Billionaire Ray Dalio’s Thoughts on Bitcoin and 10 New Stocks in Portfolio

In this article, we discuss the 10 new stocks in the portfolio of billionaire Ray Dalio. If you want to skip our detailed analysis of these stocks, go directly to Billionaire Ray Dalio’s 5 New Stock Picks.

Billionaire Ray Dalio has been one of the most successful hedge fund managers in modern history with net gains of more than $46 billion since he founded Bridgewater Associates in 1973. The Connecticut-based fund, per latest data, manages over $15 billion in assets with holdings concentrated in the healthcare, consumer goods, and technology sectors. The top ten holdings of the fund comprise 33% of the portfolio. Between March and June this year, the value of the portfolio has jumped more than $4 billion, 13F filings reveal. 

Over the years, the success story of the billionaire has turned him into a legend on Wall Street. Dalio started his hedge fund from his two-bedroom apartment in New York City and has moved to turn the fund into a partnership in order to give employees a stake in it. Dalio has also donated over $800 million to causes like microfinance and inner-city schooling. The Harvard-educated investor, who comes from a humble background, started dabbling into stocks from the age of twelve. 

Dalio had a torrid 2020, losing over $12 billion for investors after failing to position the fund for the COVID-19 lockdown and the subsequent recovery at the end of the year. However, he has slowly recovered over the past few months. Some of the top stocks in the investment portfolio of Bridgewater Associates at the end of the second quarter of 2021 were Walmart Inc. (NYSE:WMT), The Coca-Cola Company (NYSE:KO), and The Procter & Gamble Company (NYSE:PG), among others. 

Dalio made new purchases in 329 stocks, bought additional stakes in 255 equities, sold out of 80 stocks, and reduced holdings in 116 firms during the second quarter this year.

Ray Dalio’s Thoughts on Bitcoin

Dalio admitted in a recent interview on news platform CNBC that he also owned “some” Bitcoin, the most popular cryptocurrency that has quadrupled in value over the past twelve months. Giving his take on the digital currency that has sparked widespread debate in the finance world, Dalio said he believed that regulators would take control of Bitcoin if it gained mainstream success.

However, the billionaire was quick to clarify that regulation would kill Bitcoin. He noted that the digital currency was a good alternative to cash, appreciating the strides the coin had made at the market in a short space of time. Dalio further claimed that the coin lacked intrinsic value, meaning it did not have fundamental and objective worth. He said there were many examples in history that could serve as a guide for the situation that could go either way. Dalio has a personal net worth of close to $20 billion, according to news publication Forbes.

Billionaire Ray Dalio’s Thoughts on Bitcoin and 10 New Stocks in Portfolio

Our Methodology

With this context in mind, here is our list of the 10 new stocks in the portfolio of billionaire Ray Dalio. These were picked from the investment portfolio of Bridgewater Associates at the end of the second quarter of 2021. Only new additions to the portfolio in the second quarter, as compared to the filing for the first quarter, were selected. 

The list was compiled according to the number of hedge funds having stakes in each stock. The analyst ratings of each company are also discussed to provide readers with some more context about their investment decisions. The hedge fund sentiment around each stock was gauged using the data of 873 hedge funds tracked by Insider Monkey.   

Why pay attention to hedge fund holdings? Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 86 percentage points since March 2017. Between March 2017 and July 2021 our monthly newsletter’s stock picks returned 186.1%, vs. 100.1% for the SPY. Our stock picks outperformed the market by 86 percentage points (see the details here). That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.

Billionaire Ray Dalio’s Thoughts on Bitcoin and New Stocks in Portfolio

10. Atrion Corporation (NASDAQ:ATRI)

Number of Hedge Fund Holders: 12

Atrion Corporation (NASDAQ:ATRI) is placed tenth on our list of 10 new stocks in the portfolio of billionaire Ray Dalio. The company makes and sells different kinds of health-related products and is headquartered in Texas. According to the latest securities filings, Bridgewater Associates owned 1,901 shares in the firm at the end of the second quarter of 2021 worth $1.1 million. 

On August 30, Atrion Corporation (NASDAQ:ATRI) declared a quarterly dividend of $1.95 per share, an increase of 11% from the previous dividend of $1.75. The forward yield was 1.09% and the dividend is payable to shareholders at the end of September. 

At the end of the second quarter of 2021, 12 hedge funds in the database of Insider Monkey held stakes worth $52 million in Atrion Corporation (NASDAQ:ATRI), up from 8 in the previous quarter worth $50 million.

Just like Walmart Inc. (NYSE:WMT), The Coca-Cola Company (NYSE:KO), and The Procter & Gamble Company (NYSE:PG), Atrion Corporation (NASDAQ:ATRI) is one of the top stocks in the investment portfolio of Bridgewater Associates. 

9. Smith & Nephew plc (NYSE:SNN)

Number of Hedge Fund Holders: 13  

Smith & Nephew plc (NYSE:SNN) is ranked ninth on our list of 10 new stocks in the portfolio of billionaire Ray Dalio. The company makes and sells medical devices globally. It is headquartered in the United Kingdom. According to the latest filings, Bridgewater Associates owned 48,087 shares in the company at the end of June 2021 worth $2 million. 

On August 2, investment advisory JPMorgan maintained a Neutral rating on Smith & Nephew plc (NYSE:SNN) stock and raised the price target to GBP1,579 from GBP1,542. David Adlington, an analyst at the firm, issued the ratings update. 

At the end of the second quarter of 2021, 13 hedge funds in the database of Insider Monkey held stakes worth $119 million in Smith & Nephew plc (NYSE:SNN), up from 11 in the preceding quarter worth $42 million. 

8. Atmos Energy Corporation (NYSE:ATO)

Number of Hedge Fund Holders: 18

Atmos Energy Corporation (NYSE:ATO) is a Texas-based company that engages in regulated natural gas distribution, and pipeline and storage. It is placed eighth on our list of 10 new stocks in the portfolio of billionaire Ray Dalio. 13F filings reveal that Bridgewater Associates owned 10,317 shares in the company at the end of the second quarter of 2021 worth $992,000. 

On August 17, investment advisory Mizuho maintained a Buy rating on Atmos Energy Corporation (NYSE:ATO) stock and raised the price target to $110 from $109, underlining that the firm was back to basics and there were potential growth catalysts for the firm on the horizon.

Out of the hedge funds being tracked by Insider Monkey, Connecticut-based investment firm AQR Capital Management is a leading shareholder in Atmos Energy Corporation (NYSE:ATO) with 204,299 shares worth more than $19 million. 

In addition to Walmart Inc. (NYSE:WMT), The Coca-Cola Company (NYSE:KO), and The Procter & Gamble Company (NYSE:PG), Atmos Energy Corporation (NYSE:ATO) is one of the premier stocks in the investment portfolio of Bridgewater Associates. 

7. AtriCure, Inc. (NASDAQ:ATRC)

Number of Hedge Fund Holders: 21  

AtriCure, Inc. (NASDAQ:ATRC) is an Ohio-based firm that makes and sells devices for the surgical ablation of cardiac tissue and systems. It is ranked seventh on our list of 10 new stocks in the portfolio of billionaire Ray Dalio. Latest data shows that Bridgewater Associates owned 43,424 shares in the company at the end of June 2021 worth $3.4 million. 

On September 16, investment advisory JPMorgan reiterated an Overweight rating on AtriCure, Inc. (NASDAQ:ATRC) stock with a price target of $96, noting that investors should buy the stock as the firm had an “exciting” year ahead.

Out of the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in AtriCure, Inc. (NASDAQ:ATRC) with 828,817 shares worth more than $65 million. 

Walmart Inc. (NYSE:WMT), The Coca-Cola Company (NYSE:KO), and The Procter & Gamble Company (NYSE:PG) are some of the stocks that Ray Dalio is buying, alongside AtriCure, Inc. (NASDAQ:ATRC).

6. Southern Copper Corporation (NYSE:SCCO)

Number of Hedge Fund Holders: 23

Southern Copper Corporation (NYSE:SCCO) is placed sixth on our list of 10 new stocks in the portfolio of billionaire Ray Dalio. The company has interests in the mining business and is headquartered in Arizona. According to the latest filings, Bridgewater Associates owned 233,702 shares in the company at the end of June 2021 worth $15 million. 

On July 8, investment advisory Barclays upgraded Southern Copper Corporation (NYSE:SCCO) stock to Equal Weight from Underweight but lowered the price target to $55 from $57, noting that the minor margins for the industry were now at record highs. 

Out of the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in Southern Copper Corporation (NYSE:SCCO) with 3.8 million shares worth more than $245 million. 

Walmart Inc. (NYSE:WMT), The Coca-Cola Company (NYSE:KO), and The Procter & Gamble Company (NYSE:PG) are some of the stocks that Ray Dalio favors, in addition to Southern Copper Corporation (NYSE:SCCO).

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Disclosure. None. Billionaire Ray Dalio’s Thoughts on Bitcoin and 10 New Stocks in Portfolio is originally published on Insider Monkey.


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