Does Iridian Asset Management See Corporate Change Catapulting These Stocks Forward?

#3 Lowe’s Companies, Inc. (NYSE:LOW)

 – Shares Owned by Iridian (as of March 31): 7.25 Million

 – Value of Holding (as of March 31): $549.40 Million

Iridian has held a stake in Lowe’s Companies, Inc. (NYSE:LOW) since the first quarter of 2013 and raised it by 1% during the January-to-March period. After slumping by nearly 17% between January and mid-February, shares of the $68 billion home improvement retailer have been on a steady rise, recouping most of the earlier losses. Four years after its efforts prompted political backlash, Lowe’s Companies, Inc. (NYSE:LOW) once again made a bid for Canadian home improvement retailer Rona in February, to the tune of $2.3 billion. The deal is expected to go through this time and the company plans to use the proceeds from a series of notes to fund the acquisition. Edgar Wachenheim‘s Greenhaven Associates decreased its stake in Lowe’s by 7% to 8.85 million shares during the first trimester.

#2 Delta Air Lines, Inc. (NYSE:DAL)

 – Shares Owned by Iridian (as of March 31): 11.62 Million

 – Value of Holding (as of March 31): $565.75 Million

Iridian cut its stake in Delta Air Lines, Inc. (NYSE:DAL) by 3% to 11.62 million shares during the March quarter. The $33 billion airline company got caught up in a recent industry-wide rout, with its shares being down by 13% since the beginning of April. Many major airlines reported that they expected unit revenue to decline in the second quarter, sparking the sell-off, and reported much worse passenger revenue per available seat mile (PRASM) than expectations. However, Delta’s PRASM decline of 4.6% was only slightly worse than the bottom-end of the guidance of a 2.5%-to-4.5% decline. Moreover, its first quarter earnings of $1.32 per share beat analysts’ estimates by $0.02. Thomas E. Claugus‘ GMT Capital reduced its stake in Delta Air Lines, Inc. (NYSE:DAL) by 7% to 4.39 million shares during the March quarter.

 

#1 Sealed Air Corp (NYSE:SEE)

 – Shares Owned by Iridian (as of March 31): 12.42 Million

 – Value of Holding (as of March 31): $596.31 Million

After the addition of about 28,700 shares to its holding during the first three months of the year, Iridian’s stake in Sealed Air Corp (NYSE:SEE) amassed about 5.9% of the company’s outstanding shares. The stock price of the Charlotte-based company, which is engaged in food safety and security, facility hygiene, and product protection, has risen by 4.6% on a year-to-date basis. While Sealed Air beat bottom-line expectations with its first quarter financial results released on April 28, it missed out on the expected top-line figure. Ian Simm’s Impax Asset Management is upbeat about the company, as it hiked its Sealed Air Corp (NYSE:SEE) holding by 39% to 365,300 shares during the first quarter.

Disclosure: None