U.S. Markets open in 5 hrs 2 mins
  • S&P Futures

    4,062.25
    -13.25 (-0.33%)
     
  • Dow Futures

    33,982.00
    -41.00 (-0.12%)
     
  • Nasdaq Futures

    12,034.75
    -72.00 (-0.59%)
     
  • Russell 2000 Futures

    1,905.80
    -4.70 (-0.25%)
     
  • Crude Oil

    81.94
    +0.93 (+1.15%)
     
  • Gold

    1,926.00
    -4.00 (-0.21%)
     
  • Silver

    23.82
    -0.20 (-0.85%)
     
  • EUR/USD

    1.0891
    -0.0001 (-0.0109%)
     
  • 10-Yr Bond

    3.4930
    0.0000 (0.00%)
     
  • Vix

    18.89
    -0.19 (-1.00%)
     
  • GBP/USD

    1.2378
    -0.0029 (-0.2315%)
     
  • USD/JPY

    129.8200
    -0.3330 (-0.2558%)
     
  • BTC-USD

    22,967.33
    -29.74 (-0.13%)
     
  • CMC Crypto 200

    520.56
    -6.63 (-1.26%)
     
  • FTSE 100

    7,769.22
    +8.11 (+0.10%)
     
  • Nikkei 225

    27,382.56
    +19.81 (+0.07%)
     

Here’s Why White Brook Capital Sold its First Solar Inc. (FSLR) and Itron Inc. (ITRI) Positions

White Brook Capital, an investment management firm, published its first quarter 2021 investor letter – a copy of which can be downloaded here. A return of 25.42% was delivered by the fund for the Q1 of 2021, ahead of its S&P 500 and S&P Midcap 400 benchmarks that delivered a 6.2% and 13.47% returns respectively for the same period. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.

White Brook Capital, in their Q1 2021 investor letter, mentioned First Solar, Inc. (NASDAQ: FSLR) and Itron, Inc. (NASDAQ: ITRI). First Solar, Inc. is a Tempe, Arizona-based solar company that currently has a $9.4 billion market capitalization, while Itron, Inc. is a Liberty Lake, Washington-based technology company that currently has a $4.1 billion market capitalization. Since the beginning of the year, FSLR delivered a -10.32% return, while its 12-month gains are up by 94.77%. On the other hand, ITRI delivered a -1.99% year-to-date return, while its 12 month gains are up by 24.70%. As of April 27, 2021, FSLR closed at $89.69, and ITRI ended the day at $93.40 per share.

Here is what White Brook Capital has to say about First Solar, Inc. and Itron, Inc. in their Q1 2021 investor letter:

"First Solar (FSLR) and Itron (ITRI), both of which I’ve written about in past In Focus sections were long-term positions that were sold as their prices exceeded price targets. Both are solid companies that remain on my watchlist, but the opportunity cost of not investing in other potential investments exceeded their potential mid-term returns."

Our calculations show that First Solar, Inc. (NASDAQ: FSLR) and Itron, Inc. (NASDAQ: ITRI) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, First Solar, Inc. was in 34 hedge fund portfolios, compared to 40 funds in the third quarter. Meanwhile, Itron, Inc. was in 6 hedge fund portfolios, versus the 15 funds in the third quarter. FSLR and ITRI delivered a -13.71% and 5.16% returns respectively in the past 3 months.

The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.

At Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, Federal Reserve has been creating trillions of dollars electronically to keep the interest rates near zero. We believe this will lead to inflation and boost real estate prices. So, we recommended this real estate stock to our monthly premium newsletter subscribers. We go through lists like the 15 best innovative stocks to buy to pick the next Tesla that will deliver a 10x return. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free daily newsletter on our website:

Disclosure: None. This article is originally published at Insider Monkey.