In this article, we are going to discuss the top stock picks of Stephen Mandel. The Lone Pine Capital of Mandel is looking for diversifying investments across different sectors. His 13F portfolio, however, shows that this hedge fund is not after banking giants and old-fashioned organizations. This investment fund is making huge investments in those companies which are following digital technology and other innovative trends. In the entire stock portfolio of this hedge fund, the technology industry accounts for around 46% of stakes as of Q3 of 2020 and this shows that the stakes were 18% more than before. In 2019, the investor letter of Lone Pine explains the investment approach of Lone Pine, one of the statement was shared by Insider Monkey as:
“The combination of historically low interest rates — $13 trillion of global government debt, over 20% of the total outstanding, yields less than-zero— and historically high levels of technological disruption, has created a stock market with a number. of ‘distinct segments that have widely varying valuations. Any judgment about the overall level of the stock market misses the nuance of these underlying extremes.”
The stock portfolio of Lone Pine is concentrated heavily on the communication sector and it accounts for around 18% of the entire stock portfolio. The portfolio of Lone Pine of Mandel comprises of stocks from the consumer cyclical sector, healthcare, and financial services industry. Let start with the list of 10 Best Stock picks of Billionaire Stephen Mandel as reviewed in a post by Insider Monkey:
Our list starts with PayPal Holdings, Inc. Around 18% of the shares of PayPal were sold by Lone Pine Capital in the Q3 of 2020 for capitalizing on the high share price gains. During the past 3 months, the Paypal Shares soared 20%. Around 6,000, 915 PayPal shares are held by the hedge fund of Mandel as of Q3 reports and this accounts for 5.10% of his entire stock portfolio. This is the 6th biggest stock holding of this hedge fund. The next company on our list is Global Payments Inc., which is another big stock pick of Mandel. This hedge fund shows bullish behavior on this stake and increased its position in this stake by around 33% in the Q3 of 2020. More than 9% of shares were rallied in the last 3 months but the stock gains of Global Payments underperformed in the past 12 months. Around 57 hedge funds show bullish behavior for the shares of Global Payments. We have more stocks picks of Stephan Mandel on the list as well, which you can read directly on Billionaire Stephen Mandel’s Lone Pine Is Embracing The Tech Revolution.