Search no more
One of Simons’ biggest buy ups was Google Inc (NASDAQ:GOOG), a 14,440% increase in shares owned, and now making up the seventh spot in RenTech’s portfolio. Not only is Google the search giant, but the company has various other initiatives that could help drive future growth.
These include initiatives in the e-commerce segment, its Google Inc (NASDAQ:GOOG) Fiber and DoubleClick platform. Even still, Google is looking to keep its stronghold on the search and online advertising space with its move to the mobile market. The Motorola Mobility acquisition and its Android mobile OS should allow Google Inc (NASDAQ:GOOG) to keep its top position in mobile search over the interim.
It also appears that Google’s YouTube is beginning to pay dividends, helping expand Google’s reach even further. Earlier this week, Google Inc (NASDAQ:GOOG) reported that YouTube’s advertising sales on mobile devices had tripled over the past six months.
Housing still in favor
Another major increase for Simons was The Home Depot, Inc. (NYSE:HD), which is now Simons’ 14th largest holding after a 141% increase in shares owned. For the first quarter, The Home Depot, Inc. (NYSE:HD)’s results were robust. The company posted EPS of $0.83, compared to $0.68 for the same quarter last year. This comes after a 4.3% rise in same-store sales and 7.4% higher total sales. The April-ended earnings beat is related to higher spending due to Hurricane Sandy, but longer-term growth should be attributed to a rebounding housing market and lower-unemployment, which will promote higher spending on home remodeling.
Bottom line
Simons is the high profile hedge fund manager, with some $23 billion in assets under management, and he loves drugs. Simons is a big investor in Eli Lilly & Co. (NYSE:LLY) and Bristol Myers Squibb Co. (NYSE:BMY), both of which appear to be solid investments for the future, paying 3.8% and 3% dividend yields, respectively.
As well, I like Simons’ tech bets on IBM and Google. International Business Machines Corp. (NYSE:IBM) should perform nicely with a move toward the cloud and Google can now leverage Motorola to maintain its robust market share. The Home Depot, Inc. (NYSE:HD) is a leading retailer with heavy ties to housing, and thus the company should perform well with the continued housing rebound.
Marshall Hargrave has no position in any stocks mentioned. The Motley Fool recommends Google. The Motley Fool owns shares of Google Inc (NASDAQ:GOOG) and International Business Machines Corp. (NYSE:IBM).
The article Billionaire Jim Simons’ Buy Ups originally appeared on Fool.com.
Marshall is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.
