Billionaire Bill Ackman Trims Stake in Zoetis; Still Bullish on Restaurant Brands International, Mondelez

Holding On To Air Products & Chemicals

Air Products & Chemicals, Inc. (NYSE:APD), one of Pershing Square’s oldest bets, is still in play as the fund’s management team refrained from adjusting the position. The fund continues to hold 7.6 million shares worth some $1.08 billion at the end of the second quarter. So far this year, the stock is up by 18%, having ended Monday’s trading session at $151.52 per share. The company pays an annual dividend of $3.44 per share, providing investors with a 2.30% yield. For the most recent quarter, Air Products & Chemicals, Inc. (NYSE:APD) posted $2.43 billion in revenue and adjusted earnings of $1.92 per share, while analysts had predicted $1.91 in earnings per share on the back of $2.45 billion in revenue. On August 12, analysts at JPMorgan issued an update on Air Products & Chemicals, Inc. (NYSE:APD), raising their rating to ‘Overweight’ from ‘Neutral’ and boosting their price target to $160 per share from the previous target of $140 per share.

Job Done at Canadian Pacific

During the second quarter, Pershing Square managed to offload 29% of its stake in Canadian Pacific Railway Limited (USA) (NYSE:CP) and held 9.84 million shares worth $1.27 billion at the end of June. However, earlier this month Pershing said in a statement that it had liquidated the position entirely and Mr. Ackman said he would step down from the company’s board of directors when his term expires. Mr Ackman got involved with Canadian Pacific back in 2011, looking to overhaul the company’s management. Within a year, he managed to win a shareholder proxy contest and install Hunter Harrison, a veteran of the railroad industry, as the company’s CEO. Under Harrison’s watch Canadian Pacific Railway Limited (USA) (NYSE:CP) has thrived and Ackman rubbed his hands as Pershing Square racked in approximately $2.6 billion in total gains according to Forbes. John Griffin‘s Blue Ridge Capital had its stake in Canadian Pacific increased by 11% to 1.69 million shares worth $217 million at the end of June.

Numero Uno

Restaurant Brands International Inc (NYSE:QSR) is Bill Ackman’s new top dog. According to the 13F filing, Pershing Square holds 39.1 million shares valued at roughly $1.63 billion. So far this year, the stock managed to advance by 30%. The owner of Burger King and Tim Hortons managed a seventh consecutive quarter of positive sales growth, although the latest figures fell short of expectations amid soft sales in the US and Canada. Sales at Burger King grew by 0.6%, while Tim Hortons sales were up by 2.7%, below analysts’ forecasts of 2.2% and 3.5% of growth, respectively. For the second quarter, Restaurant Brands International Inc (NYSE:QSR) posted $0.41 in earnings per share on the back of $1.04 billion in revenue, topping analysts’ estimates of $1.05 billion in revenue and earnings of $0.35 per share. Warren Buffet‘s Berkshire Hathaway is also invested in Restaurant Brands International Inc (NYSE:QSR), having indicated in its latest 13F filing ownership of 8.43 million shares worth $351 million.

Disclosure: none