion, accounting for 7% of its total 13F portfolio. Sitting at the No. 2 spot is Coatue Management, led by Philippe Laffont, holding a $800.7 million position; 8.2% of its 13F portfolio is allocated to the stock. Other peers that are bullish contain William von Mueffling’s Cantillon Capital Management, Andreas Halvorsen’s Viking Global and Matt Sirovich and Jeremy Mindich’s Scopia Capital.
As industrywide interest jumped, some big names have jumped into Baidu.com, Inc. (ADR) (NASDAQ:BIDU) headfirst. JAT Capital Management, managed by John Thaler, initiated the largest position in Baidu.com, Inc. (ADR) (NASDAQ:BIDU). JAT Capital Management had 133.8 million invested in the company at the end of the quarter. Alex Sacerdote’s Whale Rock Capital Management also made a $40.8 million investment in the stock during the quarter. The following funds were also among the new BIDU investors: Israel Englander’s Millennium Management, Matthew Hulsizer’s PEAK6 Capital Management, and Siddharth Thacker’s Signpost Capital.