Jim Simons enjoys hiding in the shadows. He is not proud of his accomplishments and doesn’t flaunt his wealth. Yet, there are plenty reasons Simons is an inspiring figure. Simons is, in fact, the greatest investor alive today. He has made billions by using mathematical formulas as well as rigorous analysis and computer science. Bloomberg recently ranked him the world’s most successful hedge fund manager.
Alibaba Group Holding Ltd.
Alibaba Group Holding Ltd., a Chinese online e-commerce company, is the operator of the world’s largest small business shopping portal. Alibaba, founded by Jack Ma (an ex-English teacher), has been one of the most successful e-commerce companies worldwide. The company’s stock value has increased more than twice since its public offering in 2014. Alibaba Cloud Computing Services Platform; AliExpress Trusted Stores Program; as well as other businesses that are able to generate revenue via advertising, or other channels, has been the company’s greatest asset.
DexCom Inc.
DexCom Inc. is a medical equipment company that designs and markets continuous glucose monitoring devices to improve diabetes management. Its products are used by diabetes patients to ensure real-time glucose control.
Michael Morrison (now DexCom) was founded by Steven Pacelli in 1999. The two had previously worked at Coradine Medical Systems. DexCom launched the first commercial continuous glucose monitoring device, the Glucommander. This monitor displayed blood sugar levels using an external pager or computer interface. DexCom launched ComfortLink(r), its first implantable sensor that can be used with type 1 diabetics. ComfortLink(r), uses radio-telemetry to transmit data wirelessly from an implanted sensors to a receiver worn around one’s waist or arm.
Etsy Inc. (ETSY) – Get Report
ETSY is an online marketplace that sells vintage and handmade items. The company was started in 2005 as an online vintage shop. ETSY stands for “Everytime something is made, it’s sold.” Etsy is a marketplace where you can sell art, craft supplies, and clothing. They boast that over 40,000,000 buyers have used their site to purchase over $2 billion of goods.
You’re probably asking why I tell you about this online social media platform/online store/global market/social network/social community for artists? You’ll be happy to know that Jim Simons has 10 top stocks all purchased through ETSY.
Facebook Inc. (FB) – Get Report
Facebook is without a doubt one of the most popular social networking sites on the planet. It is the most popular social media platform with 1.5 billion users each day and accounts for a substantial portion of online time. Facebook is home to a vast array of investors and advertisers that use its services to promote products or find new customers.
While some investors may avoid stocks that heavily depend on advertising revenue (famous instances such as newspapers), Facebook has many compelling reasons to encourage investors to join the ranks.
Illumina Inc. (ILMN) – Get Report
Illumina is a major manufacturer of genetic analysis equipment and software. Its products are used by researchers and clinicians worldwide. The HiSeq sequencers enable whole-genome analysis at a rapid rate. The company has a strong balance-sheet and is a leader within its industry (Illumina’s market cap of approximately $22 Billion).
The company has been investing in R&D heavily to develop new products, as well as increase production at existing plants. Illumina plans to invest $500m over five years to expand its manufacturing capabilities by building a new San Diego facility. It will house 400 employees when it’s completed in 2021.
Illumina also announced plans earlier this summer for a second R&D building near its San Diego headquarters. It will house researchers working on personalized medicine solutions such as customized cancer treatments.
Incyte Corp. (INCY) – Get Report
Incyte Corporation (INCY), a biopharmaceutical corporation, is dedicated to developing and discovering innovative medicines for cancer treatment and other serious diseases. The company’s most important product candidates include:
- Jevtana (an anti-cancer drug to treat metastatic melanoma) was approved in February 2011 by the FDA.
- Kynamro (a long-acting inhibitor of thrombin in Phase 2b trials) is being used for anticoagulation therapy post major orthopedic surgery.
- Jakafi (ruxolitinib), a Janus kinase inhibitor, has orphan drug designations from both the U.S. Food and Drug Administration and European Medicines Agency. This is for patients with intermediate to high risk myelofibrosis; and
Incyte Corp. currently has Phase 1 testing of BVX770 for indolent Hodgkin Lymphoma (NHL).
LendingTree Inc.
Jim Simons has the reputation of being a billionaire. He is also a genius. Simons was also a former head of a hedge fund. This means that he is an expert in investing. As if this weren’t enough, the guy is a quant genius. This means that he can tell you exactly which stock will win in the long term.
Fool HQ might be biased. However, when Jim Simons wins big on companies like LendingTree Inc.(TREE), we are taken notice!
Seaboard Corp.
Seaboard Corp. processes, produces, and markets oileed products and grain. It is one among the largest agricultural companies in the United States, with operations throughout North America, South America, Europe. Seaboard Corp manages and owns feed mills, grain elevators, and processing facilities. It also provides transportation for crops supplied by farmers or other sources.
Square Inc. – Get Report
Square Inc., a financial technology firm that offers payment services, is called SQ. The company was created in 2009 and is located in San Francisco. Square has a market value of $39 billion, an P/E ratio (42), and Square expects to report earnings for the fiscal years ending December 31, 2020 of $2.19.
Vertex Pharmaceuticals Inc. (VRTX) – Get Report
Vertex Pharmaceuticals Inc. (VRTX), a global biotechnology firm, is dedicated to developing and commercializing innovative therapies for people suffering from serious and life-threatening conditions.
The company’s portfolio of approved medicines includes ORKAMBI(r) (lumacaftor/ivacaftor), KALYDECO(r) (ivacaftor), VERTISORB(tm) ALFA, SYMDECO(r) (adalimumab), VX-809, VX-561 and NUCYNTA ER(tm) (tapentadol extended release capsules). Vertex is a clinical development company that focuses on cystic fibrosis transmembrane regulator (CFTR), modulators. It also has multiple programs in later stage clinical trials.
These stocks could become the next big winners in you portfolio
- These stocks are being traded at a discount compared to their intrinsic value.
- These stocks trade at an exorbitant premium to their intrinsic values.
- Market dynamics of each stock will determine the price.
Conclusion
We believe the stock’s potential for continued growth is high due to the company’s exceptional earnings growth. Also, the price-earnings mix of 23 is slightly lower than that of the S&P 500 average at 24.68. We also recommend this stock as a buy since it is expected to outperform its peers in 2020.
