Julian Robertson’s Leading 1st-Quarter Trades

Julian Robertson’s Leading 1st-Quarter Trades

Julian Robertson (Trades, Portfolio)’s Tiger Management recently disclosed its portfolio updates for the first quarter of 2020, which ended on March 31.” data-reactid=”12″ type=”text”>< p content=" Julian Robertson ( Trades, Portfolio )’s Tiger Management recently divulged its portfolio updates for the first quarter of 2020, which ended on March 31.” data-reactid=”12″ type=” text” > Julian Robertson( Trades, Portfolio)’s Tiger Management recently revealed its portfolio updates for the very first quarter of2020, which ended on March31

< p content=" Frequently called the" dad of the hedge fund," Julian Robertson( Trades, Portfolio) established Tiger Management in1980, turning an initial$ 8 million into over$22 billion by the late1990s. After losing 4%in1998 and19%in1999 as rivals rode the dot-com bubble to its peak, he closed down the fund in2000, and Tiger Management now just handles cash from internal sources( primarily Robertson’s individual wealth). Robertson’s long-short method is based upon investing in the best companies and shorting the worst companies, and he is known for” betting the farm” on his best concepts. Robertson also mentored a group of young hedge fund supervisors known as the” Tiger Cubs,” a group that includes Andreas Halvorsen( Trades, Portfolio), Chase Coleman( Trades, Portfolio), Philippe Laffont( Trades, Portfolio), John Griffin( Trades, Portfolio), Lee Ainslie( Trades, Portfolio) and Steve Mandel( Trades, Portfolio).” data-reactid=”19″ type =” text” > Frequently called the” father of the hedge fund,” Julian Robertson( Trades, Portfolio) established Tiger Management in1980, turning an initial$ 8 million into over$22 billion by the late1990 s. After losing 4%in1998 and19 %in 1999as rivals rode the dot-com bubble to its peak, he closed down the fund in2000, and Tiger Management now only manages money from internal sources( primarily Robertson’s individual wealth). Robertson’s long-short method is based on investing in the very best companies and shorting the worst companies, and he is known for” wagering the farm” on his finest concepts. Robertson also mentored a group of young hedge fund managers called the” Tiger Cubs,” a group that consists of Andreas Halvorsen( Trades, Portfolio), Chase Coleman( Trades, Portfolio), Philippe Laffont( Trades, Portfolio), John Griffin( Trades, Portfolio), Lee Ainslie( Trades, Portfolio) and Steve Mandel( Trades, Portfolio).

Robertson’s top buys for the quarter were AerCap Holdings NV( NYSE: AER) and Salesforce.com Inc.( NYSE: CRM), while his leading sells were Qualcomm Inc.( NASDAQ: QCOM) and Adobe Inc.( NASDAQ: ADBE). The overall turnover rate was20%.

< p material=" AerCap Holdings” data-reactid=”21″ type=” text” > AerCap Holdings

Robertson purchased 1,094,800 shares of AerCap Holdings NV, impacting the equity portfolio by 8.38%. During the quarter, shares traded for an average cost of$4994

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AerCap Holdings is the biggest independent airplane leasing business on the planet. Based in Dublin, Ireland, the company rents over 1,00 0 aircraft to200- plus customers in around80 nations. Airline companies have the ability to lease the company’s airplanes at a lower in advance expense than buying a new airplane.

On May26, shares of AerCap Holdings traded around$3057 for a market cap of$ 3.96 billion and a price-earnings ratio of 3.43 According to the Peter Lynch chart, the stock is trading listed below its intrinsic value.

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GuruFocus gives the business a monetary strength rating of 3 out of10 and a profitability rating of 8 out of10 The Altman Z-Score of 0.74 shows that the business could be in risk of personal bankruptcy within the next two years, however the interest protection ratio of 1.93 and current ratio of 3.31 recommend enough short-term liquidity. The operating margin of5268%is greater than9827%of rivals. The three-year profits growth rate of103%suggests steady top-line growth.

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< p content=" Salesforce.com Inc.” data-reactid=”86″ type= “text” > Salesforce.com Inc.

The financier developed a new57,500- share holding in Salesforce.com after selling out of a previous financial investment in the business in the 4th quarter of2018 The trade had a 2.78%influence on the equity portfolio. Shares traded for a typical cost of$17177 throughout the quarter.

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Salesforce.com is a company software business based in San Francisco. Its namesake platform provides customer relationship management, assistance, marketing automation, analytics and application advancement tools to customers.

On Might26, shares of Salesforce.com traded around$17652 for a market cap of$159.1 billion and a price-earnings ratio of8826. The Peter Lynch chart shows that this valuation is exceptionally high compared to recent incomes, but is in line with the typical historic appraisal for2019 revenues.

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GuruFocus provides the business a financial strength rating of 7 out of10 and a success rating of 5 out of10 The cash-debt ratio of 1.35 is lower than the market typical of 2.26, but the Altman Z-Score of 4.94 indicates that the company is likely safe from insolvency. The operating margin of 2.71%is lower than the industry mean of 4.84%, while the weighted average expense of capital is higher than the return on invested capital, showing low success.

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< p content=" Qualcomm ” data-reactid=”155″ type=” text” > Qualcomm

The guru offered out of the firm’s 188,300- share financial investment in Qualcomm, which had a -4.72?fect on the equity portfolio. During the quarter, shares traded for a typical price of$8241

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Qualcomm is an international semiconductor company based in San Diego. Its main focus is on communications innovation, especially for usage in smartphones, 5G and expert system. It is perhaps best known for its widely used cellular modems.

On May26, shares of Qualcomm traded around$7802 for a market cap of$8777 billion and a price-earnings ratio of2308 According to the Peter Lynch chart, the stock is trading a little above its intrinsic worth.

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GuruFocus offers the company a financial strength rating of 5 out of10 and a profitability rating of 8 out of10 The cash-debt ratio of 0.62 is lower than6714%of rivals, but the Altman Z-Score of 3.81 indicates that the company is not in risk of insolvency. The operating margin of3249%is higher than9570%of rivals, and the ROIC exceeded the WACC once again in the most recent full fiscal year, showing overall success.

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< p material=" Adobe” data-reactid=”220″ type=” text” >Adobe

Robertson lowered the position in Adobe by33,700 shares, or9309%, leaving an overall holding of 2,500 shares. The trade had a -3.16%impact on the equity portfolio. Share traded for a typical rate of$34256 throughout the quarter.

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Adobe is a San Jose, California-based computer system software business. It provides a suite of creative design-focused software for photo modifying, vector graphic illustration, website style, video editing, 3D modelling, social networks, and so on

On May26, shares of Adobe traded around$37663 for a market cap of$18171 billion and a price-earnings ratio of5706

GuruFocus gives the company a financial strength rating of 7 out of10 and a profitability score of 9 out of10 The interest coverage ratio of2346 is only a little lower than the average of2526%, while the Altman Z-Score of1255 shows that the company is safe from bankruptcy. With a high operating margin of301%, the company has actually grown its income and earnings significantly in the last few years.

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< p content=" Portfolio overview” data-reactid=”265

Since the quarter’s end, Tiger Management held shares of 46 stocks in an equity portfolio valued at $298 million. The leading holdings were Adaptive Biotechnologies Corp. (ADPT) with a 10.41%portfolio weight, Blackstone Group Inc. (BX) with 9.11%and Microsoft Corp. (MSFT) with 9.03%.

In regards to sector weighting, the firm was most invested in innovation, communication services and monetary services.

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Disclosure: Author owns no shares in any of the stocks pointed out. The reference of stocks in this post does not at any point make up a financial investment recommendation. Portfolio updates show just common stock positions according to the regulative filings for the quarter in question and may not consist of modifications made after the quarter ended.

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