More From Samantha Nielson
Why oversupply could affect Micron’s NAND flash products
NAND Flash sales were up 35% for the first six months of 2014, as volumes increased amid a 17% fall in average selling prices or ASPs.
Valuing Carter’s performance versus other apparel companies
Key trends could benefit Cartier and its peers. But weak consumer demand and intense competition—especially from online retailers—remain headwinds.
Why margin improvement is a priority for Interpublic
The company said its “financial goals include competitive organic revenue growth and operating margin expansion, which we expect will further strengthen our balance sheet and total liquidity and increase value to our shareholders.”
CalPERS raises position in Staples
Staples began discussions to acquire Office Depot in September 2014. Staples will acquire all outstanding Office Depot shares in the $6.3 billion deal.
Tiger Global Management starts positions in YHOO, LINTA, SODA, TRIP and sells SBGI, QCOM—13F Flash E
In this six-part series, we’ll go through some of the main positions Tiger Global Management traded this past quarter. Why sell Sinclair Broadcast Group (SBGI)?
Steven Cohen’s Point72 Asset Management ups its stake in Yahoo
Steven Cohen’s Point72 Asset Management upped its position in Yahoo! Inc. (YHOO) last quarter that now accounts for 2.18% of the fund’s total 1Q portfolio.
Why Omega Advisors establishes position in Time Warner Cable
Comcast (CMCSA) agreed to buy TWC in February for ~$45.2 billion in a deal that would create the largest cable provider in the U.S., with more than 33 million subscribers.
Why is “Internet of Everything” a future growth driver for Cisco?
Cisco CEO John Chambers believes the Internet of Everything (IoE) might be a $19 trillion opportunity. Cities globally have the potential to claim $1.9 trillion in value from IoE over the next decade, Cisco’s study stated.
Must-know: Why Maverick adds new position in Ashland
Ashland has seen pressure from activist investor JANA Partners, which acquired a stake in the chemical maker in April, 2013, to boost shareholder value.
Must-know business overview: Hewlett-Packard in revival mode
Hewlett-Packard (HPQ), headquartered in Palo Alto, California, is one of the world’s largest information technology companies and a leading provider products, technologies, software, solutions and services. HP has seen its shares bounce back from their late-2012 lows, and the company beat street estimates in its latest quarterly results. For the first quarter of fiscal 2014, […]
Renaissance Technologies sells its Amazon shares in 4Q13
Renaissance Technologies eliminated a position in online retailer Amazon.com Inc. (AMZN) that accounted for 0.34% of the fund’s 3Q portfolio.
Glenview Capital opens new position in Danaher
Glenview Capital Management added a new position in Danaher Corp. (DHR) in the third quarter. The position accounted for 1.99% of the fund’s total portfolio.
Why Third Point believes Apple Pay is not a threat to PayPal
Third Point added, “when we break down the applicability of Apple Pay to PayPal’s business mix, we find that Apply Pay will compete directly with only 1.5 to 2% of PayPal’s total payment volume (or TPV).”
Why AQR Capital Management chose to open a position in Vodafone
AQR Capital started a new position in Vodafone Group plc that accounts for 0.44% of the fund’s 4Q portfolio.
Citadel Advisors raises stake in JAKKS Pacific
Due to the enthusiastic response to its products from retailers, licensors, and consumers, JAKKS increased net sales guidance for the full year 2014.
Must-know: Why did Omega Advisors exit its Wells Fargo position?
Omega Advisors Inc. is a New York–based investment advisory firm founded in 1991 by Leon G. Cooperman. Omega sold a 1.05% position in Wells Fargo.
Why Lone Pine bought a new position in Endo Health Solutions
Endo Health Solutions is a 1.26% position initiated by Lone Pine Capital in the 2013 last quarter.
John Paulson’s Paulson & Co. buys a new position in CBS in 1Q14
Paulson initiated a new position in CBS Corp. (CBS) last quarter. The position accounts for 1.35% of Paulson’s $20 billion 1Q 2014 portfolio.
Eton Park Capital opens new positions in FDO, STZ, BID, EQIX, Sells NLSN, PCLN – 13F Flash
In this six-part series, we will go through some of the main positions Eton Park Capital traded this past quarter Eton Park Capital Management is a multi-strategy hedge fund founded in November 2004 by former Goldman Sachs partner Eric Mindich. The firm started new positions in Family Dollar Stores (FDO) , Constellation Brands (STZ), […]
Seth Klarman’s Baupost Group sells its stake in British Petroleum
The Baupost Group pared almost half of its stake in British Petroleum (BP), which accounted for 7.80% of the fund’s total portfolio in 4Q 2013.
Why Family Dollar’s profits tumbled 33% in the third quarter
Comparable store sales for the 13-week period decreased 1.8% as a result of fewer customer transactions—sales in the 3Q14 were strongest in the Consumables category, driven primarily by strong growth in refrigerated or frozen food and tobacco.
Appaloosa Management raises its stake in American Airlines Group
Appaloosa Management enhanced its position in American Airlines Group Inc. (AAL) last quarter that now accounts for 3.48% of Appaloosa’s total 1Q portfolio.
Initiatives in eBay Marketplaces have been slow growth drivers
The majority of eBay’s Marketplaces revenue comes from a take rate on the gross merchandise volume (GMV), defined as the total sales for active listings or of all the items.
Must-know: Apple’s valuation versus Google and Microsoft
Apple’s stock is trading at a forward P/E of 12.5x, which is lower than its main peers, Google (GOOG) and Microsoft (MSFT).
Pandora Media hikes subscription rates because of increasing costs
The Pandora One service has 3.3 million subscribers and includes advertisement-free access, better audio quality, and reduced timeouts, and offers listeners with additional skips.
JANA sells stake in Equinix
JANA Partners sold a significant stake in Equinix (EQIX) during the fourth quarter. The position accounted for 3.38% of the fund’s third-quarter portfolio.
Paulson & Co. eliminates position in Freeport-McMoRan
Freeport-McMoRan is the world’s largest publicly traded copper producer. It posted revenue of $5.7 billion, down 7.6%, saying, results “reflect lower oil volumes and price realizations for copper, gold and oil.”
Chilton Investment Company buys stake in TransDigm in 4Q13
Chilton started a new position in aerospace engineering company TransDigm Group Inc. (TDG) that accounts for 0.76% of the fund’s fourth quarter portfolio.
Why Chilton starts new position in Wyndham Worldwide
Approximately 63% of Wyndham’s revenues come from fees for providing services referred to as its “fee-for-service” businesses.
Paulson & Co. ups position in Covidien
The Ireland-based Covidien is engaged in the development, manufacture, and sale of healthcare products for use in clinical and home settings. Its fourth-quarter net sales increased 7% to $2.73 billion.
Gannett plans to split off into two publicly traded companies
In August last year, Gannett Company (GCI) announced that it plans to create two publicly traded companies. It expects to split off its publishing business by the middle of this year.
Why did JANA Partners boost its position in General Motors?
JANA Partners enhanced its position in from 0.17% to 4.23% last quarter General Motors.
Chimera posts growth in third quarter profit and interest income
Chimera’s core earnings grew to $116 million compared to $93 million in the year-ago period. Growth was mainly due to an increase in net interest income.
Did Dan Loeb’s Third Point buy T-Mobile stake ahead of a merger?
Third Point said in its 4Q investor letter that it had an opportunity to establish a position in T-Mobile (TMUS) in November when the company conducted a secondary offering at $25.
Why Pershing Square initiated a position in Platform Specialty Products
Pershing Square disclosed a new position in Platform Specialty Products (PAH) that accounts for 7.58% of Pershing Square’s 1Q14 portfolio.
Elliott hedge fund opens new positions in RVBD, ADSK, NWS, NVDA, Sold DLPH, NTAP – 13F Flash (D)
In this six-part series, we will go through each one of the positions Elliott traded this past quarter. Elliott Management is a New York based $20 billion+ event driven and distressed hedge fund run by the legendary Paul Singer. The fund is secretive in its approach, but sources attribute a 15% annual net return to […]
ARCP’s Cole Capital acquisition ended due to accounting issue
In November, RCS Capital terminated a $700 million deal to acquire Cole Capital from ARCP.
Point72 Asset Management starts a new position in Estée Lauder
Steven Cohen’s Point72 Asset Management, which was earlier known as SAC Capital, added a position in Estée Lauder Companies (EL) in 1Q 2014.
ValueAct Capital increases its position in Allison Transmission
ValueAct Capital upped its stake in Allison Transmission from 4,625,204 shares to 18,025,204 shares, last quarter.
Soaring high: Appaloosa initiates a position in American Airlines
Appaloosa Management’s top new buy last quarter was American Airlines Group (AAL), with a 2.22% position in the hedge fund’s U.S. long portfolio.
Adage Capital adds a new position in Mallinckrodt
Adage Capital added a new position in Mallinckrodt Plc (MNK) in the third quarter of 2014. The position accounted for 0.82% of the fund’s total portfolio.
Why Nordic posts earnings increase, declares dividend
NAO’s initial fleet is providing services for Apache Corporation’s (APA) Apache North Sea Limited, BG International Limited (BRGYY), and Statoil Petroleum AS, a subsidiary of Statoil ASA (STO).
An assessment: Viacom versus its media peers
Viacom, despite being undervalued by analysts, is expected to see growth from its media networks segment especially with its digital partnership deals.
Lee Cooperman’s Omega Advisors opens a new position in T-Mobile
Cooperman seems to be following the trend of other other hedge funds such as Third Point and Paulson to capitalize on consolidation in the telecom space.
Must-know 3Q updates from Dan Loeb’s Third Point Partners
In this series Activist investor Dan Loeb’s fund, Third Point Partners LP, disclosed some of the positions traded during 3Q14 in its 3Q investor letter. In this series, we’ll go through the details of these positions and Third Point’s rationale for adding or exiting its stakes. In its 3Q letter, the fund said it “continued […]
Third Point Partners ups stake in Amgen
The fund noted in its letter that “Amgen has all the hallmarks of a hidden value situation, which is one of the fund’s favorite investment themes.”
Must-know: D.E. Shaw trims position in Apple
D.E. Shaw decreased its position in Apple Inc. (AAPL) that accounted for 5.76% of the company’s U.S. long portfolio in 4Q13.
Why Greenlight started a new position in Lam Research Corporation
Greenlight disclosed a new position in Lam Research Corporation, which accounts for 1.01% of the fund’s 1Q 2014 portfolio.
Jeffrey Ubben’s ValueAct Capital buys a new stake in Symantec
ValueAct Capital initiated a new position in Symantec Corp. (SYMC) that accounts for 1.14% of the fund’s first quarter portfolio.
Why D.E. Shaw decreases position in Bank of America Corp.
D.E. Shaw decreased its position in Bank of America Corp. (BAC) that accounted for 1.11% of the company’s U.S. long portfolio in 4Q13.
Must-know overview of Micron Technology: A DRAMatic growth story
Micron’s stock has surged on bullish earnings prospects, and it’s up more than 200% since the beginning of 2013, partly propelled by the acquisition of Elpida last year.
Why did Ackman’s Pershing Square exit General Growth Properties?
Last week, Pershing Square exited its entire stake in General Growth Properties.
Why ESPN drives Walt Disney’s Media Networks revenue
Disney’s media division has remained its largest source of revenue. For fiscal 2013, revenues from Media Networks increased 5%, to $20.4 billion.
GAMCO adds new position in Weatherford International
GAMCO Investors took a large new position in Weatherford International (WFT) during the third quarter. The position accounted for 1.21% of the fund’s 3Q14 portfolio.
American Airlines gets significantly lower position in Appaloosa
Appaloosa Management significantly lowered its position in American Airlines (AAL) in the third quarter that ended in September 2014. The position accounts for 3.81% of the fund’s total third-quarter portfolio.
Glenview Capital Management starts new positions in AAP, AMT, DG, NXPI, sells NTAP, ROVI—13F Flash B
Glenview Capital Management is a private investment management firm with more than $7 billion of assets under management. Why buy American Tower Corp. (AMT)?
Micron’s key cloud innovations include its hybrid memory cube
Micron believes memory is at the core of enabling all key technology trends, such as networking, machine-to-machine, mobile, cloud, and big data.
Why Fairholme Capital lowers stake in Leucadia National
Fairholme Capital lowered its position in Leucadia National in 2Q14. The position currently accounts for 4.14% of the fund’s portfolio.
Why did Lone Pine open a position in IntercontinentalExchange?
Lone Pine Capital opened a new 2.19% position in IntercontinentalExchange Group, Inc.
Must-know: Why Tiger Global liquidates stake in Yahoo
Tiger Global disposed of a position in Yahoo Inc. (YHOO) which accounted for 4.53% of the fund’s 4Q13 portfolio.
Must-know update: DE Shaw increases its position in Sears Holdings
DE Shaw increased its position in specialty retailer Sears Holdings (SHLD) from 0.01% to 0.07% in 4Q 2013.
Greenlight opens a new position in REIT American Capital Agency
Greenlight disclosed a new position in American Capital Agency Corporation. It accounts for 1.69% of the fund’s 1Q 2014 portfolio.
Why did Paulson buy a stake in Houghton Mifflin Harcourt?
Paulson opened a new 2.58% position in Houghton Mifflin Harcourt Company, a global provider of education content and solutions.
Why Davidson Kempner adds new position in Vitamin Shoppe
Vitamin Shoppe said in its annual filing that the Vitamins, Minerals, and Supplements (VMS) industry in the U.S. is highly fragmented.
Rackspace Hosting sees activist interest from Blue Harbour
In September, after months of speculation that Rackspace could be acquired by CenturyLink, Inc. (CTL) and had interest from Hewlett-Packard, the company said it was no longer exploring merger and acquisition options. On the contrary, the company declared its commitment to remain independent.
Pershing Square takes 8.5% stake in Zoetis
Pershing Square Capital Holdings added a new position in Zoetis Inc. (ZTS), which accounts for 1.52% of Pershing Square’s portfolio for the third quarter that ended in September 2014.
Why Armstrong World Industries’ profits drop in 2Q
Armstrong World Industries stock fell at the end of last month. Its 2Q14 earnings and revenue fell short of analysts’ expectations. Revenue was up 0.5% to $710 million compared to the same quarter last year. Adjusted diluted earnings per share (or EPS) fell 1% to $0.60. Net income declined 31.4% to $21 million.
Why higher costs and charges impact Armstrong’s business segments
Resilient Flooring net sales in the second quarter and first six months of 2014 declined 2%. Net sales were driven by lower volume in the Americas and Europe. Operating income also declined.
Soros Fund Management raises position in Phillips 66
The surge in Phillips 66’s net profit came largely from significant improvement in the Refining segment as well as from its Marketing and Specialties segment.
Must-know: Key ideas from Blue Ridge Capital’s investment strategy
Blue Ridge Capital is a New York–based hedge fund founded in 1996 by Tiger Cub John Griffin. The fund generally targets “absolute returns.”
Why Priceline and Expedia clash over “opaque” hotel offerings
Priceline earns the majority of its revenues from the agency model, under which third parties such as hotel suppliers set the rates while Priceline earns a commission on the transaction.
Steven A. Cohen increases SAC Capital’s position in Google
SAC Capital built up its stake in Google Inc. (GOOG) last quarter by 97,523 shares, to 193,550 shares. Google accounts for a 1.26% position in SAC’s portfolio.
Why Einhorn’s hedge fund bought a position in Intrexon Corp.
In this seven-part series, we’ll go through some of the main positions Greenlight Capital LP traded this past quarter. Why buy Intrexon Corp. (XON)?
Steven Cohen and Point72 Asset Management’s 1Q 2014 positions
Steven Cohen’s Point72 Asset Management, the new name for SAC Capital Advisors, disclosed new positions in its 13F filing this month.
Why JANA Partners opened new position at Constellium
JANA Partners’ 13F filing disclosed a brand new position in aluminum product manufacturer Constellium N.V. (CSTM) that accounts for 1.83% of JANA’s 1Q 2014 portfolio.
Baupost Group opens PBF position, raises MU and THRX share, and sells AIG, AUY, and KGC—13F Flash F
The Baupost Group, LLC, is a hedge fund founded and run by Seth Klarman in 1982. Why sell Kinross Gold Corp. (KGC)?
TPG-Axon Capital buys CNX, M, OUTR, and DDS and decreases positions in ROC, GNC, and WYN—13F Flash A
In this six-part series, we’ll go through some of the main positions TPG-Axon Capital traded this past quarter. Why buy CONSOL Energy (CNX)?
Buffett’s Berkshire Hathaway opens a position in Liberty Global
International cable company Liberty Global (LBTYA) is a new 0.25% position initiated by Berkshire Hathaway in 4Q. Liberty Global operates in 14 countries, including 12 European countries.
Why did Lone Pine Capital buy a stake in SBA Communications?
SBA Communications Corporation is a 2.11% position initiated by Lone Pine Capital in 4Q 2013.
Comparing Orbitz Worldwide to its online travel peers like Expedia
We compared Orbitz Worldwide Inc. (OWW) with its peers Expedia (EXPE), The Priceline Group (PCLN), the China-based Ctrip.com International (CTRP), and TripAdvisor (TRIP) in the OTA (online travel agency) space.
Why Glenview Capital adds new stake in Applied Materials
Applied Materials Inc. provides manufacturing equipment, services, and software to the global semiconductor, flat panel display, solar photovoltaic (or PV), and related industries.
Why National Fuel Gas is investing in pipeline expansions
As we discussed previously in this series, National Fuel Gas (NFG) noted in its latest fiscal 3Q14 results that its earnings growth was driven by higher earnings in its Midstream and Upstream businesses.
Why Davidson Kempner eliminates position in JPMorgan Chase
Davidson Kempner exited a position in JPMorgan Chase & Co. (JPM) that accounted for 1.29% of the fund’s 1Q14 portfolio. This position was initiated in 1Q14. JPMorgan Chase is a leading global financial services firm. It has $2.5 trillion assets. It has operations worldwide.
The Baupost Group buys stake in Fidelity National Financial
Fidelity National Financial Inc. (FNF) is a new position initiated by The Baupost Group last quarter. The position accounts for 1.82% of the fund’s 4Q portfolio.
Why Nordic expects growing demand for platform supply vessels
An increase in supply could lead to lowering of charter rates and utilization rates, which in turn, would impact revenues.
Must-know: D.E. Shaw increases position in Time Warner Cable
D.E. Shaw upped its position in Time Warner Cable (TWC) that accounted for 0.17% of the company’s U.S. long portfolio in 4Q13.
Baupost Group raises position in eBay in 3Q14
Baupost ups position in eBay The Baupost Group raised its position in eBay Inc. (EBAY) that accounted for 6.01% of the fund’s total third-quarter portfolio. The fund owns 6,096,707 shares, up from 4,436,300 shares in 2Q14. The position was initiated in 2Q14. The stock price is up ~ 9% since the second quarter. JANA Partners, as well […]
Why AstraZeneca’s oncology pipeline is attractive to Pfizer
Pfizer (PFE) is seeking to expand its oncology franchise and a combination with AstraZeneca (AZN) would be meaningful due to the latter’s pipeline of cancer drugs.
GAMCO Investors opens a new position in Sigma-Aldrich
GAMCO Investors started a new position in 3Q14 in Sigma-Aldrich Corp (SIAL). The position accounted for 0.24% of the fund’s 3Q14 portfolio.
Why does QEP Resources face activist pressure from JANA?
In the last quarter, JANA Partners increased its position in QEP Resources to 5.34% from 2.80%.
Why did Soros Fund Management acquire a stake in Polycom?
George Soros’ Soros Fund Management disclosed a new position in Polycom Inc. (PLCM), according to a 13G filed with the SEC. Soros acquired 9,400,078 shares, or 6.96% of the company.
Why Greenlight decided to exit its position in General Motors
Greenlight disposed of its stake in General Motors, which accounted for 9.55% of the fund’s 4Q 2013 portfolio.
Why Tiger Global Management exits position in Carter’s
Tiger Global Management disposed of a large position in Carter’s Inc. (CRI) that accounted for 6.84% of the fund’s 1Q14 portfolio. Carter’s is based in Atlanta, Georgia. Carter’s is the largest branded marketer of apparel and related products exclusively for babies and young children. The company owns the Carter’s and OshKosh B’gosh brands.
GAMCO Investors establishes position in Liberty Media
GAMCO Investors started a new position in Liberty Media Corporation Class C (LMCK) during 3Q14. The position accounted for 0.36% of the fund’s third-quarter portfolio.
CalPERS establishes new position in CBS Outdoor Americas
CBS Outdoor Americas is the largest provider of advertising space on out-of-home advertising structures and sites across the US, Canada, and Latin America.
GAMCO Investors ups position in Sony
Mario Gabelli’s GAMCO Investors added to its position in Sony Corp. ADR (SNE) during the third quarter. The position accounted for 0.52% of the fund’s 3Q14 portfolio.
Must-know: Davidson Kempner disposes position in Apple
Apple saw its shares soar in April after it expanded its share repurchase program to $90 billion from the $60 billion level announced last year.
Must-know: Davidson Kempner sells stake in Omnicom
Davidson Kempner exited a position in Omnicom (OMC) that accounted for 1.93% of the fund’s 1Q14 portfolio. The position was initiated in 1Q14. Omnicom is a leading global advertising, marketing, and corporate communications company. It offers its services to over 5,000 clients in more than 100 countries.
Why Ackman started a position in REIT Home Properties
Pershing Square disclosed a new position in Home Properties Inc. (HME) that accounts for 0.34% of Pershing Square’s $8.3 billion 1Q14 portfolio.
OTPP opens new position in Alibaba Group
OTPP added a new position in Alibaba Group Holding (BABA) during the third quarter that ended in September. The position accounted for 0.09% of the fund’s total portfolio.