When hedge fund manager "titans" think alike, investors are wise to pay attention. At Holdings Channel, we have reviewed 4,897 13F filings for the 03/31/2022 reporting period, and noticed that Cerner Corp. (Symbol: CERN) was held by 4 of the particular managers we have flagged as "titans" most widely followed by investors. It is not every day we see this many notable hedge fund managers thinking alike, so we wanted to take a closer look.
Before we continue, it is important to point out that 13F filings do not tell the whole story, because these funds are only required to disclose their long positions with the SEC, but are not required to disclose their short positions. A fund making a bearish bet against a stock by shorting calls, for example, might also be long some amount of stock as they trade around their overall bearish position. This long component could show up in a 13F filing and everyone might assume the fund is bullish, but this tells only part of the story because the bearish/short side of the position is not seen.
Having given that caveat, we believe that looking at groups of 13F filings can be revealing, especially when comparing one holding period to another. Below, let's take a look at the change in CERN positions for each of the titans that reported holding some amount of CERN at 03/31/2022:
| Fund Manager | New Position? | Change In Share Count | Change In Market Value ($ in 1000's) |
|---|---|---|---|
| Ray Dalio (Bridgewater) | Existing | +87,665 | +$8,625 |
| Jeremy Grantham (GMO) | Existing | +2,849 | +$388 |
| Jim Simons (Renaissance Tech) | Existing | +2,297,500 | +$215,002 |
| George Soros (Soros Fund Management) | Existing | +1,560,000 | +$146,761 |
| Aggregate Change: | +3,948,014 | +$370,776 | |
In terms of shares owned, we count all 4 of the identified titans above having increased existing CERN positions from 12/31/2021 to 03/31/2022.
Looking beyond these particular hedge funds of interest, we tallied up the CERN share count in the aggregate among all of the funds which held CERN at the 03/31/2022 reporting period (out of the 4,897 we looked at). We then compared that number to the sum total of CERN shares those same funds held back at the 12/31/2021 period, to see how the aggregate share count held by hedge funds has moved for CERN. We found that between these two periods, hedge funds reduced their holdings by 9,494,078 shares in the aggregate, from 158,981,293 down to 149,487,215 for a share count decline of approximately -5.97%. The overall top three hedge funds holding CERN on 03/31/2022 were:
| » | Fund | Shares of CERN Held |
|---|---|---|
| 1. | Vanguard Group Inc. | 32,129,838 |
| 2. | BlackRock Inc. | 23,841,125 |
| 3. | JPMorgan Chase & Co. | 6,499,895 |
| 4-10 | Find out the full Top 10 Hedge Funds Holding CERN | » |
We'll keep following the latest 13F filings by hedge fund managers and bring you interesting stories derived from a look at the aggregate information across groups of managers between filing periods. While looking at individual 13F filings can sometimes be misleading due to the long-only nature of the information, the sum total across groups of funds from one reporting period to another can be a lot more revealing and relevant, providing interesting stock ideas that merit further research, like Cerner Corp. (Symbol: CERN).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
