In this article, we discuss the 5 best Robinhood stocks to buy according to hedge funds. If you want to read our detailed analysis of these stocks, go directly to the 11 Best Robinhood Stocks To Buy According To Hedge Funds.
5. Ford Motor Company (NYSE:F)
Number of Hedge Fund Holders: 55
As Ford Motor Company (NYSE:F) invests heavily in electric vehicles to compensate for market losses to EV firms, hedge funds have been forced to acknowledge the progress the firm has made in the space in the past few years. The company recently debuted the F-150 all electric truck, a premier product that combines the convenience of electric power with the reliability that Ford trucks have historically offered to consumers over the past decades. The company has many new EV models in the pipeline and recently reported a 34% month-on-month increase in sales in September, with EV sales up by more than 91% during the period.
Ford Motor Company (NYSE:F) has also announced that it will be building four new factories in the US and hiring more than 11,000 workers. Three of the new plans will be geared solely towards the production of electric vehicles. The company is placed fifth on our list of 11 best Robinhood stocks to buy according to hedge funds.
At the end of the second quarter of 2021, 55 hedge funds in the database of Insider Monkey held stakes worth $2.10 billion in Ford Motor Company (NYSE:F), up from 49 in the preceding quarter worth $2.19 billion.
In its Q1 2020 investor letter, Greenlight Capital Fund, an asset management firm, highlighted a few stocks and Ford Motor Company (NYSE:F) was one of them. Here is what the fund said:
“General Motors (GM) was a disappointment. The damage from last year’s strike consumed most of the cash flow GM would have otherwise generated in 2019. We had expected a strong bounce back in earnings and cash flow in 2020, but the annual guidance, while meeting Wall Street expectations, was worse than we expected. Further, the cash burned during the strike needed to be re-earned in order to protect GM’s investment grade rating. Pre-crisis, there would have been, at best, a minimal share repurchase late in the year. At the analyst day, our hopes that 2020 would finally be the year were dashed. We sold our stock. Over our five-year holding period, we made a 9.6% IRR on GM. In the difficult environment, its most comparable peer, Ford, lost about half its value.”
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