BofA Securities’ Active Managers’ Holdings Update report, published on Wednesday, has revealed the most overweight stocks by hedge funds across the S&P 500.

BofA aggregated the long positions reported through the 13F filings and estimated the short positions based on exchange-reported data to determine hedge fund managers’ positioning in the S&P 500 stocks.

As of December 2023, here are the top 20 stocks with the highest net exposure by hedge funds, relative to the stocks’ weight in the S&P 500 (SP500):

• Incyte (INCY) – hedge fund net relative weight: 38.16
• Bath & Body Works, Inc. (BBWI) – hedge fund net relative weight: 28.77
• TransDigm (TDG) – hedge fund net relative weight: 14.45
• Lamb Weston Holdings, Inc. (LW) – hedge fund net relative weight: 12.78
• Everest Group (EG) – hedge fund net relative weight: 12.51
• Caesars Entertainment Inc. (CZR) – hedge fund net relative weight: 12.41
• Universal Health Services, Inc. (UHS) – hedge fund net relative weight: 11.58
• Invesco Ltd. (IVZ) – hedge fund net relative weight: 11.47
• Hilton Worldwide Holdings Inc. (HLT) – hedge fund net relative weight: 9.47
• PTC Inc. (PTC) – hedge fund net relative weight: 9.46
• Targa Resources Corp. (TRGP) – hedge fund net relative weight: 9.19
• Dollar Tree, Inc. (DLTR) – hedge fund net relative weight: 9.06
• Kenvue, Inc. (KVUE) – hedge fund net relative weight: 8.75
• Western Digital (WDC) – hedge fund net relative weight: 8.62
• Qorvo, Inc. (QRVO) – hedge fund net relative weight: 8.62
• Nasdaq, Inc. (NDAQ) – hedge fund net relative weight: 7.94
• NiSource Inc. (NI) – hedge fund net relative weight: 7.93
• VeriSign, Inc. (VRSN) – hedge fund net relative weight: 7.92
• International Flavors & Fragrances Inc. (IFF) – hedge fund net relative weight: 7.84
• Gen Digital Inc. (GEN) – hedge fund net relative weight: 7.78