Baupost Group Drops AVEO Pharmaceuticals Inc (AVEO) and Shifts Focus Towards Cheniere Energy (LNG)

Shares of Cheniere Energy Inc (NYSEMKT:LNG) on the other hand have experienced a large increase in value over the past year. Furthermore, shareholders are excited regarding future performance, as the company recently landed a 20-year contract to supply Portugal with natural gas. The agreement signed with EDP Energias de Portugal, will allow Cheniere Energy to sell 770,000 tons of liquefied natural gas per year, once deliveries begin in 2019. The $15.3 billion market cap energy firm, which operates in the liquefied natural gas related business, owns and operates terminal projects in Louisiana and Texas. Thanks to its solid performance, the company is currently expanding its operations, developing new liquefaction trains and constructing additional storage tanks and marine berths. Thus, the recent increase in Baupost Group’s exposure to Cheniere Energy, which turned the hedge fund into the company’s largest institutional shareholder, is expected to generate healthy returns.

Naturally, Mr. Klarman’s Baupost Group is not the only fund displaying optimism regarding Cheniere Energy Inc (NYSEMKT:LNG). The energy company has the backing of Michael Lowenstein’s Kensico Capital, a hedge fund boasting a stake of more than 7.85 million shares. Stephen Mandel’s Lone Pine Capital has also taken a bullish stance towards the stock, increasing his position in Cheniere Energy by more than 1100% last quarter, bringing its total holdings to 6.9 million shares.

Despite its poor performance as of late, some institutional shareholders remain bullish regarding AVEO Pharmaceuticals Inc (NASDAQ:AVEO). Alex Denner’s Sarissa Capital Management for example, continues to hold a position amounting to 2.5 million shares. Howard Guberman’s Gruss Asset Management even increased his stake in the company by more than 150% last quarter, bringing his total exposure to AVEO to 1.36 million shares.

 Disclosure: Pablo Erbar holds no position in any stocks or funds mentioned.