What Top Funds are Buying & Selling

The latest quarter’s 13F filings are out. We highlight how key large-cap stocks traded in the past quarter, then present the 7 most interesting potential rebound opportunities we found in the 13F filings.

At Rebound Capital, we use these filings to gauge the market’s positioning and track top investors to see which companies they're buying or selling. The aim is to understand both the bull and bear cases that lead these investors to bet on certain stocks.

As a naturally contrarian investor, 13Fs help me make sure that:

Both will lead to weak returns over time. Going through multiple 13F filings forces me to confront different perspectives on each stock I research.

There’s always something to learn.

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We currently follow ~50 investment funds, which is a healthy mix of value and growth investors. A few of the big names are:

and some of the lesser-known investors (who invest in small and mid-cap companies):

We are now digging into the names below and will publish full-length deep dives on the stocks that meet our QGV framework. If you would like us to prioritize one, leave a comment.

GPC has 2 main segments. The first is NAPA, a chain of ~6,000 car parts stores across North America used by mechanics. The second is Motion, which is a distributor that keeps factories running by supplying bearings, motors, and industrial parts. This is a special situation, and the company is splitting into 2 listed companies by early 2027.

Why is it down: the car parts business is struggling. Its profit margin has slipped from 8.7% to 8.0%, and independent NAPA stores (those not owned by the company) are growing their orders by 1%-2%, while GPC-owned stores grow at 4%-5%. GPC wants to separate the better-performing Motion business from the car parts business to unlock value.

Fund Ownership: Baupost doubled its stake in GPC to ~6% of its portfolio.

Our Take: This looks interesting. Motion accounts for only 37% of revenue but may represent ~66% of the company, by our estimate. Demerging the company is the right move. A competitor (O’Reilly) had reportedly offered $10B for just the car parts business, while the whole company’s enterprise value is ~$24B. Seth Klarman doubling his stake ahead of the demerger is good enough for us to research this further.

We will be upfront that this isn’t our usual type of stock. It was ~$71 a year ago and touched $355 in July, so this is an AI play rather than a rebound. But Ratan Capital (a fund we respect a lot) made it their largest position, so we are studying this.

The company designs the controller chip inside SSDs. Think of it as the brain of a storage drive. It decides where your data gets written, in laptops, phones, and now AI data centers. The nice part of the business is that once a customer designs your chip into their drive, replacing it means re-testing the entire product for 12-18 months.

We are not sure if this business has pricing power. We will dig into this name and try to understand why Ratan’s fund manager has bought such a large stake. We respect her stock-picking skills and her journey.

Why is it down: the stock has fallen ~30% from its July high. Some of it is plain profit booking after the huge run. Then in August, the company announced a large convertible note raise (~$800M to $920M) and the market got worried about dilution. The new AI storage business is eating up cash in inventory, which is why they need the money.

Fund Ownership: Ratan Capital’s largest position.

Our Take: The likely thesis is that AI demand will keep NAND prices high for years, and SIMO captures that upside without owning factories, with design wins locked in. We will check if SIMO will be hurt when memory prices fall. This is our current understanding. If SIMO’s product revenue falls in tandem with memory prices, but to a lesser extent, this may be an interesting play.