Tesla Motors (TSLA), Wal-Mart Stores (WMT), Medtronic PLC (MDT): Billionaire Jim Simons’ RenTech Sold Off These Large Positions

According to the 13F Form filed with the U.S. Securities and Exchange Commission, Jim SimonsRenaissance Technologies sold off its stake in numerous prominent equities last quarter. Some of the most noteworthy positions dropped by the prestigious investment firm included Tesla Motors Inc (NASDAQ:TSLA), Wal-Mart Stores, Inc. (NYSE:WMT), Medtronic PLC (NYSE:MDT), Raytheon Company (NYSE:RTN), and Conoco Phillips (NYSE:COP).RENAISSANCE TECHNOLOGIES

Renaissance Technologies is a New York-based hedge fund that was founded in 1982 by mathematician Jim Simons. Until 2010 when he retired from his position as the firm’s CEO, Mr. Simons was responsible for creating one of the world’s most successful hedge funds. The founder and former CEO of Renaissance Technologies is still actively linked to the firm and continues to profit from its funds. According to Forbes, the billionaire hedge fund founder’s earnings last year were estimated to be around $1.1 billion. Furthermore, last quarter Mr. Simons’ firm revealed an equity portfolio valued at $41.42 billion, up from $36.52 billion last quarter.

Renaissance Technologies sold out of a total of 416 positions last quarter, one of them being its stake in Tesla Motors Inc (NASDAQ:TSLA). The hedge fund had entered the company in the second quarter of 2013, when it purchased 177,800 shares. After numerous transactions, Mr. Simons’ firm finally dropped the entire position of 233,700 shares by the end of last year. Renaissance Technologies seems to have picked a good time to invest in Tesla Motors Inc (NASDAQ:TSLA), since during the time the fund held the stock, share prices gained more than 105%. Considering year-to-date the stock has actually lost around 6% of its value, selling out of the position now was a great move.

After years of holding a stake in the company, Renaissance Technologies finally exited its position in Wal-Mart Stores, Inc. (NYSE:WMT). As revealed by the 13F filing, last quarter the fund shed its remaining 1.13 million shares of the retail firm’s stock. Last year, the stock gained an unspectacular though solid 9.4%, while the quarterly dividend of $0.48 per share made shares attractive to long-term investors. However, changes to the company’s pay scale that will result in many employees getting large raises over the next two years, could trim earnings. Warren Buffett is still bullish regarding the company however, as his Berkshire Hathaway holds a position of 60.38 million shares. It is actually one of Mr. Buffett’s favorite stocks at the moment and was amongst his top picks last quarter. Furthermore,  Wal-Mart Stores, Inc. (NYSE:WMT) is backed by numerous institutional investors and billionaire hedge fund managers, such as David E. Shaw and Andreas Halvorsen.

Renaissance Technologies is no longer betting on Medtronic PLC (NYSE:MDT), after it disclosed the sale of 2.2 million shares in its last 13F filing. The hedge fund boasted a position in the company for several years, during which it generated healthy returns. Over the past year, the stock gained more than 25% after shares had already climbed 40.8% in 2013. However, Medtronic PLC (NYSE:MDT) no longer forms part of Renaissance Technologies’ equity portfolio. Nevertheless, numerous other institutional investors remain bullish regarding the company, such as Ric Dillon’s Diamond Hill Capital, which owns 3.68 million shares. Israel Englander’s Millenium Management also increased its position in the stock last quarter, by 79%, bringing its total stake to 2.81 million shares.

Medtronic, Inc. (NYSE:MDT)

After trimming its stake in Raytheon Company (NYSE:RTN) by 166,400 shares during the third quarter, Renaissance Technologies dropped the remaining 708,600 shares last quarter, thus exiting its position in the company. Although the U.S. defense contractor continues to earn new contracts and shares grew by 19% last year, Mr. Simons’ firm seemingly does not like this stock any longer. Despite what some may think, the hedge fund does not seem to have been wrong about Raytheon Company (NYSE:RTN) so far, as it has been downgraded by numerous rating agencies and has not performed well so far this year.

Finally, Renaissance Technologies also dropped its holding in ConocoPhillips (NYSE:COP), which amounted to 1.53 million shares. After increasing and decreasing its exposure to the stock several times throughout the past two years, the New York-based hedge fund finally decided to cash in on profits and look for another investment. Although share prices have been climbing steadily over the past two years, 2014 was not great for the company. While the stock only lost just under 1% of its value last year, which greatly outperformed the sector, it does not have the best future outlook in terms of earnings. Nevertheless, some investors remain bullish regarding ConocoPhillips (NYSE:COP), including Jean-Marie Eveillard’s First Eagle Management, which owns 8.97 million shares of the company’s stock, after disclosing an increase of 1.18 million shares last quarter.

Disclosure: None