As we approach the end of the current round of 13F filings, we see investors disclosing their equity portfolios held as of the end of 2014. One of the investors that has recently filed its 13F form is Drew Cupps‘ Cupps Capital Management. The fund with an equity portfolio valued at $1.12 billion reported a total of 219 positions. Cupps’ portfolio is very diversified with all positions amassing less than 4% of the total value. Mr. Cupps’ has been betting heavily on the technology sector, which at the end of 2014 represented almost 40% of the total equity portfolio value. Among other stocks, the investor has been investing in some of the most popular tech stocks such as Apple Inc. (NASDAQ:AAPL), Facebook Inc (NASDAQ:FB), and Alibaba Group Holding Ltd (NYSE:BABA).
Drew Cupps is focusing on value investing and has been involved in research and identifying attractive investments since 1992, when he was working as an analyst at Richard Driehaus’ Driehaus Capital Management. Cupps follows a philosophy that is based on valuation and fundamental and technical variables as the primary drivers of stock performance. In this way, it is easy to see why Mr. Cupps has been bullish on the technology sector, which has had strong returns over the last several years. Over the last year, tech stocks returned on average around 19%, beating the S&P 500, which gained some 14%.
While, Cupps Capital invests in a majority of tech companies, among its investments are also seven out of the top 10 tech stocks that hedge funds that we track are betting on. The fund disclosed ownership of 117,119 shares of Apple Inc. (NASDAQ:AAPL) as of the end of December, while the $12.93 million position amasses 1.16% of the equity’s portfolio total value. During the third quarter, the fund trimmed its stake by selling around 1,800 shares, while the stock appreciated by 10% during the October-December period. Apple Inc. (NASDAQ:AAPL) has recently surprised the market as it announced the highest earnings ever reported by a public company with its profit for the fourth quarter of 2014 amounting to $18 billion. Moreover, Apple also enjoys the backing of some of the greatest investors on Wall Street, such as Carl Icahn, David Shaw, David Einhorn, among others. Overall, at the end of the third quarter of 2014, 153 funds among those that we track held long positions in Apple Inc. (NASDAQ:AAPL).