DEC 22, 2015 @ 01:14 PM
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Often some of the worst performing stocks in one year will become the best performing stocks the next year. But which beaten down stocks will become the winners, and which will continue to suck wind? That’s the million dollar question.
Better yet, perhaps it’s the billion dollar question.
Billionaires like to go where the biggest risks are, because that’s also where the biggest returns can be found. Picking the winners in beaten down, and left for dead, stocks have been a formula for amassing tremendous wealth for some of the world’s best billionaire investors.
Consider the General Growth Properties story. Billionaire Bill Ackman stepped into a spiraling stock, and took a huge stake in the company, buying shares for as little as 25 cents back in 2009. In two years, he turned his $60 million investment into $1.6 billion.
So, which of today’s losers do you buy with anticipation that they can turn into tomorrow’s winners? The answer is, the stocks owned by influential billionaire investors. When you follow the best billionaire investors, that have take big controlling stakes in company, you get the world’s most influential investors fighting everyday to maximize the returns in your stock portfolio.
With that being said here are the five billionaire-owned stocks that were among the biggest decliners in 2015:
SunEdison (SUNE) – SunEdison is down 66% in 2015 and billionaire value investor David Einhorn owns more than 5% of SUNE. BofA Merrill Lynch recently rated SunEdison a buy with a $12 price target or almost 100% return from its current share price.
Federal Mogul (FDML) – Federal Mogul is down 58% in 2015 and Carl Icahn owns 81% or almost $1 billion of FDML. The most recent analyst target price on Federal Mogul is $13 or almost a 100% return from its current share price.
Platform Specialty Products Corporation (PAH) – Platform Specialty is down 48% in 2015 and Bill Ackman owns almost 21% of PAH. The average analyst target price on Platform is $20 or a 63% return from its current share price.
Whiting Petroleum (WLL) – Whiting Petroleum is down 75% in 2015 and billionaire John Paulson owns almost 5% of WLL. The most recent analyst target price on Whiting is $24 or almost a triple from its current share price.
Chesapeake Energy (CHK) – Chesapeake is down 79% in 2015 and Carl Icahn owns almost 11% of CHK. The average analyst target price on Chesapeake is $9 or more than a 100% from its current share price.
The goal of the Forbes Billionaire’s Portfolio is simple: to provide retail investors with the same plain-vanilla stock investments that the world’s greatest billionaire investors and hedge funds own. And our subscribers can invest alongside these billionaires without the typical $5 million minimum investments and paying big hedge fund management and performance fees.