In This Article:
Does Formula One Group (NASDAQ:FWONK) represent a good buying opportunity at the moment? Let’s quickly check the hedge fund interest towards the company. Hedge fund firms constantly search out bright intellectuals and highly-experienced employees and throw away millions of dollars on satellite photos and other research activities, so it is no wonder why they tend to generate millions in profits each year. It is also true that some hedge fund players fail inconceivably on some occasions, but net net their stock picks have been generating superior risk-adjusted returns on average over the years.
Hedge fund interest in Formula One Group (NASDAQ:FWONK) shares was flat at the end of last quarter. This is usually a negative indicator. At the end of this article we will also compare FWONK to other stocks including Interpublic Group of Companies Inc (NYSE:IPG), Farfetch Limited (NYSE:FTCH), and The Western Union Company (NYSE:WU) to get a better sense of its popularity.
Why do we pay any attention at all to hedge fund sentiment? Our research has shown that hedge funds' large-cap stock picks indeed failed to beat the market between 1999 and 2016. However, we were able to identify in advance a select group of hedge fund holdings that outperformed the market by 40 percentage points since May 2014 through May 30, 2019 (see the details here). We were also able to identify in advance a select group of hedge fund holdings that'll significantly underperform the market. We have been tracking and sharing the list of these stocks since February 2017 and they lost 30.9% through May 30, 2019. That's why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to.
We're going to take a glance at the key hedge fund action regarding Formula One Group (NASDAQ:FWONK).
What have hedge funds been doing with Formula One Group (NASDAQ:FWONK)?
Heading into the second quarter of 2019, a total of 35 of the hedge funds tracked by Insider Monkey were long this stock, a change of 0% from one quarter earlier. Below, you can check out the change in hedge fund sentiment towards FWONK over the last 15 quarters. So, let's see which hedge funds were among the top holders of the stock and which hedge funds were making big moves.
The largest stake in Formula One Group (NASDAQ:FWONK) was held by Viking Global, which reported holding $409 million worth of stock at the end of March. It was followed by Eminence Capital with a $328.1 million position. Other investors bullish on the company included Ashe Capital, OZ Management, and Southeastern Asset Management.