These 11 stocks were the most popular with the world’s biggest investors last quarter

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Reuters/Lucas Jackson

  • RBC Capital Markets put together a list of the stocks most frequently added by large-cap fund managers during the second quarter.
  • RBC defines these stocks as “rising suns,” and the firm said they often outperform the market in the quarters after they make the list.
  • Almost half of the stocks on the second-quarter list are in the technology, media, internet, or telecommunications sectors.
  • Here are the 11 stocks most loved by large -ap fund managers in the second quarter.
  • Visit the Markets Insider homepage for more stories.

When a large number of fund managers start buying a particular stock, it’s usually a good sign.

RBC Capital Markets amassed a list of stocks that saw the most positions added by large-cap fund managers during the second quarter.

The firm defines these companies as “rising suns,” and says the stocks usually outperform the broader market in the quarter after they make the list.

“The rising suns tend to see choppy performance trends being bought, lagging initially then eventually showing leadership again down the road,” RBC said in the report.

Chipmakers dominated the list during the first quarter of 2019. Throughout the second quarter, technology, media, internet, and telecommunications companies accounted for close to half the stocks on the list.

Here are the 11 stocks that large-cap managers piled into during the second quarter, ranked in increasing order of how many new funds bought them:


11. Lockheed Martin

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Isaac Brekken/Getty Images

Ticker: LMT

Industry: Aerospace & Defense

YTD return: 47.6%

% of shares owned by large cap funds: 19%

Number of funds that added the stock in Q2: 13

Source: RBC Capital Markets


10. Costar Group

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Markets Insider

Ticker: CSGP

Industry: Professional Services

YTD return: 81.1%

% of shares owned by large cap funds: 7%

Number of funds that added the stock in Q2: 13

Source: RBC Capital Markets


9. Sinclair Broadcasting

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Twitter

Ticker: SBGI

Industry: Media

YTD return: 64.4%

% of shares owned by large cap funds: 3%

Number of funds that added the stock in Q2: 14

Source: RBC Capital Markets


8. Progressive

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Progressive

Ticker: PGR

Industry: Insurance

YTD return: 25.6%

% of shares owned by large cap funds: 19%

Number of funds that added the stock in Q2: 16

Source: RBC Capital Markets


7. Autozone

Ticker: AZO

Industry: Specialty Retail

YTD return: 31.6%

% of shares owned by large cap funds: 12%

Number of funds that added the stock in Q2: 16

Source: RBC Capital Markets


6. ServiceNow

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ServiceNow

Ticker: NOW

Industry: Software

YTD return: 49.1%

% of shares owned by large cap funds: 16%

Number of funds that added the stock in Q2: 17

Source: RBC Capital Markets


5. Disney

source
Marvel Studios

Ticker: DIS

Industry: Entertainment

YTD return: 24.7%

% of shares owned by large cap funds: 39%

Number of funds that added the stock in Q2: 20

Source: RBC Capital Markets


4. Comcast

Ticker: CMCSA

Industry: Media

YTD return: 31%

% of shares owned by large cap funds: 44%

Number of funds that added the stock in Q2: 20

Source: RBC Capital Markets


3. Cummins

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Brightline

Ticker: CMI

Industry: Machinery

YTD return: 10.5%

% of shares owned by large cap funds: 13%

Number of funds that added the stock in Q2: 22

Source: RBC Capital Markets


2. Qualcomm

source
Reuters

Ticker: QCOM

Industry: Semiconductors

YTD return: 33.1%

% of shares owned by large cap funds: 26%

Number of funds that added the stock in Q2: 29

Source: RBC Capital Markets


1. AbbVie

source
Reuters

Ticker: ABBV

Industry: Biotechnology

YTD return: -29.9%

% of shares owned by large cap funds: 24%

Number of funds that added the stock in Q2: 29

Source: RBC Capital Markets