What are the Two of the Best Hedge Fund Managers of 2013 Buying?

Over the past few weeks, most hedge funds in the U.S. have been filing their Form 13Fs with the Securities and Exchange Commission, disclosing their long equity positions as of March 31. In this article, I will take a look at David Tepper’s Appaloosa Management Lp and Larry Robbins’ Glenview Capital’s most relevant bullish moves that took place in Q1. But, why these funds?

According to an Insider Monkey article published a couple of months ago, Mr. Tepper and Mr. Robbins are among the three best hedge fund managers of 2013, along with Michael Castor of Sio Capital. As this last fund doesn’t file 13Fs, because it had an equity portfolio smaller than $100 million by the end of 2013, which makes it exempted from disclosing its equity portfolio, we will only look into Appaloosa’s and Glenview’s holdings from the latest 13F. However, we should highlight that Sio Capital returned an impressive 23% during the first four months of the year, widely outperforming the S&P 500, which was barely up during the same period.

David Tepper

First off is Citigroup Inc (NYSE:C), a famed $142 billion market cap financial services holding company. During the first quarter, both Appaloosa Management and Glenview Capital increased their stakes in this firm. The latter upped its bets by 64%, to 5.18 million shares, worth more than $240 million, while the former inched up its position by 4%, to 10.08 million shares, valued at more than $470 million. Another hedge fund placing big bets on Citigroup is Boykin Curry’s Eagle Capital Management, which started a position in the company, with 15.23 million shares held as of the end of the first quarter. Ken Griffin‘s Citadel Investment Group is another shareholder with a significant position which amasses around 9.92 million shares.

Second in this list is HCA Holdings Inc (NYSE:HCA), a $22.9 billion market cap health care services company. This is Glenview Capital’s third most valuable holding, worth more than $660 million. Its position remained unchanged over the first quarter (12.84 million shares), and so is the largest hedge fund shareholder of the company.

Appaloosa Management’s owns 5.3 million shares of the healthcare company, adding around 225,500 shares during the first three months. Other major funds that own shares of the company are Lee Ainslie’s Maverick Capital, William B. Gray’s Orbis Investment Management, and Keith Meister’s Corvex Capital, which own more than 4 million shares each.

Finally, there’s two more cases that we would like to look into. The first one is that of American International Group Inc (NYSE:AIG), an insurance behemoth with more than $76 billion in market cap. While Glenview increased its participation by 14%, to 9.85 million shares (worth about $520 million), Appaloosa halved its exposure to the stock, and now holds 1.22 million shares (valued at about $61.26 million).

Another case, which is very similar to the previous one, is that of General Motors Company (NYSE:GM), a $55 billion market cap automaker that saw Appaloosa increase its stakes by 2.92 million shares, to 7.88 million shares (worth about $270 million). On the opposite, Mr. Robbins’ fund shrank its investment in the company by 22% and now owns 4.94 million shares, worth $170 million. Warren Buffett‘s Berkshire Hathaway also cut its stake by 10.00 million shares, owning 30.00 million shares, valued at $1.03 billion as of the end of March.

Although the aforementioned cases are not clear examples of bullishness, the bets that both funds hold on these stocks are not to be overlooked. All of the companies in this list offer very decent (usually above-average) growth projections for the next five years to come, and certainly deserve a closer look in order to elucidate if they stand as attractive investment options.

Disclosure: Javier Hasse holds no position in any stocks mentioned.

Recommended Reading:

Billionaire Larry Robbins’ Top Stock Picks

Billionaire David Tepper is Betting on These Stocks

Free Stock Research Report: URS Corp (URS)

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 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

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!