Should You Follow This Fund Into Its Bets on Cheniere Energy, Inc. (LNG), FleetCor Technologies, Inc. (FLT) & Two Other Companies?

Valinor Management, LLC is a hedge fund based in New York. It was founded by David Gallo in 2007. Valinor manages an equity portfolio worth over $3 billion, according to its 13F filing for the end of September, compared to $2.91 billion it reported as of the end of June.

Valinor returned 10.73% from 28 of its long holdings in companies with market caps above $1.0 billion, according to our calculations. Four of these holdings are Cheniere Energy, Inc. (NYSEAMEX:LNG), Constellation Brands, Inc. (NYSE:STZ), FleetCor Technologies, Inc. (NYSE:FLT) and Air Products & Chemicals, Inc. (NYSE:APD). 

Our research proves that mimicking hedge funds for their long positions in companies with a market cap of at least $1 billion is a profitable way to pick stocks. For example, in the third quarter, 627 out of 660 funds tracked by us delivered positive returns during the third-quarter from their long positions in those stocks, based on the size of those positions on June 30. We recommend investors consider hedge funds’ long stock picks for their market-beating potential.

Cheniere Energy, Inc. (NYSEAMEX:LNG) saw Valinor trim its stake by 39% during the third quarter as its shares gained 16.1%. In this way, the fund held 4.32 million shares worth $188.52 million at the end of September. Overall, at the end of the second quarter, 42 funds from our database held shares of Cheniere Energy , down from 49 funds a quarter earlier. Among them, Icahn Capital LP held the most valuable stake in Cheniere Energy, Inc. (NYSEAMEX:LNG), which was worth $1.23 billion at the end of the second quarter. On the second spot was Baupost Group which amassed $1.12 billion worth of shares. Moreover, Lone Pine Capital, Kensico Capital, and Valinor Management LLC were also bullish on Cheniere Energy, Inc. (NYSEAMEX:LNG).

In Constellation Brands, Inc. (NYSE:STZ), Valinor inched down its position by 3% to 1.30 million shares valued at $216.72 million during the third quarter. Meanwhile, the stock grew by 0.9% in the same period. The number of funds tracked by Insider Monkey long Constellation Brands declined by two to 69 during the second quarter. Lone Pine Capital was the largest shareholder of Constellation Brands, Inc. (NYSE:STZ), with a stake worth $1.10 billion at the end of June. On the second spot was Kensico Capital which amassed $968 millions worth of stock Moreover, Third Point and Egerton Capital Limited also amassed substantial stakes in Constellation Brands, Inc. (NYSE:STZ).

FleetCor Technologies, Inc. (NYSE:FLT), whose stock surged by 21.4% during the third quarter, saw Valinor Management cut its position by 25% to 944,862 shares worth $164.15 million in the same period. Heading into the third quarter of 2016, 52 funds tracked by us held shares of FleetCor, up by 8% from one quarter earlier. The largest stake in FleetCor Technologies, Inc. (NYSE:FLT) was held by Lone Pine Capital, which reported holding $823.1 million worth of stock as of the end of June. It was followed by Tiger Global Management LLC with a $466.6 million position. Other investors bullish on the company included OZ Management, Blue Ridge Capital, and Soroban Capital Partners.

Valinor Management decreased its position in Air Products & Chemicals, Inc. (NYSE:APD) by 12% over the quarter to 1.18 million shares valued at $164.44 million at the end of September. The stock gained 5.8% during the third quarter. During the second quarter, the number of funds followed by our team bullish on Air Products & Chemicals declined to 56 from 58. The largest stake among these funds was reported by Pershing Square, which held $1.08 billion worth of stock at the end of June. Trailing Pershing Square was Viking Global, which amassed a stake valued at $986.4 million. OZ Management, Adage Capital Management, and Blue Ridge Capital also held valuable positions in the company.

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