Published on 10 Nov 2021 on Insider Monkey via Yahoo Finance

Was The Smart Money Right About KAR Auction Services Inc (KAR)?

The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. We at Insider Monkey have plowed through 873 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F filings show the funds' and investors' portfolio positions as of June 30th. In this article we look at what those investors think of KAR Auction Services Inc (NYSE:KAR).

KAR Auction Services Inc (NYSE:KAR) investors should pay attention to an increase in support from the world's most elite money managers in recent months. KAR Auction Services Inc (NYSE:KAR) was in 23 hedge funds' portfolios at the end of the second quarter of 2021. The all time high for this statistic is 44. There were 22 hedge funds in our database with KAR positions at the end of the first quarter. Our calculations also showed that KAR isn't among the 30 most popular stocks among hedge funds (click for Q2 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 79 percentage points since March 2017 (see the details here). So you can still find a lot of gems by following hedge funds' moves today.