Published on 29 Nov 2021 on Insider Monkey via Yahoo Finance

Is Sinopec Shanghai Petrochemical Company Limited (SHI) Going to Burn These Hedge Funds?

Many prominent investors, including Warren Buffett, David Tepper and Stan Druckenmiller, have been cautious regarding the current bull market and missed out as the stock market reached another high in recent weeks. On the other hand, technology hedge funds weren't timid and registered double digit market beating gains. Financials, energy and industrial stocks initially suffered the most but many of these stocks delivered strong returns since November and hedge funds actually increased their positions in these stocks. In this article we will find out how hedge fund sentiment towards Sinopec Shanghai Petrochemical Company Limited (NYSE:SHI) changed recently.

Sinopec Shanghai Petrochemical Company Limited (NYSE:SHI) has seen a decrease in hedge fund interest of late. Sinopec Shanghai Petrochemical Company Limited (NYSE:SHI) was in 4 hedge funds' portfolios at the end of March. The all time high for this statistic is 6. Our calculations also showed that SHI isn't among the 30 most popular stocks among hedge funds (click for Q1 rankings).

Hedge funds' reputation as shrewd investors has been tarnished in the last decade as their hedged returns couldn't keep up with the unhedged returns of the market indices. Hedge funds have more than $3.5 trillion in assets under management, so you can't expect their entire portfolios to beat the market by large margins. Our research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 115 percentage points since March 2017 (see the details here). So you can still find a lot of gems by following hedge funds' moves today.