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This article will examine five stocks that have recently been purchased by Steven Cohen, the founder and manager of SAC Capital Advisors. SAC Capital Advisors has $16.6 billion in assets under its management. Here is my analysis:

Suncor Energy Inc. (NYSE:SU) Suncor has a market cap of $47.78 billion with a price-to-earnings ratio of 12.21. The stock has traded in a 52-week range of $28.12 to $48.53. The stock is currently trading at around $30. On July 28, the company reported second-quarter revenue of $9.59 billion, compared with revenue of $9.5 billion in the second quarter of 2010. Second-quarter net income was $562 million compared with net income of $480 million in the second quarter of 2010.

One of Suncor’s competitors is Imperial Oil Limited (NYSEMKT:IMO). Imperial is currently trading around $39 with a market cap of $32.81 billion and a price-to-earnings ratio of 12.02.

SAC Capital owns 4,858,478 shares of Suncor Energy. SAC Capital purchased 4,397,219 shares of Suncor Energy in the second quarter of 2011. In 2010, Suncor Energy grew net income by 197%. In the second quarter of 2011, the company increased net income by 17% from the second quarter of 2010. Suncor’s recent earnings have been driven by the high cost of crude oil. Over the last couple of months, concerns about the strength of the economic recovery have driven down oil prices. As a result of the lower oil prices Suncor’s stock prices dropped and now sit 37.5% off of their 52-week high. I also have concerns about the recovery and would advise investors to wait a while before purchasing this stock. I rate Suncor Energy Inc. as a hold.

YUM Brands Inc. (NYSE:YUM) YUM has a market cap of $24.99 billion with a price-to-earnings ratio of 21.61. The stock has traded in a 52-week range of $45.61 to $57.75. The current stock price is around $54. On July 14, the company reported second-quarter revenue of $2.82 billion, compared with revenue of $2.57 billion in the second quarter of 2010. Second-quarter net income was $316 million compared with net income of $286 million in the second quarter of 2010.

One of YUM Brands' competitors is McDonald's Corporation (NYSE:MCD). McDonald's is currently trading at around $88 with a market cap of $91.16 billion and a price-to-earnings ratio of 17.88.

SAC Capital owns 2,279,279 shares of YUM Brands. SAC Capital purchased 2,231,870 shares of YUM in the second quarter of 2011. YUM has increased its net income in each of the last five years. Second-quarter net income increased by 10% from the second quarter of 2010. Much of YUM’s earnings growth has come from overseas. YUM now earns more money from China than from the United States. YUM is also getting a reputation for being an above-average dividend paying stock. It has raised its dividend in each of the last five years and raised the dividend by 14% to $1.14 with a yield of 2.14% earlier this month. Investors seem to like YUM’s business direction, and have bid the stock up by15.61% over the last 52 weeks and by 54.7% over the last three years. I agree with Steven Cohen about YUM Brands and rate it a buy.

eBay Inc. (NASDAQ:EBAY) eBay has a market cap of $43.42 billion with a price-to-earnings ratio of 25.31. The stock has traded in a 52-week range of $23.28 to $35.35. The current stock price is around $34. On July 20, the company reported second- quarter revenue of $2.76 billion compared with revenue of $2.22 billion in the second quarter of 2010. Second-quarter net income was $283 million compared with net income of $412 million in the second quarter of 2010.

SAC Capital Advisors owns 3,366,256 shares of eBay. SAC Capital purchased 3,009,208 shares of eBay in the second quarter of 2011. eBay is in the enviable position of having no direct competition. The company is well established and has been profitable in each of the last ten years. One of eBay’s success stories has been the growth of its PayPal division. PayPal is growing at an annual rate of 25% to 30% and is projected to be the company’s largest source of revenue by the year 2014. I believe that PayPal will thrive for as long as e-commerce continues to grow. I rate eBay a buy.

Apple Inc. (NASDAQ:AAPL) Apple has a market cap of $371.30 billion with a price-to-earnings ratio of 15.84. The stock has traded in a 52-week range of $273.68 to $404.50. The stock is currently trading at around $400, which is near the high end of its 52-week range. On July 19, the company reported third- quarter earnings for the period ending on June 30, 2011. Revenue was $28.6 billion compared with revenue of $15.7 billion in the third quarter of 2010. Third-quarter net income was $7.31 billion compared with net income of $3.25 billion in the third quarter of 2010.

One of Apple’s competitors is Google. (NASDAQ:GOOG). Google is currently trading around $547 with a market cap of $175.52 billion and a price-to-earnings ratio of 19.72.

SAC Capital Advisors owns 598,046 shares of Apple. SAC Capital purchased 344,791 shares of Apple in the second quarter of 2011. Apple is a cutting edge technology company that is the leader in the mobile computing industry. The company has done an extraordinary job of growing earnings. In the third quarter, the company grew revenue by 82% and net income by 124% from the third quarter of 2010. The stock price has responded to the company’s impressive earnings and is up by 45.44% over the last 52 weeks. Apple should continue to realize rapid earnings growth. Now may be an opportune time to buy Apple stock, because the stock will probably see a pop in its price when the iPhone 5 is launched. I rate Apple Inc. a buy.

Hess Corporation (NYSE:HES) Hess has a market cap of $20.94 billion with a price-to-earnings ratio of 7.5. The stock has traded in a 52-week range of $52.63 to $87.40. The current stock price is around $62. On July 27, the company reported second-quarter revenue of $9.81 billion, compared with revenue of $7.75 billion in the second quarter of 2010. Second- quarter net income was $607 million compared with net income of $375 million in the second quarter of 2010.

One of Hess‘s competitors is BP PLC (NYSE:BP). BP PLC is currently trading at around $40 with a market cap of $125.98 billion and a price-to-earnings ratio of 6.32. BP PLC pays a dividend, which yields 4.3% versus Hess, whose dividend yields 0.70%.

SAC Capital owns 1,318,910 shares of Hess. SAC Capital purchased 1,123,684 shares of Hess in the second quarter of 2011. Hess has recently had unusually strong earnings. In 2010 net income increased by 186% to $2.12 billion from net income of $740 million in 2009. Second-quarter net income increased by 61.8% to $607 million from $375 million in the second quarter of 2010. The strong earnings have been driven by high oil prices. Now that the economy has begun to stagnate, oil prices have dropped, and I believe that this will have a negative affect on the company’s earnings. I would not purchase shares of Hess at this time. For those who want to invest in the energy sector, companies like BP PLC with a 4.3% dividend yield or Conoco Phillips (NYSE:COP) with a 3.9% dividend yield might be a better idea. I rate Hess a hold.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 5 Stocks Billionaire Steve Cohen Is Buying