INVESTING (/INVESTING) 6/12/2014 @ 11:23AM 410 views

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When hedge fund manager titans think alike,
investors are wise to pay attention. At Holdings
Channel (http://www.holdingschannel.com/), we
have reviewed 3,692 13-F filings for the 03/31/2014
reporting period, and noticed that Actavis (NYSE:
ACT (http://finapps.forbes.com/finapps/jsp/finance
/compinfo/CIAtAGlance.jsp?tkr=act)) was held by
11 of the particular managers we have flagged as
titans most widely followed by investors. Actavis
(ACT) is a global, integrated specialty
pharmaceutical company focused on developing,
manufacturing and distributing generic, brand and
biosimilar products. Actavis has global headquarters
in Dublin, Ireland and U.S. administrative headquarters in Parsippany, New
Jersey, USA.
It is not every day we see this many notable hedge fund managers thinking
alike, so we wanted to take a closer look.
Click here to find out 10 S&P 500 Components Hedge Funds Are Buying
(http://www.holdingschannel.com/top/spx/)
Before we continue, it is important to point out that 13-F filings do not tell the
whole story, because these funds are only required to disclose their long
positions with the SEC, but are not required to disclose their short positions. A
fund making a bearish bet against a stock by shorting calls, for example, might
also be long some amount of stock as they trade around their overall bearish
Joel Kornblau (http://www.forbes.com/sites/joelkornblau/) Contributor
I focus on income investing and sector trading.
Opinions expressed by Forbes Contributors are their own.
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position. This long component could show up in a 13-F filing and everyone
might assume the fund is bullish, but this tells only part of the story because
the bearish/short side of the position is not seen.
Having given that caveat, we believe that looking at groups of 13-F filings can
be revealing, especially when comparing one holding period to another. Below,
lets take a look at the change in ACT positions for each of the titans that
reported holding some amount of ACT at 03/31/2014:
Fund Manager New
Position?
Change In
Share Count
Change In
Market Value ($
in 1000s)
Steven Cohen (http://www.holdingschannel.com/top/stocks-held-by-steven-
cohen/) (SAC (http://www.holdingschannel.com/13f/sac-capital-advisors-
lp-top-holdings/))
Existing +26,676 +$7,631
Leon Cooperman (http://www.holdingschannel.com/top/stocks-held-by-
leon-cooperman/) (Omega Advisors (http://www.holdingschannel.com
/13f/cooperman-leon-g-top-holdings/))
NEW +264,093 +$54,364
Jeremy Grantham (http://www.holdingschannel.com/top/stocks-held-by-
jeremy-grantham/) (GMO (http://www.holdingschannel.com/13f/grantham-
mayo-van-otterloo-co-llc-top-holdings/))
Existing -16,990 -$2,805
Joel Greenblatt (http://www.holdingschannel.com/top/stocks-held-by-
joel-greenblatt/) (Gotham Asset Management
(http://www.holdingschannel.com/13f/gotham-asset-management-llc-top-
holdings/))
NEW +10,597 +$2,122
Ken Griffin (http://www.holdingschannel.com/top/stocks-held-by-
ken-griffin/) (Citadel (http://www.holdingschannel.com/13f/citadel-advisors-
llc-top-holdings/))
Existing +630,400 +$148,950
Andreas Halvorsen (http://www.holdingschannel.com/top/stocks-held-by-
andreas-halvorsen/) (Viking Global (http://www.holdingschannel.com
/13f/viking-global-investors-lp-top-holdings/))
Existing -1,840,379 -$267,869
Daniel Loeb (http://www.holdingschannel.com/top/stocks-held-by-daniel-
loeb/) (Third Point (http://www.holdingschannel.com/13f/third-point-llc-top-
holdings/))
Existing +2,485,000 +$512,105
John Paulson (http://www.holdingschannel.com/top/stocks-held-by-
john-paulson/) (Paulson & Co. (http://www.holdingschannel.com
/13f/paulson-co-inc-top-holdings/))
NEW +300,000 +$61,755
Barry Rosenstein (http://www.holdingschannel.com/top/stocks-held-by-
barry-rosenstein/) (Jana Partners (http://www.holdingschannel.com
/13f/jana-partners-llc-top-holdings/))
Existing +404,990 +$102,175
Jim Simons (http://www.holdingschannel.com/top/stocks-held-by-
jim-simons/) (Renaissance Tech (http://www.holdingschannel.com
/13f/renaissance-technologies-llc-top-holdings/))
Existing +204,311 +$49,538
George Soros (http://www.holdingschannel.com/top/stocks-held-by-
george-soros/) (Soros Fund Management
(http://www.holdingschannel.com/13f/soros-fund-management-llc-top-
holdings/))
Existing +10,000 +$3,005
Aggregate Change: +2,478,698 +$670,971
In terms of shares owned, we count 6 of the identified titans above having
increased existing ACT positions from 12/31/2013 to 03/31/2014, with 2
having decreased their positions and 3 new positions.
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Looking beyond these particular hedge funds of interest, we tallied up the ACT
share count in the aggregate among all of the funds which held ACT at the
03/31/2014 reporting period (out of the 3,692 we looked at). We then
compared that number to the sum total of ACT shares those same funds held
back at the 12/31/2013 period, to see how the aggregate share count held by
hedge funds has moved for ACT. We found that between these two periods,
hedge funds increased their holdings by 12,931,739 shares in the aggregate,
from 140,614,876 up to 153,546,615 for a share count increase of
approximately 9.20%. The overall top three hedge funds holding ACT on
03/31/2014 were:
Fund Shares of ACT
Held
1. FMR LLC (http://www.holdingschannel.com/13f/fmr-llc-top-holdings/) 16,652,982
2. Vanguard Group Inc. (http://www.holdingschannel.com/13f/vanguard-group-inc-top-holdings/) 8,722,318
3. Wellington Management Co. LLP (http://www.holdingschannel.com/13f/wellington-management-
co-llp-top-holdings/)
7,752,920
4-10Find out the full Top 10 Hedge Funds Holding ACT (http://www.holdingschannel.com/hedge-
funds/holding-act/)
Well keep following the latest 13-F filings
(http://www.holdingschannel.com/13f/latest-
filings/) by hedge fund managers and bring you
interesting stories derived from a look at the
aggregate information across groups of managers
between filing periods. While looking at individual
13-F filings can sometimes be misleading due to the
long-only nature of the information, the sum total
across groups of funds from one reporting period to
another can be a lot more revealing and relevant,
providing interesting stock ideas that merit further
research, like Actavis (NYSE: ACT
(http://finapps.forbes.com/finapps/jsp/finance
/compinfo/CIAtAGlance.jsp?tkr=act)).
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