Research in Motion Ltd (BBRY), EMC Corporation (EMC): Here’s What This $14 Billion Hedge Fund Company Has Been Buying

Andreas HalvorsenEvery quarter, many money managers have to disclose what they’ve bought and sold, via “13F” filings. Their latest moves can shine a bright light on smart stock picks.

Today, let’s look at Viking Global Investors, founded in 1999 by Andreas Halvorsen and David Ott, who had previously worked together at Julian Robertson’s respected Tiger Management firm. Viking is known as a long-short global equity fund, meaning that it aims to maintain long positions in companies on which it’s bullish and short positions in those where it’s bearish.

The company’s reportable stock portfolio totaled $14.4 billion in value as of Dec. 31, 2012.

Interesting developments
So what does Viking’s latest quarterly 13F filing tell us? Here are a few interesting details:

The biggest new holdings are Alexion Pharmaceuticals and Las Vegas Sands (NYSE:LVS). Other new holdings of interest include EMC Corporation (NYSE:EMC) and TIBCO Software (NASDAQ:TIBX) . EMC Corporation (NYSE:EMC) is a $50 billion storage giant, with solid growth prospects in the rapidly growing cloud-computing and Big Data arenas. It also holds an 80% ownership stake in virtualization specialist VMware. EMC Corporation (NYSE:EMC) has been held back some by softness in technology spending due to a weak global economy, but that won’t last forever. In the meantime, it has struck a partnership with Lenovo, which might help it in China, and its recent earnings report was solid, with strong operating income growth

TIBCO is another Big Data operator, and one that got whacked late last year after posting disappointing earnings results. It had previously posted a long string of strong earnings and pointed to softness in orders as well as some weather interference for the miss. Still, management is upbeat, as are some of my colleagues, such as Anders Bylund, who bought shares. Some think the company may end up acquired by another.

Among holdings in which Viking Global increased its stake was Research in Motion Ltd (NASDAQ:BBRY). BlackBerry, until very recently known as Research in Motion Ltd (NASDAQ:BBRY), has been fighting strong competition from iPhones and Android devices. (Apple, for example, is expected to debut a lower-cost smartphone that might appeal to businesses that buy in bulk for employees, threatening BlackBerry’s longtime strength in the corporate market.) Research in Motion Ltd (NASDAQ:BBRY) recently debuted some new devices, but some think that’s not enough to turn the company around.

Viking Global reduced its stake in lots of companies, including Sherwin-Williams (NYSE:SHW) , which has averaged annual growth of nearly 30% over the past five years, partly on signs of a housing market recovery. Last year, the company bought global paint giant Comex, based in Mexico, for $2.3 billion. Some don’t like that the deal will add to Sherwin-Williams’ debt, but others see it as a smart strategic move. In a sign of strength, the company recently boosted its dividend by 28%. With a forward P/E ratio of 19, it’s reasonable to see the stock as not a bargain right now.

Finally, Viking’s biggest closed positions included Apple and priceline.com. Other closed positions of interest include ARIAD Pharmaceuticals (NASDAQ:ARIA) , which received FDA approval for its leukemia drug Iclusig — though its launch hasn’t been as strong as some had hoped. ARIAD’s bone-tumor drug ridaforolimus was rejected in Europe, but it might still prove effective against other cancers. The company has been spending heavily on research and development, and it needs some more success from its pipeline. Investors are hoping for European approval for Iclusig and eventual FDA approvals for other treatments.

We should never blindly copy any investor’s moves, no matter how talented the investor. But it can be useful to keep an eye on what smart folks are doing. 13-F forms can be great places to find intriguing candidates for our portfolios.

The article Here’s What This $14 Billion Hedge Fund Company Has Been Buying originally appeared on Fool.com.

Longtime Fool contributor Selena Maranjian, whom you can follow on Twitterowns shares of Apple and Priceline.com. The Motley Fool recommends Apple, Priceline.com, Sherwin-Williams, Tibco Software, and VMware. It owns shares of Apple, EMC, Priceline.com, and VMware.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Top 10 Jobs for 2014 by Salary Gain (Predictions)

Top 5 Digital Trends for 2014

Top 6 Things You Can Do To Increase Your Productivity

Top 9 Trending Smartphones in 2013

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!