Seeking Alpha
Newsletter provider, fund holdings, insider ownership
Profile| Send Message|
( followers)  

Julian Robertson is a legend. Everyone in the hedge fund industry knows him. Even though he has stopped managing money for his clients since 2000, Robertson is still widely followed in the media and his opinions attract lots of attention. His Tiger Management, one of the earliest hedge funds, returned an astonishing 31.7% per year after fees between 1980 and 1998, beating the 12.7% annual return of the market by almost 20 percentage points. During his active years, Robertson was considered as the “Wizard of Wall Street”. Many of his former employers (e.g. John Griffin, Stephen Mandel and Chase Coleman), known as “Tiger Cubs”, are now running their own best hedge funds.

Tiger Management reduced its portfolio value from $373 million at the end of June to $245 million. The fund also reduced its number of holdings during the third quarter. It had 32 positions at the end of the second quarter and had 24 positions at the end of September. Tiger Management sold out some positions over the third quarter. It reported to own $17.4 million worth of Time Warner Cable Inc (NYSE:TWC) at the end of June and it did not disclose owning any shares of the stock in its most recent 13F. Tiger Management made a smart decision as TWC lost 3.37% since the end of September, while SPY returned 9.66% during the same period. Tiger Management also sold out its positions in Oncho Resources Inc (NYSE:CXO), EMC Corp (NYSE:EMC), Canadian Natural Resources (NYSE:CNQ), Taomee Holdings (NYSE:TAOM), and Theravance Inc (NASDAQ:THRX).

CompanyName

Ticker

value

Activity

APPLE INC

(NASDAQ:AAPL)

29944

-26%

AMAZON COM INC

(NASDAQ:AMZN)

19742

-36%

GOLDMAN SACHS

(NYSE:GS)

19531

23%

GOOGLE INC

(NASDAQ:GOOG)

18615

17%

MASTERCARD INC

(NYSE:MA)

17622

-32%

VALEANT PHARMACEUTICALS

(NYSE:VRX)

17570

-2%

WUXI PHARMATECH

(NYSE:WX)

16794

39%

LIBERTY GLOBAL INC

(NASDAQ:LBTYA)

16172

New

VISA INC

(NYSE:V)

15671

-29%

TEVA PHARMACEUTICAL

(NYSE:TEVA)

11529

-15%

NETFLIX INC

(NASDAQ:NFLX)

11367

New

QUALCOMM INC

(NASDAQ:QCOM)

10506

-28%

DIGITALGLOBE INC

(NYSE:DGI)

9345

-15%

CABLEVISION SYSTEMS CORP

(NYSE:CVC)

8584

4%

AUTONAVI HOLDINGS LIMITED

(NASDAQ:AMAP)

7093

-15%

CARDIOME PHARMA CORP

(NASDAQ:CRME)

6424

-23%

RYANAIR HOLDINGS PLC

(NASDAQ:RYAAY)

3168

0%

L C A VISION INC

(NASDAQ:LCAV)

2937

-15%

SUNCOR ENERGY INC NEW

(NYSE:SU)

1743

0%

SEALED AIR CORP NEW

(NYSE:SEE)

812

0%

SONOCO PRODUCTS CO

(NYSE:SON)

674

0%

NEXEN INC

(NXY)

433

-69%

CARNIVAL CORP

(NYSE:CCL)

301

0%

SIRIUS X M RADIO INC

(NASDAQ:SIRI)

151

0%

Tiger Management increased its stakes in Google Inc (GOOG) over the third quarter. The fund had $15.6 million invested in the stock at the end of June and increased the position by 17% to $18.6 million. The company reported third-quarter net income of $2.73 billion, up from $2.17 billion for the same quarter last year. GOOG returned 18.72% since the end of September, beating the market by nine percentage points.

During the third quarter, Tiger Management opened a new position in Liberty Global Inc (NASDAQ:LBTYB). The fund did not disclose to hold any shares of Liberty Global at the end of June and it reported to own $16.2 million worth of the stock. LBTYB returned 4.76% since the end of September. In addition to Liberty Global, Tiger Management also bought new stakes in Netflix Inc (NFLX). The fund initiated a brand new $11.4 million of NFLX stocks over the third quarter. Unluckily, NFLX lost 28.33% since the end of the third quarter.

Julian Robertson’s top three positions were Apple Inc (AAPL), Amazon.com Inc (AMZN) and Goldman Sachs Group Inc (GS) at the end of September. The fund invested $29.9 million, $19.7 million and $19.5 million respectively in AAPL, AMZN and GS. Though these three stocks underperformed SPY since the end of September, they are quite popular among hedge funds tracked by Insider Monkey. John Griffin’s Blue Ridge Capital had positions in all three stocks.

Julian Robertson clearly turned cautious at the end of the September and reduced his stakes in several stocks. Apple, Amazon, Mastercard (MA), Visa (V), Teva (TEVA), Qualcomm (QCOM), DigitalGlobe (DGI), Autonavi (AMAP), and Cardiome Pharma (CRME). This wasn’t the right move for the short-run, but it may be right move going forward. Julian Robertson was on target when he predicted a severe recession in September 2007. He was bullish about technology stocks six months ago. It is concerning that he trimmed his holdings in several tech stocks.

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

Source: Billionaire Julian Robertson Is Getting Cautious