Investors often look at what stocks are popular with hedge funds as a way to gain insight on the market. At the end of each quarter, Goldman’s (NYSE:GS) Chief Equity Strategist David Kostin creates a list of stocks that hedge funds love the most. However, after the returns on some of these stocks, hedge funds may hate these stocks now.
As of September 30, these are the most widely held financial stocks (NYSEARCA:XLF) by hedge funds:
JP Morgan (NYSE:JPM): JPM provides global financial services and retail banking. The company also provides services such as investment banking, treasury and securities services, asset management, private banking, card member services, commercial banking, and home finance. JP Morgan Chase serves business enterprises, institutions, and individuals. Shares are down more than 31% year-to-date.
Visa (NYSE:V): Visa operates a retail electronic payments network and manages global financial services. The company also offers global commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses and government entities. At the end of the third quarter, Warren Buffett (NYSE:BRKA) disclosed a new 2.3 million share position in Visa. Shares have increased 32% year-to-date.
Wells Fargo (NYSE:WFC): Wells Fargo is a diversified financial services company providing banking, insurance, investments, mortgage, leasing, credit cards, and consumer finance. The company operates through physical stores, the Internet and other distribution channels across North America and elsewhere internationally. Shares have fallen 22% year-to-date.
Citigroup (NYSE:C): Citigroup is a diversified financial services holding company that provides a broad range of financial services to consumer and corporate customers around the world. The company’s services include investment banking, retail brokerage, corporate banking, and cash management products and services. Shares have plummeted nearly 50% year-to-date.
MasterCard Inc. (NYSE:MA): MasterCard is a global payment solutions company that provides a variety of services in support of the credit, debit and related payment programs of financial institutions. The company offers transaction processing services for credit and debit cards, electronic cash, automated teller machines, and travelers checks. Shares have jumped 60% year-to-date.