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Patrick McCormack is one of the Tiger Cubs. His Tiger Consumer Management is one of the several funds that were seeded by Julian Robertson, the hedge fund legend. As its name implies, Tiger Consumer mainly invests in the consumer sector. Founded in 2006, the New York based Tiger Consumer Management currently has approximately $1.3 billion worth of stocks in its 13F portfolio.

Below is a list of top 20 positions in Tiger Consumer’s 13F portfolio as of September 30, 2011.

Company Name

Ticker

Value

Activity

HERBALIFE LTD

HLF

51884

0%

DOLLAR GENERAL

DG

51363

-18%

COACH INC

COH

50452

37%

APPLE INC

AAPL

50334

-21%

HARLEY DAVIDSON INC

HOG

50165

-4%

YUM BRANDS INC

YUM

49471

10%

STARBUCKS CORP

SBUX

49186

0%

MEAD JOHNSON

MJN

48803

New

CARMAX INC

KMX

48704

7%

PRICELINE COM INC

PCLN

48378

7%

STARWOOD HOTELS

HOT

47734

New

WYNDHAM WORLDWIDE

WYN

47005

10%

CATALYST HEALTH SOLNS

CHSI

46414

32%

KROGER COMPANY

KR

44464

0%

NETFLIX INC

NFLX

43767

New

ARCOS DORADOS

ARCO

43657

0%

PHILLIPS VAN HEUSEN

PVH

42581

New

GREEN MOUNTAIN COFFEE

GMCR

41818

-30%

CARNIVAL CORP

CCL

41190

6%

AMAZON COM INC

AMZN

41104

-25%

During the third quarter, the portfolio value of Tiger Consumer was reduced from $1.4 billion to $1.3 billion. But the number of positions was slightly increased from 31 to 33. McMormack sold out a few positions. The largest position he sold out was Conagra Inc (NYSE:CAG), in which Tiger Consumer had $57 invested million at the end of June. CAG returned 6.25% since the end of September, lower than the 12.00% for SPY. McMormack also sold out his stakes in Advance Auto Parts Inc (NYSE:AAP), Polo Ralph Lauren Corp (NYSE:RL), and Medco Health Solutions Inc (NYSE:MHS).

On the other hand, McMormack also bought new stakes in a few stocks. For example, he initiated a brand new $48.8 million of Mead Johnson Nutrition Co (NYSE:MJN) in the third quarter. The pediatric nutrition company returned 9.36% so far in the fourth quarter. McMormack also opened a new position in Starwood Hotels & Resorts Worldwide Inc (NYSE:HOT). Tiger Consumer had $47.7 million worth of HOT shares at the end of third quarter. HOT was up 25.84% since the end of September, doubling the return of SPY.

McMormack is also bullish about Coach Inc (NYSE:COH). During the third quarter, he increased his stakes in COH by 37% to $50.5 million. COH returned 21.32% since the end of September, outperforming the market by more than 9 percentage points. McMormack invested $50+ million in Apple Inc (NASDAQ:AAPL) as well. The stock returned 2.04% so far since the end of the third quarter. But Apple’s earnings are expected to grow around 21% annually over the next few years. Therefore, AAPL’s PE ratio using future earnings is relatively lower than its peers, indicating the stock is currently trading at a discount. Stephen Mandel, another Tiger cub, is also bullish about AAPL. As of September 30, Mandel’s Lone Pine Capital invested $785 million in AAPL shares.

Retail sales are very strong during this year’s shopping season. If Europeans can prevent a Lehman-like event, the economy is likely to continue growing in the near future, making consumer goods stocks attractive to invest in. McCormack is an expert on consumer stocks, so we recommend investors focus on the best stock picks of McCormack if they don’t mind Europe related risks.

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

Source: Top Consumer Stock Picks By Tiger Cub Patrick McCormack