Mr. Citrone Boosted Stake in Amazon.com Inc. (NASDAQ:AMZN) during Q1
– Number of shares owned by Discovery as of March 31: 558,028
– Value of Discovery’s holding as of March 31: $341.36 Million
Robert Citrone’s Discovery upped its Amazon.com Inc. (NASDAQ:AMZN) stake by 339,533 shares during the first three months of 2016, which marked a massive increase of 155% quarter-on-quarter. The 558,028-share stake was worth $341.36 million on March 31, making up 4.9% of the fund’s entire portfolio. Amazon is expanding its restaurant delivery business to include the largest city in the U.S., New York City. All members of Amazon’s Prime Now subscription program, who pay a $99 fee for the annual Prime membership, will be able to order meals from more than 350 Manhattan restaurants. However, Manhattan is an extremely competitive market for all players in the restaurant delivery business, with Postmates, DoorDash and GrubHub being among the main players in the region that enable customers to place restaurant orders through their apps. Amazon shares are up 4% since the start of 2016 after advancing an impressive 34% in the past three months. Andreas Halvorsen’s Viking Global reported owning 3.44 million shares of Amazon.com Inc. (NASDAQ:AMZN) in its 13F filing for the first quarter.
Discovery Increases Exposure to Broadcom Ltd (NASDAQ:AVGO) by 165%
– Number of shares owned by Discovery as of March 31: 1.79 Million
– Value of Discovery’s holding as of March 31: $276.69 Million
The Connecticut-based hedge fund owns 1.79 million shares of Broadcom Ltd (NASDAQ:AVGO) as of March 31, up 1.12 million shares relative to the stake recorded at the end of December. The pool of 1.79 million shares owned by Discovery was worth $276.69 million at the end of March and constituted 4.0% of the fund’s portfolio. Broadcom, the successor of the $37 billion Broadcom-Avago Technologies merger, represents a long-time supplier of communication chips to Apple Inc. (NASDAQ:AAPL). Just recently, analysts at Nomura slashed the price target on Broadcom to $190 from $200 and reiterated their ‘Buy’ rating, citing weak demand for iPhones. Nomura said that iPhone 6s inventories are declining slower-than-anticipated, so the firm cut Broadcom’s fiscal 2016 earnings estimates to $9.09 per share from $9.49 a share. The shares of Broadcom are down 2% since the beginning of 2016 despite having gained 11% in the past three months. Dan Loeb’s Third Point LLC disclosed an ownership of 1.30 million shares of Broadcom Ltd (NASDAQ:AVGO) in its latest 13F.