General Motors also became the flavor of the quarter with many hedge
funds as the U.S. government exited its position. This year,
however, the stock price has fallen nearly 14 percent, making for a
rough start for new Chief Executive Officer Mary Barra.
But on Friday, the automaker's stock rose 75 cents, or 2.13 percent,
Soros Fund Management LLC, founded by billionaire investor George
Soros, purchased new stakes in banking giants J.P. Morgan Chase &
Co. and Citigroup in the fourth quarter. Soros also boosted holdings
The quarterly disclosures of manager stock holdings, in what are
known as 13F filings with the U.S. Securities and Exchange
Commission, are always intriguing for investors trying to divine a
pattern in what savvy traders are selling and buying.
But relying on the filings to develop an investment strategy comes
with some peril because the disclosures are backward looking and
come out 45 days after the end of each quarter.
Still, the filings offer a glimpse into what hedge fund managers saw
as opportunities to make money on the long side. The filings don't
disclose short positions, bets that a stock will fall in price. And
there's also little disclosure on bonds and other securities that do
not trade on exchanges.
Upon request, the SEC also permits managers to omit sensitive stock
positions from 13F filings. As a result, the public filings don't
always present a complete picture of a manager's stock holdings.
Here are some of the hot stocks and sectors in which hedge fund
managers either took new positions or exited from in the fourth
JP MORGAN CHASE, CITIGROUP
Soros's fund owned about 2.8 million shares of JP Morgan as of
December 31, and 2.3 million shares of Citi. Soros held no shares in
either bank at the end of the third quarter.
Activist investor Marcato Capital Management, run by Mick McGuire,
boosted the firm's holdings of Sotheby's by 35 percent, having
bought an additional 1,200,000 shares in the auction house to now
Eric Mindich's Eton Park Capital Management also is a huge fan of
Sotheby's, buying an additional 265,000 shares, bringing the firm's
stake to 2.2 million shares.
Tiger Consumer Management got back into Facebook after exiting it in
the third quarter. The filing shows the fund owned 1,384,507 shares
of the social media powerhouse at the end of the fourth quarter.
Andreas Halvorsen's Viking Global Investors bought an additional
13.9 million class A shares, bringing its stake to 18.3 million
class A shares.
Scout Capital Management closed out of its position, selling 3
million shares. Scout Capital may be going on a junk food diet, as
it liquidated its entire position in Whole Foods and Starbucks but
added 3.9 million shares in Yum! Brands Inc.
The fund's owners said last month that they are splitting up and
shutting down the $6.7 billion fund after 13 years. Returns were
strong at 21 percent last year.
Kyle Bass's Hayman Capital announced in early December that he
established a position and that the 4,606,005 million shares he
owned made up nearly one quarter of his portfolio.
Bridger Capital trimmed its holdings in General Motors Co by selling
155,000 shares, but the fund still owns 1,695,000 shares, which
ranks the stock as the fund's fourth largest position.
Bronson Point Management, founded by former managers at SAC and
Pequot, added to its holding of GM by buying another 400,000 shares,
increasing its stake by 34 percent. And Cooperman's Omega added a
new position, buying 1.04 million shares of the automaker.
Leon Cooperman's Omega added a new position, buying 1.04 million
shares, and Mindich's Eton Park Capital Management opened a new
stake of 2.74 mln shares.
Soros Fund Management held more than 4.9 million shares of GM and
more than 1.4 million call options, the filing showed, up from
around 1.28 million shares and more than 350,000 call options on
[to top of second column]
Blue Ridge sold all of its Netflix stake, liquidating 349,000 shares
of the American provider of on-demand Internet streaming media,
while billionaire activist investor Carl Icahn cut his stake by 2.9
million shares, bringing his exposure to 2.7 million shares.
Chase Coleman and Feroz Dewan's Tiger Global Management bought an
additional 223,000 shares, bringing their stake to 663,000 shares.
Carlson Capital took a new position in Target, buying 1.4 million
shares only weeks before the retailer made headlines after becoming
the victim of computer hackers who stole millions of credit card
Viking Global Investors opened a new stake of 11.6 million shares.
Jana Partners increased its stake in Walgreen to 7.3 million sole
shares versus 1.3 million sole shares. For more on activist
investors Jana Partners, please see.
Fresh from bankruptcy and a merger with US Airways, the "new"
American has become a new favorite with money managers and the stock
has climbed 38.71 percent this year alone.
Hutchin Hill opened a new position in the airline with 875,000
TIME WARNER CABLE
Farallon Capital Management added to its holding of Time Warner
Cable Inc in the fourth quarter by buying 1,905,500 shares. It owned
2,432,00 shares at the end of the quarter, making it the firm's
On Thursday, a proposed all-stock deal in which Comcast Corp would
take over Time Warner Cable for $45.2 billion was announced.
SIRIUS XM HOLDINGS
Viking Global Investors opened a new stake of 15.1 million shares.
THERMO FISHER SCIENTIFIC
Aaron Cowen's Suvretta Capital opened a new position, buying 322,000
shares to make it his fund's third biggest positions, while Omega
Advisors added 209,630 shares.
Adage sold 607,400 shares of the scientific instrument maker,
cutting its stake by 43 percent to own 800,505 shares at the end of
the quarter. And Loeb's Third Point also dissolved its share stake
in Thermo Fisher.
Loeb's Third Point took a stake in BlackBerry, the Canadian
telecommunication and wireless equipment company best known as the
developer of the BlackBerry brand of smartphones and tablets, of 10
TAKE-TWO INTERACTIVE SOFTWARE INC
David Einhorn's Greenlight Capital took a sole share stake in
Take-Two Interactive of 4.2 million shares in the fourth quarter,
while Icahn dissolved his entire share stake of 12 million shares.
(Compiled by Jennifer Ablan; editing by
[© 2014 Thomson Reuters. All rights
Copyright 2014 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.