Tiger Global Management was founded by Charles “Chase” Coleman III in 2001 with $25 million seed money from billionaire Julian Robertson. According to the latest 13F filings, Tiger Global manages a portfolio worth over $5 billion. Tiger Global got huge fame after impressive returns due to its early investments in famous internet companies like Facebook Inc (NASDAQ: FB), LinkedIn Corp (NYSE:LNKD), Zynga Inc (NASDAQ:ZNGA), Amazon.com, Inc. (NASDAQ:AMZN) and Netflix, Inc. (NASDAQ:NFLX).
Tiger Global mainly focuses on tech and internet companies. The fund was got off to a bad start in 2016, and reported double digit losses. Last year, Feroz Dewan, a 12-year veteran of Tiger Global, and known to be one of the top brains behind the firm’s performance, left the firm to start his own investment company.
In this article, we will examine the latest 13F filings to see some stocks on which Tiger Global turned bearish.
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Apple Inc. (NASDAQ:AAPL)
– Shares Owned by Tiger Global Management (as of June 30): 1.38 million
– Value of Tiger Global Management’s Holding (as of June 30): $131.91 million
Tiger Global sold over 4.27 million shares of Apple Inc. (NASDAQ:AAPL) in the second quarter, cutting its position in the company by 75%. The stock is up by 0.99% so far this year. Just recently, EU’s top competition regulator ordered the government of Ireland on Tuesday to recover a whopping $14.6 billion in unpaid taxes from Apple. Apple’s CEO Tim Cook slammed the ruling in an open letter to customers, claiming the EU’s decision had “no basis” in fact or law. Apart from Coleman, David Einhorn and George Soros sold their stakes in Apple in the second quarter, while legendary investor Warren Buffett’s fund increased its position by 55%. Apple Inc. (NASDAQ:AAPL) expects fiscal fourth quarter revenue between $45.5 billion and 47.5 billion, versus the consensus of $45.71 billion. Of the 749 funds tracked by Insider Monkey, 116 were long Apple Inc. (NASDAQ:AAPL) at the end of the second quarter, significantly down from 152 funds a quarter earlier.
TAL Education Group (ADR) (NYSE:XRS)
– Shares Owned by Tiger Global Management (as of June 30): 602,500
– Value of Tiger Global Management’s Holding (as of June 30): $37.39 million
Tiger Global Management unloaded 64% of its stake in the Beijing-based tutoring company during the second quarter, selling over 1.11 million shares. Last month, TAL Education Group (NYSE:XRS) reported fiscal first quarter EPS of $0.27, worse than the consensus estimate of $0.29, while revenue in the period came in at $195.1 million, well above the estimated $184.06 million. For the second quarter 2017, the company expects revenue to come in at $247.9 million to $251.3 million, when analysts expect $248.0 million. The stock has gained over 30% since the start of 2016. Wang Chen’s Serenity Capital had 1.01 million shares at the end of the second quarter. Overall, 15 hedge funds tracked by Insider Monkey held stakes in TAL Education Group (ADR) (NYSE:XRS) at the end of the June quarter.
On the next page, we will continue our discussion of stocks on which Coleman turned bearish in the second quarter.