Medium-cap, Large-cap, Small-cap. This is how the top three stock picks of Hugh Hendry’s Eclectica Asset Management, which has reported its holdings for the second quarter of 2014 may be described shortly. The London-based investor has around $130 million assets under management and generally loves macro and industry bets, but has individual companies as well, which range from the tech industry to oil and gas.
This quarter, the investor has bought 122,300 shares worth $7 million in Franco-Nevada Corporation (NYSE:FNV), an $8.7 billion medium sized Canadian gold-focused royalty and stream company with interests in platinum, oil and gas. Year-to-date Franco-Nevada Corporation (NYSE:FNV)’s stock is up by an impressive 49%, mostly on strong earnings results. In the most recent quarter, Franco-Nevada Corporation (NYSE:FNV) reported an increase in revenue of 15% over the second quarter of 2013, to $107.7 million. Adjusted net income stood at $36 million or $0.24 per share. According to the company’s CEO, David Harquail, the strong results are due to Franco-Nevada Corporation (NYSE:FNV)’s diversified portfolio and this quarter a big chunk of the contribution to the growth is attributed to the oil and gas assets. In addition to Hugh Hendry, Jorge Paulo Lemann‘s 3G Capital owns the stock with 200,000 shares worth $9 million.
Another new acquisition that became the second largest of Hugh Hendry’s portfolio, is Amazon.com, Inc. (NASDAQ:AMZN), where the investor has purchased 15,250 shares which have a total market value of $4.8 million. The London-based hedge fund has seen opportunity in a stock that fell close to 20% year-to-date as investors grow increasingly tired waiting for the company to turn profitable. In the second quarter Amazon.com, Inc. (NASDAQ:AMZN) reported a net loss of $0.27 per share or $125 million missing analysts’ expectations of a loss of just $0.14-a-share or $64 million. The total sales, however, were in line with the analysts’ expectations and Amazon.com, Inc. (NASDAQ:AMZN)’s own guidance, showing an increase of 23 percent year-over-year, to $19.34 billion. The company is also owned by Ian Mukherjee‘s Amiya Capital, who acquired in the most recent quarter 26,500 shares worth $9 million.
Veeco Instruments Inc. (NASDAQ:VECO), a 1.4 billion market cap LED manufacturer has seen its stock jump close to 7% year-to-date, slightly beating the NASDAQ Composite Index by 1.5%. Hugh Hendry seems to be bullish on the stock, increasing its position by 27,800 shares, to 117,500 in the second quarter. The total value of the Veeco Instruments Inc. (NASDAQ:VECO) stake is worth around $4.3 million. In addition to Eclectica, Boykin Curry‘s Eagle Capital Management owns 2.66 million shares worth $111 million
Disclosure: None
