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John T. Lykouretzos launched Hoplite Capital Management in 2003 after working for five years at Andreas Halvorsen’s Viking Global Investors. Lykouretzos’ expertise is in industrials and financial services. Before joining Viking, Lykouretzos worked at Julian Robertson’s Tiger Management Corporation as an industrials analyst for two years. After graduating from Yale in 1995, he was at Goldman Sachs (NYSE:GS) as a financial analyst for three years.

According to 13F filings, Lykouretzos' Hoplite Capital Management had at least 38 securities in its portfolio as of March 31, 2011. Currently his long-term investments are NVR Inc. (NYSE:NVR), SBA Communications Corp. (NASDAQ:SBAC), Sherwin Williams Co (NYSE:SHW) and Berkshire Hathaway (NYSE:BRK.A). He has been holding all these stocks for the last three years.

In the first quarter of 2011, he sold 16 securities and bought 17 new securities. The two largest stocks that Lykouretzos sold in the last quarter are Goodrich Corp (NYSE:GR) and Intuit (NASDAQ:INTU). GR has returned 6.3% and INTU has returned 5.2% since the end of March. During the first quarter of 2011, Lykouretzos placed new bets on Qualcomm Inc (NASDAQ:QCOM) by buying 1.6 million shares. He also purchased 1 million shares of Davita Inc (NYSE:DVA) and 1.8 million shares of Netapp Inc (NASDAQ:NTAP) during the first quarter of 2011.

Here are Lykouretzos’ 30 largest holdings:

Stock

Value
(Millions)

Return
Since Mar 31,2011

SBA COMMUNICATIONS (SBAC)

108.1

-1.8%

CIGNA CORP (NYSE:CI)

96.7

11.9%

DIRECTV (NASDAQ:DTV)

94.5

7.3%

EXPRESS SCRIPTS INC (NASDAQ:ESRX)

93.3

9.1%

QUALCOMM INC (QCOM)

90.7

4.5%

DAVITA INC (DVA)

88.1

1.4%

NETAPP INC (NTAP)

85.2

13.1%

EQUINIX INC (NASDAQ:EQIX)

77.5

10.3%

HUNTSMAN CORP (NYSE:HUN)

75.2

8.9%

MEDNAX INC (NYSE:MD)

71.7

11.6%

SHERWIN WILLIAMS CO (SHW)

71.6

3.4%

DEVON ENERGY CORP NEW (NYSE:DVN)

65.8

-10.1%

INVESCO LTD (NYSE:IVZ)

64.7

-2.9%

NXP SEMICONDUCTORS (NASDAQ:NXPI)

63.4

-5.5%

LOWES COS INC (NYSE:LOW)

61.9

-6.2%

NVR INC (NVR)

59.3

-3.0%

HANSEN NAT CORP (HANS)

56.3

14.5%

CITIGROUP INC (NYSE:C)

52.7

-6.4%

PROGRESSIVE CORP OHIO (NYSE:PGR)

50.6

3.1%

CROWN CASTLE INTL CORP (NYSE:CCI)

50.2

-2.6%

COCA COLA ENTERPRISES (NYSE:CCE)

49.8

8.4%

BAIDU INC (NASDAQ:BIDU)

47.8

-1.4%

STARBUCKS CORP (NASDAQ:SBUX)

42.4

0.9%

SOTHEBYS (NYSE:BID)

38.8

-20.3%

TEEKAY CORPORATION (NYSE:TK)

38.6

-9.8%

TOLL BROTHERS INC (NYSE:TOL)

37.0

4.2%

ANHEUSER BUSCH INBEV (NYSE:BUD)

25.9

5.7%

PRICESMART INC (NASDAQ:PSMT)

11.4

26.3%

KRONOS WORLDWIDE INC (NYSE:KRO)

6.8

-0.1%

VALEANT PHARMA (NYSE:VRX)

3.3

0.2%

Value Weighted Performance

1779.2

2.9%

SPY

N/A

1.6%

Lykouretzos' largest stock picks have gained 2.9% since the end of first quarter 2011, vs. a 1.6% gain for the SPY. SBA Communications Corp was Lykouretzos' biggest investment at the end of March 2011. SBAC has lost 1.8% since then, underperforming the SPY’s 1.6% return. Lykouretzos has $108 million invested in SBAC. The stock has a market cap of $4.5 billion.

Cigna Corp was Lykouretzos' second biggest investment at the end of March 2011. CI has gained 11.9% since then, outperforming the SPY’s 1.6% return. Lykouretzos has $96.7 million invested in CI. CI recently traded at $49.5 and has a 0.1% dividend yield. The stock has a market cap of $13.3 billion and P/E ratio of 9. Cigna is one of the 30 large cap stocks expected to beat the S&P 500. Larry Robbins’ Glenview also had a $151 million CI position at the end of December. Lee Ainslie’s Maverick Capital is another investor of CI which had $111 million invested in CI shares at the end of December.

DIRECTV has gained 7.3% since March, outperforming the SPY by 5.7 percentage points. Lykouretzos had nearly $94 million invested at the end of March. DTV recently traded at $50.2. The stock has a market cap of $38.4 billion and P/E ratio of 18.4. Tiger Global’s Chase Coleman also had $253 million invested in DTV shares at the end of December. George Soros bought DTV shares during the last quarter of 2010. Lee Ainslie’s Maverick Capital had a large investment in DTV as well.

Qualcomm Inc was Lykouretzos' biggest new investment at the end of March 2011. QCOM has gained 4.5% since March, outperforming the SPY by 2.9 percentage points. Lykouretzos had nearly $91 million invested at the end of March. QCOM recently traded at $57.3 and has a 1.5% dividend yield. The stock has a market cap of $96 billion and P/E ratio of 25. Lee Hobson’s Highside Capital, Stephen Mandel’s Lone Pine Capital and Bill Miller's Legg Mason Capital Management are hedge funds with large QCOM positions. Lee Ainslie’s Maverick Capital added $300 Million in QCOM shares during last quarter of 2010.

Express Scripts Inc has gained 9.1% since March, outperforming the SPY by 7.5 percentage points. Lykouretzos had nearly $93 million invested at the end of March. ESRX recently traded at $60.6. The stock has a market cap of $31.8 billion and P/E ratio of 26. Larry Robbins’ Glenview, Clint Carlson's Carlson Capital, Stephen Mandel’s Lone Pine Capital and John Griffin's Blue Ridge Capital also had positions in ESRX at the end of December.

Pricesmart Inc has had one of the best performances in his portfolio since the end of March. Lykouretzos had $11.4 million in PSMT shares at the end of March. PSMT has gained 26.3% in the last seven weeks, beating the SPY by a large margin.

We like Lykouretzos’ stock picks and believe that investors may be able to beat the market by imitating his positions. His performance so far this year supports this view.

Disclosure: I am long C.

Source: Hoplite Capital's Favorite Stock Picks