Thu, May 21, 9:17 AM
- New additions to Goldman's hedge fund hotels - 50 stocks which most frequently appear among the largest ten holdings of hedge funds: AerCap (NYSE:AER), Assured Guaranty (NYSE:AGO), Baker Hughes (NYSE:BHI), Citizens Financial (NYSE:CFG), Colony Capital (NYSE:CLNY), Dresser-Rand (NYSE:DRC), Family Dollar (NYSE:FDO), Hospira (NYSE:HSP), Netflix (NASDAQ:NFLX), NXP Semi (NASDAQ:NXPI), Pharmacyclics (NASDAQ:PCYC), Visa (NYSE:V), and Walgreens (NASDAQ:WBA).
- Since 2001, the basket has outperformed the S&P 500 in 66% of quarters by an average of 73 basis points. YTD, however, it has underperformed by nine bps. Goldman notes the current basket overweights Consumer Discretionary (22%) and underweights Consumer Staples (2%).
- Looking at the full list, Actavis (NYSE:ACT) leads the way, with 77 funds naming the stock as a top 10 holding. Next up is Apple (NASDAQ:AAPL) with 69, then Facebook (NASDAQ:FB) at 42. For the entire list of 50, the average is 26 funds making a stock a top 10 holding.
- The rest in order: Valeant (NYSE:VRX), Microsoft (NASDAQ:MSFT), DirecTV (NASDAQ:DTV), Citigroup (NYSE:C), Time Warner (NYSE:TWC), Delta (NYSE:DAL), Cheneire (NYSEMKT:LNG), Yahoo (NASDAQ:YHOO), Liberty Global (NASDAQ:LBTYK), AIG, SunEdison (NYSE:SUNE), Air Products (NYSE:APD), Amazon (NASDAQ:AMZN), GM, BofA (NYSE:BAC), JPMorgan (NYSE:JPM), Macquarie Infrastructure (NYSE:MIC), American Airlines (NASDAQ:AAL), Charter Communications (NASDAQ:CHTR), Google (GOOG, GOOGL), Ally Financial (NYSE:ALLY), NorthStar Realty (NYSE:NRF), Priceline (NASDAQ:PCLN), eBay (NASDAQ:EBAY), MasterCard (NYSE:MA), Alibaba (NYSE:BABA), Micron (NASDAQ:MU), Williams (NYSE:WMB), Gilead (NASDAQ:GILD), Berkshire Hathaway (BRK.A, BRK.B), Dolar General (NYSE:DG), NorthStar Asset (NYSE:NSAM), Brookdale Senior (NYSE:BKD), DISH Network (NASDAQ:DISH).
- See also: Goldman updates list of hedge funds most-shorted stocks (May 21)
Tue, May 19, 2:02 PM
- "Prior to the financial crisis, consolidation was a consistent profitable investment theme in financial stocks," says KBW. The reverse has been true since, and the "fragmentation" of the giants is creating the best opportunities in the sector.
- Taking a very rough measure, the team notes the eight largest banks have made 104 acquisitions since 2010 versus 228 divestitures. Two notable recent moves are RBS's spin-off of Citizens Financial Group and GE's promise to unload $200B of financial assets.
- For who might benefit, look to those on the buy side of some these "forced" sales. KBW's list: Colony Financial (NYSE:CLNY), Invesco (NYSE:IVZ), Oaktree Capital (NYSE:OAK), PrivateBancorp (NASDAQ:PVTB), Raymond James (NYSE:RJF), Signature Bank (NASDAQ:SBNY), and SVB Financial (NASDAQ:SIVB).
Fri, May 8, 4:01 PM
- “It’s one of the few highly fragmented businesses left,” says Beth O'Brien, CEO of Colony Capital's (NYSE:CLNY) lending business, which began offering bridge loans to investors who buy homes with the intention of quickly selling at a profit. "If someone can do it nationally at scale, it’s cheaper and better for the borrower.”
- Among those joining Colony are Cerberus Capital and Blackstone (NYSE:BX), which hopes to make $1B of such loans per year. Blackstone's B2R Finance unit launched in 2013 to lend to landlords and this year acquired "fix and flip" funder Dwell Finance.
- Flippers have traditionally paid super-high rates to local private lenders as banks weren't interested in the loans, but with the entry of these Wall Street honchos, rates have come down sharply, as have fees.
- “Everybody just jumped in,” says Mark Filler, CEO of Jordan Capital Finance, quickly summing up the downside. “The risk is people start to relax underwriting guidelines to chase loans. As this becomes more competitive, there will be more pressure to do that.” His company was purchased by Garrison Investment Group six months ago.
- Source: Bloomberg
Wed, May 6, 5:19 PM
Wed, May 6, 4:44 PM| Comment!
Thu, Feb. 19, 4:58 PM
- Q4 core earnings of $34.5M or $0.31 per share includes $0.13 of transactions expenses mostly from the proposed combo with Colony Capital and the Cobalt acquisition.
- Book value per share of $18.97 vs. $18.72 one year ago. If accounting for everything at fair value, NAV of $22.01 per share vs. $20.78 a year ago.
- The deal brining management in-house is still expected to close in H1.
- Conference call tomorrow at 10 ET
- Previously: Colony Financial misses by $0.06, beats on revenue (Feb. 19)
- CLNY flat after hours
Thu, Feb. 19, 4:41 PM
Thu, Feb. 19, 4:21 PM| Comment!
Dec. 23, 2014, 9:43 AM
- The previously-announced non-binding agreement for Colony Financial (NYSE:CLNY) to become self-managed by bringing in all of the assets of its manager Colony Capital, is now a deal and is expected to close in H1 of 2015.
- Consideration will be up to $657.5M to be paid in CLNY common stock and membership interests in a subsidiary of CLNY.
- Source: Press Release
- Previously: Colony Financial on the move after agreement to merge with manager (Nov. 5)
Nov. 19, 2014, 7:32 AM
- To be acquired is Cobalt Capital Partners and its portfolio of 256 primarily light industrial assets. The properties are leased to more than 600 tenants and total over 30M square feet across 16 major U.S. markets. The management team is being retained to run the day-to-day operations, and the deal should close before year-end.
- Colony Financial (NYSE:CLNY) has arranged 70% financing, and the portfolio is expected to have an initial NOI yield of 7%, and an initial annual ROE of about 10%.
- Source: Press Release
Nov. 5, 2014, 9:48 AM
- The tie-up will combine the management capabilities of Colony Capital with the holdings of Colony Financial (CLNY +5.7%). "You have a real estate asset manager that is capital-light,” says Sterne Agee's Jason Weaver. “People tend to like that business model, that trades at a higher valuation than the normal REIT, which will throw off a consistent dividend and trade at a REIT-style valuation.”
- There may be more coming, says Weaver: “The fact that they are going to become a huge asset manager with $19B in equity and still maintain the REIT status says to me that this isn’t the only step in the puzzle."
- Weaver this morning upgrades the stock to a Buy.
- Previously: Colony Financial agrees in principle to become self-managed
Nov. 5, 2014, 9:16 AM
- Gainers: CRTO +19%. JIVE +17%. YOD +16%. TTPH +12%. IBIO +11%. AEZS +9%. EXEL +8%. CLNY +7%. ANR +7%. ROYT +7%. EOG +6%. PHMD +6%. NICE +6%. VPCO +6%. ATVI +5%. VG +5%. CTSH +5%. WLT +5%. MACK +5%.
- Losers: CHUY -24%. NUS -22%. FEYE -16%. ZU -14%. TRIP -13%. SSYS -8%. MEMP -7%. NG -6%. ANV -6%. ARIA -6%. AWAY -6%.
Nov. 4, 2014, 5:28 PM
Nov. 4, 2014, 4:55 PM
- Colony Financial (NYSE:CLNY) has reached a non-binding agreement to bring in substantially all of Colony Capital's (CLNY's manager) operation. Consideration is roughly $657.5M to be paid in the form of CLNY units, of which $547.5M would be paid upfront and the remainder contingent upon certain performance and fundraising targets.
- The combined company would be led by Colony Financial's current team of Chairman Thomas Barrack and CEO Richard Saltzman. It is hoped the deal could close by the end of 2015's first half.
- The deal is expected to be accretive, both immediately and into the future.
- Not included in the combo would be Colony Capital's interests in Colony American Homes (NYSE:CAHS), which today announced it will become a self-managed REIT.
- Source: Press release
Nov. 4, 2014, 4:46 PM| Comment!
Aug. 6, 2014, 1:22 PM
- Core earnings of $42M or $0.43 per diluted share vs. $23.6M and $0.36 one year ago. Dividend of $0.36.
- Company either closed on or agreed to about $725M of investments during quarter composed of $432M in ten loan originations, a $277M loan portfolio acquisition, and a $16M real estate equity investment.
- Subsequent to quarter's end, company closed on agreed to about $138M of investments.
- CEO Richard Saltzman notes European deal flow of various types and larger special situations in the U.S. continue to make up the majority of Colony's (CLNY -0.3%) pipeline.
- Colony American Homes now owns about 17.6K homes in 10 states, with the overall portfolio occupancy rate at 78%, up from 70% in Q1.
- Previously: Colony Financial beats by $0.07, misses on revenue
CLNY vs. ETF Alternatives
Colony Capital Incis a real estate & investment management company. It acquires, invests, finances & manages a diversified portfolio of real estate-related debt & equity investments composed of acquired & originated loans.
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