Stock Market News & Stocks to Watch from StraightStocks » America Movil

MetroPCS Upgraded to Neutral – Analyst Blog

Zacks Market Commentaries — Tue, 24 Nov 2009 16:00:11 +0000

We upgrade our recommendation for MetroPCS Communications (PCS) to Neutral following the company’s better-than-expected operating results in the last quarter. Reported earnings have outpaced the Zacks Consensus Estimate fueled by healthy revenue growth across the company’s Core and Northeast markets. MetroPCS is benefiting from its new unlimited international calling plan which is driving revenue per user.

MetroPCS remains a leading low-cost service provider in the unlimited prepaid market in the US and will continue to benefit from the ongoing wireline replacement trend. The company is increasingly focused on strengthening its position in the unlimited prepaid segment by broadening its portfolio of discounted service plans.

MetroPCS has initiated several steps to counter intense competition and drive subscriber accretion. The company is rolling out new product/services, upgrading network infrastructure and entering additional markets for growth.

The company is currently enjoying meaningful traction in the Northeast region, which is evidenced by healthy subscriber growth. Gains from the Northeastern markets continue to offset declines in Core markets (including Atlanta, Dallas, Las Vegas, Los Angeles and San Francisco). A significant part of MetroPCS’ network infrastructure deployment initiatives is centered on the lucrative Northeast region.

MetroPCS has joined the league of the top-tier US wireless carriers such as Verizon (VZ) and AT&T (T) as the company recently declared vendors for its 4G Long Term Evolution (LTE) wireless broadband service. MetroPCS has selected Ericsson (ERIC) as network infrastructure vendor and Samsung as the supplier of LTE enabled handsets.

The company plans to launch 4G LTE service and several dual-mode smartphones across its metropolitan markets in second-half 2010. The ultra high bandwidth multimedia data applications supported by the 4G LTE network will boost revenue per user through increased minutes of use.

However, despite these encouraging growth prospects, MetroPCS contends with subscriber retention problems as customer accretion continues to decelerate on a sequential basis due to intense competition in the prepaid wireless segment. The company is experiencing sustained customer attrition in its legacy Core markets.

Churn (customer switch) level remains high due to increased customer defection as the company’s larger peers in the prepaid market such as Sprint Nextel (S) and America Movil’s (AMX) Tracfone continue to lure subscribers with competitive service plans and better product offerings.

While expansion into the Northeastern markets is expected to drive future growth, we feel that associated capital expenditures will strain balance sheet moving forward.
Read the full analyst report on "PCS"
Read the full analyst report on "VZ"
Read the full analyst report on "T"
Read the full analyst report on "ERIC"
Read the full analyst report on "S"
Read the full analyst report on "AMX"
Zacks Investment Research

Mexico Sets Spectrum Auction Rules – Analyst Blog

Zacks Market Commentaries — Tue, 24 Nov 2009 15:20:15 +0000

The Mexican government has finally announced the bidding rules to kick off the upcoming wireless spectrum (radio bandwidth) auction in the country. The Mexican telecom regulator Cofetel released details of radio-electric spectrum to be offered to the qualified bidders through two separate auctions. However, no specific date of the auction has been announced.

In the first auction, Cofetel will offer nine blocks of frequencies ranging from 1850 to 1990 megahertz (MHz) across eight of Mexico’s nine wireless operating regions including the capital Mexico City. The regulator will also offer seven blocks of spectrums between 1710 MHz and 2170 MHz band in the second auction which will cover all nine operating regions.

Technical specification of the two acutions will be released between Jan 6 and Jan 8, 2010. Interested bidders need to get approval from the Mexican antitrust watchdog Federal Competition Commission (CFC). Eventual winners at the second auction (1710 MHz and 2170 MHz) will get nationwide coverage and secure the necessary bandwidth frequency that supports 3G wireless services, enabling a wider range of advanced services (high-speed transmission of voice, data, and video).

The impending spectrum auction, which was announced in late 2007, was delayed due to prolonged negotiations between the CFC, Cofetel and the Mexican Communications and Transportation Ministry. The auction is aimed at fostering growth of incumbent operatros while opening the door for new wireless entrants which will enable more competitive services in the country.

With approximately 74% mobile penetration, the Mexican wireless market still offers ample opportunity for growth vis-à-vis the other major markets in Latin America. Despite the economic headwinds, the country’s cellular market continues to grow at a respectable pace. Through its largest subsidiary Telcel, America Movil (AMX) dominates the Mexican wireless market with roughly 72% share facilitated by its well-known brand, extensive distribution network and nationwide coverage.

Spanish telecom giant Telefonica’s (TEF) Movistar is the second-largest player in the Mexican wireless market with 20% share. Movistar is desperately seeking more bandwidth capacity to roll out 3G services in Mexico City which will enable it to more effectively compete with Telcel.

Both America Movil and Telefonica will be the principal bidders in the forthcoming spectrum auction. The other leading participant in the bidding war is expected to be Mexico’s largest media company Grupo Televisa (TV) which is gearing up to offer wireless services in Mexico through its cable unit Cablevision. Moreover, smaller domestic mobile operators like Grupo Iusacell and NII Holdings’s (NIHD) Latin American mobile unit Nextel Mexico may also bid at the auction.

The upcoming spectrum auction is designed to open the Mexican wireless telephony market to more competition and reduce monopolistic trends in this industry. Moreover, it will further boost mobile phone demand in Mexico driven by the wider access to advanced data applications enabled by 3G technology. This will help operators to lure subscribers by offering premium applications (including bundled services) on high-speed network, thereby creating opportunity to boost data revenue growth.
Read the full analyst report on "AMX"
Read the full analyst report on "TEF"
Read the full analyst report on "TV"
Read the full analyst report on "NIHD"
Zacks Investment Research

PCS Profit Soars, but Churn Rises – Analyst Blog

Zacks Market Commentaries — Thu, 05 Nov 2009 21:56:52 +0000

Leading unlimited wireless carrier MetroPCS Communications (PCS) reported better-than-expected third-quarter 2009 results with earnings per share (EPS) of 21 cents outpacing the Zacks Consensus Estimate of 9 cents, as well as the prior-year quarter EPS of 13 cents. Net income increased 64% year over year to $73.6 million, driven by healthy revenue growth across all segments.

Revenue & EBITDA

Consolidated revenues of $895.6 million reflect 30.4% year-over-year increase, fuelled by 33% annualized growth in service revenue that reached $812.3 million (91% of total sales). Equipment revenue was $83.3 million, up 9.5% year over year.

Revenues at the Core Markets segment increased 18.6% year over year to $809 million. Northeast Markets revenues grew to $87 million from $5 million reported a year-ago. Consolidated adjusted EBITDA increased 35% year over year to $272 million.

ARPU & Churn

Reported ARPU (average revenue per user) of $41.08 represents an improvement from $40.73 reported in the year-ago quarter, driven by the success of the company’s new unlimited international calling plan. Monthly average churn rate (a measure of customer attrition) rose to 5.8% from 4.8% registered in the prior-year quarter.

Despite its leading position in the unlimited prepaid segment, MetroPCS is struggling with customer retention. The company has been increasingly challenged by the aggressive roll-out of competitive discounted service plans by rival Leap Wireless (LEAP) and some of its larger peers such as Sprint Nextel (S) and America Movil’s (AMX) Tracfone.

Subscriber Trends

Net subscriber additions in the quarter were 66,157, down from 205,585 customers added in the previous quarter and 249,265 additions registered in the year-ago quarter. The company lost 54,441 customers in its Core Markets while adding 120,598 customers in the Northeast markets.

Consolidated penetration of covered population in the quarter was 7.1%, compared to 7.9% in the prior-year quarter. MetroPCS’ unlimited nationwide services are now available in more than 11,000 cities and towns across the U.S. At the end of the quarter, the company served approximately 6.3 million customers.

Financial Condition

The balance sheet remains leveraged for MetroPCS, as total debt of approximately $3.6 billion represents an increase from roughly $3.1 billion reported at the end of 2008. The company exited the quarter with consolidated cash and marketable securities of approximately $1.2 billion.

MetroPCS generated positive free cash flow (cash flow from operations less capital expenditure) of approximately $143 million for the first nine months of 2009, compared to a negative free cash flow of $133 million registered for the same period a year-ago.

Outlook

MetroPCS has updated its financial and operational guidance for 2009. The company now expects consolidated net subscriber additions for the year to be in the range of 1 million to 1.2 million, down from 1.4 million to 1.7 million as per previous guidance. Consolidated adjusted EBITDA is projected to be within the range of $850 million to $950 million, also a decline from the earlier forecast of $0.9 billion to $1.1 billion.

However, the company continues to project consolidated capital expenditures in the range of $0.7 billion to $0.9 billion and expects to generate positive free cash flow in 2009.

MetroPCS is increasingly focused on strengthening its position in the unlimited prepaid market by broadening its portfolio of discounted service plans. Moreover, the company continues expand its footprint in the lucrative Northeast markets.

However, MetroPCS is expected to remain challenged by subscriber retention problems as Tier-1 national carriers such as AT&T (T) and Verizon (VZ) continue to attract customers with better product/service offerings. While expansion into Northeastern US markets may drive future growth, we feel that associated expenditures may strain balance sheet conditions moving forward.
Read the full analyst report on "PCS"
Read the full analyst report on "LEAP"
Read the full analyst report on "S"
Read the full analyst report on "AMX"
Read the full analyst report on "T"
Read the full analyst report on "VZ"
Zacks Investment Research

AMX Tops, Subscriber Growth Dips – Analyst Blog

Zacks Market Commentaries — Thu, 29 Oct 2009 16:45:00 +0000

America Movil (AMX) reported results for third-quarter 2009 with earnings per ADS of 86 cents edging past the Zacks Consensus Estimates of 85 cents while increasing 22.6% from the year-ago earnings per ADS of 70 cents. Net profit surged 50.6% year over year to 18.7 billion pesos (US$1.4 billion) or 0.57 pesos per share. This healthy growth was fuelled by higher revenue and lower financing costs which fell 82.5% year over year due to gains stemming from favorable exchange rate swings.

Revenue & EBITDA Latin America’s largest wireless carrier continues to register a double-digit revenue growth as evident from the 16.9% year over year increase in consolidated revenue in the quarter to 99.8 billion pesos (US$7.5 billion), driven by 19.5% growth in service revenue. Revenue growth was supported by healthy business momentum across 3G wireless and broadband Internet businesses.

Consolidated EBITDA for the quarter was 40.4 billion pesos (US$3.1 billion), up 15.9% year-over-year, while EBITDA margin equated to 40.5%, stable year over year. Subscriber Trend Healthy earnings for the quarter was partially offset by a deceleration in subscriber growth, especially due to lackluster contribution from the core Mexican operation as overall economic conditions remain challenging.

The company registered 4 million new wireless subscriber additions in the quarter, reflecting a sharp decline from 7.3 million reported the year-ago quarter. Total wireless subscriber base increased to 194.3 million (up 12.6% year over year) with the Brazilian and US operations being the major contributors. Brazil continues to lead the growth with 1.8 million net additions followed by US with 712,000 and Mexico with 280,000 additions.

The economic recovery in Brazil boosted strong subscriber accretion in the quarter. Fixed-line customer base reached 3.8 million. Results by Key Markets Mexico, America Movil’s largest market, posted 5.2% year over year growth in revenues that reached 35.6 billion pesos (US$2.7 billion) driven by strong data revenue growth. Mexican ARPU (average revenue per user) declined marginally year over year while churn (customer switch) remained flat.

Revenue from the Brazilian operation, the other major market, increased 4.6% year over year while churn increased from the year-ago quarter. Brazilian ARPU fell 10.1% year over year. Revenue for the Argentina, Paraguay and Uruguay cluster increased 18.4% year over year while ARPU and churn both increased from the year ago quarter. The company’s US operation (Tracfone) posted 13.8% year over year revenue growth while churn increased from the prior year quarter.

Revenue increased year over year across Chile , Ecuador and Peru while declining in Columbia and Panama cluster. Opportunities & Challenges America Movil remains committed to improve service offerings to its customers as the company continues to invest aggressively to expand its GSM based cellular networks in Latin America.

Momentum is also building up for 3G services as increased penetration of 3G data services catapulted data revenue growth by 58% in the third quarter. The company’s 3G services now cover 70% of the population in its coverage markets in Latin America . Leveraging its 3G network, the company launched iPhone 3GS in July 2009 in six countries across Central and South America.

America Movil’s 3G network has already covered 16 major Mexican cities with 60% penetration of the population expected through 2009. America Movil’s prospects in wireless are also likely to be boosted by its low priced prepaid wireless services (“Straight Talk") which is being sold through Wal-Mart (WMT) in the US.

The company’s Tracfone US subsidiary is currently offering a $45 monthly unlimited calling plan which is aggressively positioned against the plans offered by other major low-cost carriers such as MetroPCS (PCS), Leap Wireless (LEAP) and Sprint (S). Although America Movil has a commanding position in the Mexican wireless market, it is gradually losing market share due to stiff competition from the Spanish telecom giant Telefonica (TEF).

Additionally, America Movil remains significantly challenged by the intensely competitive Brazilian wireless market. While we remain encouraged by the company’s sustainable earnings power, consistent revenue growth and increased penetration of 3G data services, we are concerned about the competitive and regulatory issues across Latin America which may continue to constrict subscriber growth levels moving forward.
Read the full analyst report on "AMX"
Read the full analyst report on "TEF"
Read the full analyst report on "PCS"
Read the full analyst report on "S"
Read the full analyst report on "LEAP"
Read the full analyst report on "WMT"
Zacks Investment Research

AT&T Unveils New Pre-Paid Plan – Analyst Blog

Zacks Market Commentaries — Mon, 12 Oct 2009 21:34:10 +0000

AT&T (T) has introduced a new unlimited monthly calling plan for the prepaid wireless market. Starting today, customers subscribing to the company prepaid wireless services receive unlimited voice calls, instant messaging as well as text, picture and video messaging for just $60 a month. However, the plan does not cover iPhone users.

Apart from the U.S., the new unlimited plan covers Mexico, Canada and over 100 countries worldwide. Roaming within the U.S. is free of cost. This prepaid rate plan is about 50% lower than the company’s regular postpaid unlimited (voice and text) service plan.

AT&T offers its prepaid services under the "GoPhone" brand, which does not require the customer to sign long-term contracts and keep a minimum deposit. While the company remains a dominant player in the postpaid market (representing 86% of the company’s total net customer additions), it is struggling to retain customers in the prepaid segment due to more attractive service plans offered by its competition.

The U.S. prepaid unlimited market is characterized by intense price competition as the incumbent players battle to win new customers while retaining the existing accounts. The rationale behind AT&T’s latest move is to respond to the aggressive price plans of its major competitors in this segment.

Sprint Nextel (S) is currently enjoying meaningful traction for its $50 per month unlimited plan (voice, text, data), which was launched in early 2009 by the company’s Boost Mobile prepaid subsidiary. Smaller wireless carriers, such as Deutsche Telecom’s (DT) T-Mobile USA, MetroPCS (PCS) and Leap Wireless (LEAP) are also offering unlimited voice and data plans at cost-effective price points.

MetroPCS continues to be a leading player in the U.S. unlimited prepaid segment with cheap service plans that start as low as $30 per month. Moreover, America Movil’s (AMX) U.S. wireless subsidiary TracFone recently launched a $45 per month unlimited prepaid plan.

The $60 service plan represents a significant discount to AT&T’s current $90 ($3 a day) prepaid monthly unlimited plan, which is more expensive than the competition. While the company’s new unlimited plan is expected to boost opportunities in prepaid, its impact in this price-sensitive market is not expected to be huge given the presence of cheaper and more established competitive price plans.
Read the full analyst report on "T"
Read the full analyst report on "S"
Read the full analyst report on "PCS"
Read the full analyst report on "DT"
Read the full analyst report on "AMX"
Read the full analyst report on "LEAP"
Zacks Investment Research

PCS Reaches More US Markets – Analyst Blog

Zacks Market Commentaries — Fri, 02 Oct 2009 23:29:42 +0000

MetroPCS (PCS), a leading provider of unlimited pre-paid wireless service in the US, has reportedly expanded its national unlimited service coverage to include new markets in the Midwest, Northwest and parts of the Eastern US.

This expansion has nearly doubled the number of cities and towns that MetroPCS serves in the US to more than 11,000. The expanded coverage is being offered to the company's customers (on $40 or higher monthly rate plans) without any additional cost.

MetroPCS offers a broad range of wireless broadband services in the selected metropolitan areas in the US, leveraging its proprietary CDMA technology based network. The company remains one of the lowest cost wireless service providers in the US, which enables it to roll out a range of cheap service plans that start as low as $30 per month.

MetroPCS is currently enjoying meaningful traction in the Northeast region as approximately 94% of the new customer additions came from this region in the most recent quarter. A significant part of the company's network infrastructure deployment initiatives are currently centered in the Northeast region.

Despite a leading position in the unlimited prepaid segment, MetroPCS contends with a customer retention problem as evidenced by significant increase in churn (customer switch) in the last quarter. The company has been increasingly challenged by competitive discounted service plans by some of its larger rivals, such as Sprint Nextel's (S) Boost Mobile, America Movil's (AMX) Tracfone and Deutsche Telekom's (DT) T-Mobile USA.

MetroPCS has initiated several steps to counter intense competition and drive subscriber accretion. The company is broadening its portfolio of discounted price plans, rolling out new product/services and entering new markets for growth. Moreover, MetroPCS has recently collaborated with Ericsson (ERIC) and Samsung for its forthcoming 4G Long Term Evolution (“LTE") wireless broadband service.

While the company's expansion initiatives into new US markets appears encouraging for sustaining subscriber growth, associated expenditures may strain the balance sheet condition.

Read the full analyst report on "PCS"
Read the full analyst report on "S"
Read the full analyst report on "AMX"
Read the full analyst report on "DT"
Zacks Investment Research

Zacks #1 Rank Additions for Tuesday – Zacks Tale of the Tape

Zacks Market Commentaries — Tue, 22 Sep 2009 12:14:23 +0000

Here are the stocks added to the Zacks #1 Rank ("strong buy") List today:

America Movil SAB de CV (AMX)
America's Car-Mart Inc (CRMT)
ATC Technology Corp (ATAC)
ATMI Inc (ATMI)
AXA (AXA)
BHP Billiton Ltd (BHP)
BlackRock Inc (BLK)
Brush Engineered Material (BW)
Carter's Inc (CRI)
The Corporate Executive Board Co (EXBD)
Dynamex Inc (DDMX)
First Midwest Bancorp Inc (FMBI)
Forestar Group Inc (FOR)
Hanger Orthopedic Group Inc (HGR)
HF Financial Corp (HFFC)
HLTH Corp (HLTH)
Kirkland's Inc (KIRK)
Komatsu Ltd (KMTUY)
Lionbridge Technologies Inc (LIOX)
Methode Electronics Inc (MEI)
Neenah Paper Inc (NP)
Orthofix International NV (OFIX)
Packaging Corporation of America (PKG)
Pinnacle Airlines Corp (PNCL)
Piper Jaffray Companies (PJC)
Playboy Enterprises Inc (PLA)
The Steak n Shake Co (SNS)
Stepan Co (SCL)
Sykes Enterprises Inc (SYKE)
Tenaris SA (TS)
Tenet Healthcare Corp (THC)
Tessco Technologies Inc (TESS)
TrueBlue Inc (TBI)
Twin Disc Inc (TWIN)
Universal Technical Institute Inc (UTI)
Walter Energy Inc (WLT)
Warren Resources Inc (WRES)

MetroPCS Expanding Coverage – Analyst Blog

Zacks Market Commentaries — Mon, 24 Aug 2009 17:00:31 +0000

MetroPCS (PCS), a leading provider of unlimited pre-paid wireless service in the US, has reportedly expanded its New York City area service to include additional markets in the Tri-State region. The company has extended its unlimited service footprint to include Long Island, North Central New Jersey, White Plains and New Rochelle in New York, and Stamford and Bridgeport in Connecticut.

This expansion represents a part of MetroPCS’ ongoing initiative to increase its penetration in the lucrative Northeast region. The company entered Las Vegas and Philadelphia during 2008 and launched its low-cost unlimited wireless service in New York and Boston in February 2009, representing a major business expansion.

MetroPCS (PCS) offers a broad range of wireless broadband services (under the MetroPCS brand) in the selected metropolitan areas in the US, leveraging its proprietary code division multiple access (CDMA) technology based network. The company sells its products through self-operated and independent retail outlets.

Despite a leading position in the unlimited prepaid segment, MetroPCS is currently struggling with customer retention problems as evidenced by significant increase in churn (customer switch) in the last quarter. The company has been increasingly challenged by aggressive roll-outs of competitive discounted service plans by some of its larger rivals, most prominently Sprint Nextel’s (S) Boost Mobile, America Movil’s (AMX) Tracfone and Deutsche Telekom’s (DT) T-Mobile USA.

To counter intense competition, MetroPCS is broadening its portfolio of discounted price plans and entering new markets for growth. The company is currently enjoying meaningful traction in the Northeast region, which is reflected in healthy subscriber growth. Approximately 94% of the new customer additions came from this region in the second quarter of 2009. A significant part of the company’s network infrastructure deployment initiatives are currently centered in the Northeast region.

While the company’s expansion initiatives into the Northeastern markets appears encouraging for sustaining subscriber growth, associated expenditures may strain balance sheet condition moving forward.
Read the full analyst report on "PCS"
Read the full analyst report on "S"
Read the full analyst report on "AMX"
Read the full analyst report on "DT"
Zacks Investment Research

AMX- Net widens, subscriber retention challenged – Analyst Blog

Zacks Market Commentaries — Wed, 22 Jul 2009 16:33:00 +0000

After the market close on July 21, 2009, Latin America’s largest wireless carrier America Movil (<a href="http://(AMX)">AMX) reported financial results for the second quarter of 2009. Net profit overflowed both consensus and our expectations surging 27.5% year-over-year to 22.5 billion pesos (US$1.7 billion) or 0.69 pesos (US$1.03) per share. This healthy growth was fuelled by higher revenue, lower subscriber retention costs and foreign exchange gains of 4.8 billion pesos (US$360 million) stemming from the appreciation of Mexican peso against the US dollar.

America Movil continues to register double-digit revenue growth as evident from the 11% year-over-year increase in consolidated revenue in the second quarter to 94 billion pesos (US$7 billion), backed by 15.9% growth in service revenue.

The company’s largest market Mexico posted 2.9% year-over-year growth in revenues to 34.9 billion pesos (US$2.6 billion). Mexican ARPU (average revenue per user) declined from the year-ago quarter while reported churn (customer switch to competitors) reflects year-over-year improvement. ARPU in Brazil, the other major market, declined while churn increased on a year-over-year basis.

However, healthy earnings result was partially offset by decelerated subscriber growth, impacted by the deteriorating economic conditions across Latin America. The company added 3.7 million wireless subscribers in the second quarter, reflecting a steep decline from 6.1 million additions in the year-ago quarter, primarily due to significantly lower new activations in Mexico affected by the swine flu outbreak. Total wireless subscriber base increased to 190.3 million with the Brazilian and US (Tracfone) operations being the major contributors.

America Movil remains committed to improve service offerings to its customers as the company continues to invest aggressively to expand its GSM based cellular networks in Latin America. Momentum is also building up for 3G services as increased penetration of 3G data services in Mexico catapulted data revenue growth by 45% in the second quarter. America Movil’s 3G network has already covered 16 major Mexican cities with 60% penetration of the population expected through 2009.

Although America Movil has a commanding position in the Mexican wireless market, it is gradually losing market share due to stiff competition from Telefonica (<a href="http://(TEF)">TEF). While we are encouraged by the company’s operating performance and future business prospects, we remain concerned with competition and economic and regulatory issues across Latin American markets which may continue to constrict subscriber growth levels moving forward. Consequently, we maintain our Hold rating on America Movil.
Read the full analyst report on "AMX"
Read the full analyst report on "TEF"
Zacks Investment Research

Zacks Analyst Blog Highlights: America Movil, Apple Inc, Telefonica, Exxon Mobil Corp. and Chevron Corp. – Press Releases

Zacks Market Commentaries — Tue, 14 Jul 2009 12:53:19 +0000

For Immediate Release

Chicago, IL – July 14, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: America Movil (AMX), Apple Inc (AAPL), Telefonica (TEF), Exxon Mobil Corp. (XOM) and Chevron Corp. (CVX).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Monday’s Analyst Blog:

America Movil Battles Movistar

The latest iPhone model offers superior features and functionality compared to the iPhone 3G, including faster processor speed, improved battery life and a better camera.

Through its largest subsidiary Telcel, America Movil currently dominates the Mexican wireless market facilitated by its well-known brand, extensive distribution network, nationwide coverage and the country’s benign regulatory environment. The company’s share of the Mexican wireless market was nearly 71% in 2008, with 65% wireless penetration.

America Movil launched its 3G services in Mexico in February 2008 and became the first and only carrier to adopt these 3G offerings. Leveraging its 3G network, the company launched iPhone 3G in Mexico in July 2008, followed by subsequent roll-outs in 10 additional Latin American markets.

Although America Movil still commands a major share of the Mexican wireless market, it is gradually losing its position due to stiff competition from Telefonica’s (TEF) Movistar, which has recently completed commercial launch of its 3.5G wireless network across several Mexican cities -- representing a major network advancement.

Additionally, introduction of mobile number portability (subscribers can switch operators without losing their phone numbers) in July 2008 has increased subscriber churn (customers switching to competitors) as more are more customers are migrating to Movistar. Further, America Movil remains significantly challenged by the intensely competitive Brazilian wireless market.

The upcoming launch of the iPhone 3GS is expected to help America Movil to counter competition in a more effective manner. The high-profile handset will essentially boost customer adoptions of the company’s 3G services, thereby stimulating ARPU (average revenue per user) growth while reducing subscriber churn.

We reiterate our Hold rating for America Movil as investment risks across key markets, regulatory issues and weak inflationary/currency conditions may limit the company’s financial performance in the upcoming reporting periods.

Exxon Wins New Drilling Permit

On Friday, July 10, Exxon Mobil Corp. (XOM), the world’s largest publicly traded oil company, gained a permit from Norway’s top petroleum resources regulatory agency, the Norwegian Petroleum Directorate (NPD), to drill wellbore 25/8-17 in production license 027 D.

The Texas-based oil giant plans to drill wildcat wells (well drilled in an area where no current oil or gas production exists) on the license using semi-submersible facility Bredford Dolphin. Exxon Mobil has a 50% operated interest in the production license 027 D, which was awarded in December 2007. Well 25/8-17 is located just south of the company’s Jotun field project in North Sea and is the second well drilled on the production license.

One of the largest oil and gas producers on the Norwegian continental shelf, Exxon’s recent award demonstrates its global approach to the identification and pursuit of quality hydrocarbon resources and exploration opportunities.

We currently have a Buy recommendation on this large-cap integrated player. Exxon Mobil’s relatively low-risk energy conglomerate business structure, its fortress balance sheets, ample free cash flow even in a low price environment and growing dividends are well suited for uncertain times like these. Our other Buy-rated name in this space is Chevron Corp. (CVX).

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.

Contact:
Mark Vickery
Web Content Editor
312-265-9380
Visit: www.zacks.com

Zacks Investment Research

America Movil Battles Movistar – Analyst Blog

Zacks Market Commentaries — Mon, 13 Jul 2009 20:40:54 +0000

America Movil (AMX), the leading provider of wireless services in Latin America, has announced its plan to launch the highly anticipated iPhone 3GS, an upgraded version of Apple Inc’s (AAPL) iPhone 3G, in six countries across central and south America by July 31, 2009. The company will initially commercialize the new device in Mexico, Columbia, Guatemala, El Salvador, Uruguay and the Dominican Republic, which will be followed by expansion to other markets under its coverage universe.

The latest iPhone model offers superior features and functionality compared to the iPhone 3G, including faster processor speed, improved battery life and a better camera.

Through its largest subsidiary Telcel, America Movil currently dominates the Mexican wireless market facilitated by its well-known brand, extensive distribution network, nationwide coverage and the country’s benign regulatory environment. The company’s share of the Mexican wireless market was nearly 71% in 2008, with 65% wireless penetration.

America Movil launched its 3G services in Mexico in February 2008 and became the first and only carrier to adopt these 3G offerings. Leveraging its 3G network, the company launched iPhone 3G in Mexico in July 2008, followed by subsequent roll-outs in 10 additional Latin American markets.

Although America Movil still commands a major share of the Mexican wireless market, it is gradually losing its position due to stiff competition from Telefonica’s (TEF) Movistar, which has recently completed commercial launch of its 3.5G wireless network across several Mexican cities -- representing a major network advancement.

Additionally, introduction of mobile number portability (subscribers can switch operators without losing their phone numbers) in July 2008 has increased subscriber churn (customers switching to competitors) as more are more customers are migrating to Movistar. Further, America Movil remains significantly challenged by the intensely competitive Brazilian wireless market.

The upcoming launch of the iPhone 3GS is expected to help America Movil to counter competition in a more effective manner. The high-profile handset will essentially boost customer adoptions of the company’s 3G services, thereby stimulating ARPU (average revenue per user) growth while reducing subscriber churn.

We reiterate our Hold rating for America Movil as investment risks across key markets, regulatory issues and weak inflationary/currency conditions may limit the company’s financial performance in the upcoming reporting periods.
Read the full analyst report on "AMX"
Read the full analyst report on "AAPL"
Read the full analyst report on "TEF"
Zacks Investment Research

Millicom Seeks to Lower Leverage – Analyst Blog

Zacks Market Commentaries — Thu, 09 Jul 2009 15:28:34 +0000

Millicom is Consolidating its Balance Sheet

Millicom International Cellular S.A. (MICC), a Luxemburg-based leading global wireless service provider in various emerging markets, is exploring all options to improve its highly leveraged balance sheet.

The company had approximately $2.2 billion of total debt and $729 million of cash & cash equivalent at the end of the first quarter 2009. Management has taken several decisions, the first of which is to reduce its capital expenditure.

Historically, Millicom has benefited from the huge capital expenditure it had undertaken to expand and upgrade networks, which resulted in significant subscriber growth and record revenue. Since a major part of fiscal 2008 capital spending was earmarked to improve network coverage, it is expected that the company will now benefit from service expansion.

Management has stated that capital spending will decrease to $850 million in 2009, compared to $1.43 billion in the previous year, improving the company’s ability to generate sizable positive free cash.

Secondly, Millicom’s strategy of offering prepaid cards through mass-market distribution and non-traditional channels, such as street vendors and freelance distributors, has proven to be effective. This method enables the company to keep costs low and margins high.

EBITDA margin reached 45% during the first quarter of 2009, which was the long-run target announced by management. The company guided EBITDA margin to remain near 45% in fiscal 2009, a respectable level for telecommunications carriers.

Thirdly, Millicom has decided to disinvest its Asian operations consisting of Cambodia, Sri Lanka and Laos. The major concerns in these markets for Millicom are increased competition and an extremely tight credit market. The Asian region contributed just 8% of the company’s total revenue and its EBITDA contribution is even lower at 6% of the total.

Overall ARPU in Asia was just $6.2 in the first quarter of 2009, compared to $6.6 in the previous quarter and a massive $8.7 in the year-ago quarter. Disinvestment of Asian operation is expected to provide $500 million - $600 million of cash.

Millicom’s other operations in Central America, Latin America and African regions are performing in line with its expectations despite stiff competition from several global telecom operators like America Movil (AMX), Telekom Argentina (TEO), Telefonica S.A. (TEF), and Telefonos de Mexico (TMX). We maintain Hold recommendation for Millicom.

Read the full analyst report on "MICC"
Read the full analyst report on "AMX"
Read the full analyst report on "TEO"
Read the full analyst report on "TEF"
Read the full analyst report on "TMX"
Zacks Investment Research

Zacks Analyst Blog Highlights: Vivo Participacoes, America Movil, TIM Participacoes, Amylin Pharmaceuticals, Inc. and Eli Lilly. – Press Releases

Zacks Market Commentaries — Tue, 24 Mar 2009 15:27:53 +0000

For Immediate Release

Chicago, IL March 24, 2009 - Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Vivo Participacoes (VIV), America Movil (AMX), TIM Participacoes (TSU), Amylin Pharmaceuticals, Inc. (AMLN) and Eli Lilly (LLY).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=4579.

Here are highlights from Monday's Analyst Blog:

Brazil's Market Overreacts on Vivo

We do believe the market overreacted on Vivo Participacoes (VIV) last Friday. On Friday it was announced that the Brazilian wireless market added 415.9 thousand new customers during the month of February 2009. The number was considered negative by the market -- in February 2008, net additions were 1.27 million.

Additionally Claro, controlled by America Movil (AMX) and TIM Participacoes (TSU) slightly increased their market shares, while Vivo's market share was reduced from 30% in the end of 2008 to 29.80% in February 2009.

Vivo's ADRs were down more than 10%. VIV has been recovering fast in the last 3 months, thus it seems that the news was a great excuse for a profit-taking move.

Amylin Looks Range-Bound

We have been cautious on Amylin Pharmaceuticals, Inc. (AMLN) since the beginning of 2008, and we are still unconvinced that LAR will be approved on its first cycle FDA review. However, with the shares trading at multi-year lows, and the stock down 70% over the past year, the worst may be over for Amylin. Eli Lilly's (LLY) obvious commitment to Byetta and LAR will probably put a floor under further price declines.

News that Amylin will move forward with the LAR filing in mid-2009 is a positive, but we are still unconvinced the drug will be approved on first cycle review. In the meantime, an FDA decision on Byetta as a monotherapy could provide a boost to the shares in the near-term. Looking forward, we are optimistic on the mid-stage obesity pipeline. We see $14 as fair value.

Amylin currently trades at 10x our 2013 EPS estimate of $1.06. The 2013 multiple is a slight premium to the large-cap pharma / biotechnology peer-group average of 8x 2013 EPS. The peer-group consists of several large-cap bellwethers, including Lilly (7x), Merck (7x), Genentech (13x), Amgen (6x), Biogen Idec (10x), Gilead (10x), Celgene (12x) and Genzyme (9x). We feel the current valuation is reasonable.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=2649.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=2677

About Zacks

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Contact:
Mark Vickery
Web Content Editor
312-265-9380
Visit: www.zacks.com

Zacks Investment Research

Maverick Capital Management 13F | Lee Ainslie Hedge Fund Holdings Analysis

Richard C. Wilson — Mon, 22 Sep 2008 12:41:00 +0000

Maverick Capital

Maverick Capital Management Holdings Analysis

This post is being written as part of HedgeFundBlogger.com's Investment Securities Tool which analyzes the holdings of hedge fund managers.

Lee Ainslie started Maverick Capital back in 1993 with $38 million. Nowadays, the fund is worth $10 billion. Ainslie, like many of the other fund managers I've profiled, has a background rooted in learning from legendary great Julian Robertson at Tiger Management. So, due to the fact that these proteges learned from the best and have had great success running their own hedge funds, I continually try to find a reason not to follow these funds. And, needless to say I'm never successful. Some contacts over at Maverick have explained that their hedge fund strategy is straight up stock picking, both long and short. They made it clear though, that they do not employ pairs trades. Although, some of their long/short setups might be in the same sector. They try to hedge their positions like a true hedge fund by picking out the shining stars in certain sectors, as well as identifying the pieces of garbage. Now, of course, this presents us with a problem in that the 13F filings only show long positions (unless they're holding puts on a name, we can see those). So, a good amount of Maverick's portfolio (the entire short side) is unbeknownst to us, because they have reported zero put positions. But, let's look on the bright side in that we can see all their long positions. Maverick uses a value approach (obviously learned from Julian) and one of their most popular metrics is finding companies and comparing their enterprise value to sustainable free cash flow.

So, now that we've got a little background on Maverick, let's see what they were up to. The following are Maverick Capital's current holdings as of June 30th 2008, as released in their most recent 13F filing with the SEC. The positions in this most recent 13F were compared to last quarter's 13F and here are the changes made to their portfolio:

New Positions:
First Solar (FSLR): 1,202,118 shares. This position is 2.93% of Maverick's portfolio.
Lorillard (LO): 3,820,856 shares. This position is 2.36% of Maverick's portfolio.
CVS Caremark (CVS): 5,912,073 shares. This position is 2.09% of Maverick's portfolio.
Netapp (NTAP): 9,331,862 shares. This position is 1.81% of Maverick's portfolio.
ITT Educational Services (ESI): 2,422,090 shares. This position is 1.79% of Maverick's portfolio.
Macy's (M): 9,008,174 shares. This position is 1.56% of Maverick's portfolio.
Hansen Natural (HANS): 5,712,952 shares. This position is 1.47% of Maverick's portfolio.
Polo Ralph Lauren (RL): 2,431,244 shares. This position is 1.36% of Maverick's portfolio.
Dicks Sporting Goods (DKS): 7,589,473 shares. This position is 1.20% of Maverick's portfolio.
Cigna Corp (CI): 2,931,045 shares. This position is 0.93% of Maverick's portfolio.
Digital River Inc (DRIV): 1,974,144 shares. This position is 0.68% of Maverick's portfolio.
Viacom Inc (VIA): 2,442,500 shares. This position is 0.67% of Maverick's portfolio.
Forest Labs (FRX): 1,789,900 shares. This position is 0.56% of Maverick's portfolio.
Lamar Advertising (LAMR): 1,542,918 shares. This position is 0.50% of Maverick's portfolio.
Visa (V): 565,005 shares. This position is 0.41% of Maverick's portfolio.
South Financial Group (TSFG): 50,000 shares. This position is 0.38% of Maverick's portfolio.
Athena Health (ATHN): 1,245,819 shares. This position is 0.34% of Maverick's portfolio.
National City Corp (NCC): 6,625,176 shares. This position is 0.28% of Maverick's portfolio.
Sohu.com Inc (SOHU): 170,485 shares. This position is 0.11% of Maverick's portfolio.
MSCI Inc (MXB): 287,186 shares. This position is 0.09% of Maverick's portfolio.
Universal American (UAM): 1,004,391 shares. This position is 0.09% of Maverick's portfolio.
Comscore (SCOR): 436,640 shares. This position is 0.09% of Maverick's portfolio.
Citizens Republic Bancorp (CRBC): 937,500 shares. This position is 0.02% of Maverick's portfolio.

Added to:
Berkshire Hathaway (BRK.B): Increased position by 1412%. Position is now 0.45% of their portfolio.
Gmarket (GMKT): Increased position by 317%. Position is now 0.19% of their portfolio.
Infinera (INFN): Increased position by 171%. Position is now 0.54% of their portfolio.
American Capital (ACAS): Increased position by 141%. Position is now 0.30% of their portfolio.
Nordstrom (JWN): Increased position by 136.61%. Position is now 2.79% of their portfolio.
America Movil (AMX): Increased position by 129.88%. Position is now 3.91% of their portfolio.
Lexmark (LXK): Increased position by 109.39%. Position is now 1.42% of their portfolio.
Citrix (CTXS): Increased position by 109.36%. Position is now 2.20% of their portfolio.
Bank of New York Mellon (BK): Increased position by 55.42%. Position is now 3.15% of their portfolio.
Baxter Intl (BAX): Increased position by 51.69%. Position is now 2.90% of their portfolio.
Advanced Micro Devices (AMD): Increased position by 45.89%. Position is now 2.87% of their portfolio.
Raytheon (RTN): Increased position by 41.72%. Position is now 2.58% of their portfolio.
Fidelity National Info (FIS): Increased position by 40.56%. Position is now 2.05% of their portfolio.
Covidien (COV): Increased position by 32.99%. Position is now 2.32% of their portfolio.
Liberty Media Corp (LMDIA): Increased position by 28.09%. Position is now 1.59% of their portfolio.
Resmed (RMD): Increased position by 26.46%. Position is now 0.74% of their portfolio.
Burlington Northern (BNI): Increased position by 22.73%. Position is now 1.83% of their portfolio.
Google (GOOG): Increased position by 22.27%. Position is now 1.72% of their portfolio.
Genentech (DNA): Increased position by 21.38%. Position is now 1.40% of their portfolio.
Zimmer Holdings (ZMH): Increased position by 20.28%. Position is now 1.73% of their portfolio.
Cypress Bioscience (CYPB): Increased position by 19.98%. Position is now 0.20% of their portfolio.
Apple (AAPL): Increased position by 19.45%. Position is now 4.09% of their portfolio.
Research in Motion (RIMM): Increased position by 15.41%. Position is now 4.08% of their portfolio.
MetroPCS Comm (PCS): Increased position by 13.6%. Position is now 0.77% of their portfolio.
Home Inns & Hotels (HMIN): Increased position by 7.72%. Position is now 0.54% of their portfolio.
Gilead Sciences (GILD): Increased position by 6.66%. Position is now 2.37% of their portfolio.
Marvell Technology (MRVL): Increased position by 5.24%. Position is now 3.08% of their portfolio.
Newstar Financial (NEWS): Increased position by 5.21%. Position is now 0.14% of their portfolio.
Cardinal Health (CAH): Increased position by 3.33%. Position is now 1.56% of their portfolio.
Amylin Pharma (AMLN): Increased position by 2.84%. Position is now 0.58% of their portfolio.
Discovery Holding (DISCA): Increased position by 1.74%. Position is now 1.21% of their portfolio.
Palm (PALM): Increased position by 1.40%. Position is now 0.51% of their portfolio.
Lumber Liquidators (LL): Increased position by 1.14%. Position is now 0.26% of their portfolio.
China Nepstar (NPD): Increased position by 0.75%. Position is now 0.18% of their portfolio.
First Advantage (FADV): Increased position by 0.65%. Position is now 0.15% of their portfolio.
Under Armour (UA): Increased position by 0.17%. Position is now 0.83% of their portfolio.
Mylan Inc (MYL): Increased position by 0.06%. Position is now 1.09% of their portfolio.
Monsanto (MON): Increased position by 0.04%. Position is now 1.68% of their portfolio.
Potash (POT): Increased position by 0.03%. Position is now 2% of their portfolio.

Reduced positions:
Thermo Fisher (TMO): Reduced their position by 4.91%. Position is now 1.68% of their portfolio.
Western Union (WU): Reduced their position by 10.2%. Position is now 2.08% of their portfolio.
Marsh & Mclennan (MMC): Reduced their position by 12%. Position is now 1.55% of their portfolio.
Textron Inc (TXT): Reduced their position by 18.93%. Position is now 1.44% of their portfolio.
Wyeth (WYE): Reduced their position by 20.6%. Position is now 1.46% of their portfolio.
Leap Wireless (LEAP): Reduced their position by 23.40%. Position is now 0.39% of their portfolio.
Trubion Pharma (TRBN): Reduced their position by 24.38%. Position is now 0.04% of their portfolio.
Dish Network (DISH): Reduced their position by 27.75%. Position is now 1.13% of their portfolio.
Avon Products (AVP): Reduced their position by 33.23%. Position is now 1.36% of their portfolio.
JP Morgan Chase (JPM): Reduced their position by 38.68%. Position is now 0.89% of their portfolio.
Cognizant (CTSH): Reduced their position by 42.97%. Position is now 0.85% of their portfolio.
DirecTV (DTV): Reduced their position by 49.69%. Position is now 0.83% of their portfolio.
Suntrust Banks (STI): Reduced their position by 50%. Position is now 0.16% of their portfolio.
Gamestop (GME): Reduced their position by 51.64%. Position is now 0.81% of their portfolio.
Corcept (CORT): Reduced their position by 57.49%. Position is now 0.01% of their portfolio.
Bluefly (BFLY): Reduced their position by 90%. Position is now 0.11% of their portfolio.
Berkshire Hathaway (BRK.A): Reduced their position by 95%. Position is now 0.66% of their portfolio.

Removed Positions (Positions Maverick sold out of completely):
Hanesbrands (HBI)
Autozone (AZO)
Bankrate (RATE)
CNET (CNET)
Crocs (CROX)
Cumulus Media (CMLS)
Harmonic (HLIT)
Loews (L)
Move Inc (MOVE)
Nucor (NUE)
OfficeMax (OMX)
Qualcomm (QCOM)
Salesforce (CRM)
Sandisk (SNDK)
Sears (SHLD)
Starbucks (SBUX)
UnitedHealth (UNH)

Positions with no change:
VMWare (VMW). Position is 0.59% of their portfolio.
BPW Acquisition (BPW). Position is 0.18% of their portfolio.
FIrst Marblehead (FMD). Position is 0.05% of their portfolio.
Ultra Clean Holdings (UCTT). Position is 0.01% of their portfolio.
Vivus (VVUS). Position is 0.01% of their portfolio.

Top 20 holdings by % of portfolio:
1. Apple (AAPL): 4.09% of the portfolio
2. Research in Motion (RIMM): 4.08% of the portfolio
3. America Movil (AMX): 3.91% of the portfolio
4. Bank of New York Mellon (BK): 3.15% of the portfolio
5. Marvell Tech (MRVL): 3.08% of the portfolio
6. First Solar (FSLR): 2.93% of the portfolio
7. Baxter Intl (BAX): 2.90% of the portfolio
8. Advanced Micro (AMD): 2.87% of the portfolio
9. Nordstrom (JWN): 2.79% of the portfolio
10. Raytheon (RTN): 2.58% of the portfolio
11. Gilead (GILD): 2.37% of the portfolio
12. Lorillard (LO): 2.36% of the portfolio
13. Covidien (COV): 2.32% of the portfolio
14. Citrix (CTXS): 2.20% of the portfolio
15. CVS Caremark (CVS): 2.09% of the portfolio
16. Western Union (WU): 2.08% of the portfolio
17. Fidelity National Info (FIS): 2.05% of the portfolio
18. Potash (POT): 2.00% of the portfolio
19. Burlington Northern (BNI): 1.83% of the portfolio
20. Netapp (NTAP): 1.81% of the portfolio

----------------------------------------------------

Breakdown: Maverick changed up their portfolio a decent amount over the past quarter. Most notable are their changes within their top 10 holdings. Hedge fund favorite Qualcomm (QCOM) was Maverick's 3rd largest holding last filing. This filing, they no longer even hold a position. Additionally, they were selling off chunks of other top 10 holdings from last quarter. They sold off 33% of their position in Avon Products (AVP), which was their 4th largest holding just one quarter ago. They also sold over 51% of their Gamestop (GME) position, which last quarter was their 7th largest holding. With those positions vacating their place in the top 10 holdings of Maverick's portfolio, new holdings obviously took their place. America Movil (AMX), another hedge fund favorite, was Maverick's 9th largest holding last time. This time, they increased their position by 129% and it is now their 3rd largest holding. They obviously used the weakness in this name to add to their position, just like fellow 'Tiger Cub' fund Lone Pine Capital. Maverick also added heavily to Nordstrom (JWN), increasing their position by 136% and making it now their 9th largest holding.

Maverick was out adding to tech across the board. Apple (AAPL) and Research in Motion (RIMM) are their top 2 largest holdings respectively, as they boosted their positions in both by over 14% each. Additionally, they added to their Marvell (MRVL) position, bringing it up to the fund's 5th largest position now. Maverick also continues to build a position in Advanced Micro Devices (AMD), as it now is their 8th largest holding.

Among their new positions this quarter are First Solar (FSLR), Lorillard (LO), and CVS Caremark (CVS). I highlight these three in particular because Maverick started large, new positions in all three names. First Solar (FSLR) was brought up all the way to the fund's 6th largest holding after not even owning shares last quarter. They started a new position in CVS Caremark (CVS) and brought it up to the fund's 15th largest holding. Also, they added heavily to Lorillard (LO) as well, making this new position their 12th largest holding. This position is interesting because we also saw Lone Pine Capital (ran by Stephen Mandel Jr.) start a new position in this exact same name. And, actually, this is not the only position that both Maverick and Lone Pine both started together. In this 13F filing, we see that Maverick started a position in Hansen Natural (HANS). And, Lone Pine recently disclosed that they have a 7.8% stake in HANS. It's definitely common to see many similar positions within the portfolios of various 'Tiger Cub' managers who now run their own funds because they all undoubtedly keep in touch and come from the same school of thought.

One last thing I would like to point out is Maverick selling completely out of various consumer related names. They sold completely out of their positions in Autozone (AZO), Hanesbrands (HBI), Sears (SHLD), Starbucks (SBUX), Crocs (CROX), and OfficeMax (OMX).

You can view their most recent 13F as filed with the SEC here.

Guest post by Market Folly

Free Daily Hedge Fund Newsletter

Related to Investment Securities/Holding Tool:

Permanent Link: Maverick Capital Management 13F Holdings Analysis

Tags: Maverick Capital Management, Maverick Capital Hedge Fund, Maverick Capital New York London, Maverick Capital LP LTD LLC Inc, Maverick Capital Lee Ainslie, Hedge Fund

Blue Ridge Capital Hedge Fund | John A. Griffin Holdings Analysis | New York

Richard C. Wilson — Mon, 22 Sep 2008 10:45:00 +0000

Blue Ridge Capital

Blue Ridge Capital | John A. Griffin Holdings Analysis

This post is being written as part of my Investment Securities Tool which analyzes the holdings of hedge fund managers.

Blue Ridge Capital is ran by John A. Griffin. Griffin is similar to Steve Mandel at Lone Pine Capital and Lee Ainslie at Maverick Capital in that they all are 'Tiger Cubs' (a.k.a. pupils of Julian Robertson while at Tiger Management). Griffin though, is more well known because he was Julian Robertson's right hand man. So, needless to say, the dude knows his stuff. Blue Ridge seeks absolute returns by investing in companies who dominate their industries and shorting the companies who have fundamental problems. And, right off the bat that presents us with a bit of a problem in terms of analyzing 13F's. 13F's don't show short positions, they show long positions (unless the firm is short through puts, which we *can* see). So, the inherent problem with analyzing Blue Ridge (or any fund for that matter) is that we can't see the other side of their portfolio. But, this is increasingly important for Blue Ridge simply due to Griffin's investment strategy and the fact that his long positions could in essence only represent half of the portfolio. Now, I use that loosely because there's no way for me to know exactly how much of his portfolio is short. But, I do know that both Griffin at Blue Ridge and Lee Ainslie over at Maverick Capital (research on him coming later this week) like to effectively hedge with a balance of both long and short positions (like a TRUE hedge fund... not like some of these crazy funds these days with no true hedging). Here's the thing: they don't do pairs trades, so don't classify it as that. In the past, I remember specifically being told by representatives at Maverick that they don't pairs trade, even though a respective long and short could be in the same sector or sub-sector. So, make that distinction clear. But, we'll work with what we've got (and believe me, it's still a lot of solid info).

Before beginning, I would like to give a special shoutout to Alex Prywes for helping me with the daunting task of analyzing 13F filings. Alex has helped gather and sort through the data of numerous hedge funds (including the one below). Thanks to Alex's help, we can now cover even more funds. And, on that note.... onto the 13F!

The following are Blue Ridge Capital's current holdings as of June 30th 2008, as released in their most recent 13F filing with the SEC. The positions in this most recent 13F were compared to last quarter's 13F and here are the changes made to their portfolio:

New Positions:
Anadarko Petroleum (APC): 2,335,000 shares. This position is 4.29% of Blue Ridge's portfolio.
Visa Inc (V): 1,720,000 shares. 3.43% of Blue Ridge's portfolio.
Vulcan materials: 1,500,000 shares. 2.20% of Blue Ridge's portfolio.
Rowan Cos (RDC): 1,800,000 shares. 2.06% of Blue Ridge's portfolio.
Amazon (AMZN): 940,000 shares. 1.69% of Blue Ridge's portfolio.
Goodrich Petroleum (GDP): 650,000 shares. 1.32% of Blue Ridge's portfolio.
Countrywide Financial: 1,433,000 shares. 0.15% of Blue Ridge's portfolio.
Bare Escentuals (BARE): 281,500 shares. 0.13% of Blue Ridge's portfolio.
Nutrisystem (NTRI): 233,000 shares. 0.08% of Blue Ridge's portfolio.

Added to:
Federal National Mortgage (FNM): Increased position by 1104%. Position is now 2.77% of their portfolio.
Greenlight Capital Re Ltd (GLRE): Increased position by 76.5%. Position is now 0.20% of their portfolio.
Wyeth (WYE): Increased position by 62.86%. Position is now 6.71% of their portfolio.
Apple (AAPL): Increased position by 15.65%. Position is now 5.46% of their portfolio.
Grupo Televisa (TV): Increased position by 11.83%. Position is now 4.46% of their portfolio.
Echostar (SATS): Increased position by 9.97%. Position is now 1.61% of their portfolio.
Google (GOOG): Increased position by 6.09%. Position is now 6.75% of their portfolio.
Broadrige Financial (BR): Increased position by 0.84%. Position is now 3.71% of their portfolio.

Reduced Positions:
American Express (AXP): Reduced position by 23.98%. Position is now 6.05% of their portfolio.
Netflix (NFLX): Reduced position by 28.6%. Position is now 0.93% of their portfolio.
Walmart (WMT): Reduced position by 35.75%. Position is now 2.54% of their portfolio.
First Marblehead (FMD): Reduced position by 36.64%. Position is now 0.05% of their portfolio.
Elong Inc (LONG): Reduced position by 51.82%. Position is now 0.02% of their portfolio.
Grupo Aeroportuario Del Pacifico (PAC): Reduced position by 54.83%. Position is now 1.16% of their portfolio.
Crocs (CROX): Reduced position by 66.06%. Position is now 0.14% of their portfolio.

Removed Positions (Positions Blue Ridge sold out of completely):
America Movil (AMX)
Burlington Northern (BNI)
Coach (COH)
Corus Bankshares (CORS)
Fidelity National Information (FIS)
First American Corp California (FAF)
Formfactor (FORM)
Office Depot (ODP)
SLM Corp (SLM)
Smurfit Stone Container (SSCC)
St Joe Co (JOE)
Starbucks (SBUX)
WebMD Health (WBMD)

Positions with no change:
Covanta (CVA). Position is 5.27% of their portfolio.
Millipore (MIL). Position is 4.49% of their portfolio.
Charles Schwab (SCHW). Position is 4.32% of their portfolio.
Discovery Holding Co (DISCA). Position is 3.89% of their portfolio.
Martin Marietta Materials (MLM). Position is 3.41% of their portfolio.
Target (TGT). Position is 3.11% of their portfolio.
Thermo Fisher Scientific (TMO). Position is 2.90% of their portfolio.
Berkshire Hathaway (BRK.A). Position is 2.49% of their portfolio.
Fomento Economico Mexicano (FMX). Position is 2.31% of their portfolio.
Packaging Corp of America (PKG). Position is 2.18% of their portfolio.
Compton Petroleum Corp (CMZ). Position is 2.08% of their portfolio.
Research in Motion (RIMM). Position is 1.86% of their portfolio.
Eagle Materials (EXP). Position is 1.22% of their portfolio.
Fairfax Financial Holdings (FFH). Position is 1.18% of their portfolio.
American Express (AXP) Calls. Position is 0.64% of their portfolio.
MBIA (MBI). Position is 0.27% of their portfolio.
Federal Home Loan Mortgage (FRE). Position is 0.20% of their portfolio.
Evergreen Energy (EEE). Position is 0.12% of their portfolio.
Gold Reserve Inc (GRZ). Position is 0.10% of their portfolio.
Washington Mutual (WM) Puts. Position is 0.02% of their portfolio.
Perfect World Co (PWRD). Position is 0.01% of their portfolio.
Indymac Bancorp (IDMC). Position is 0.01% of their portfolio.

Top 10 holdings by % of portfolio:
1. Google (GOOG). 6.75% of the portfolio
2. Wyeth (WYE). 6.71% of the portfolio
3. American Express (AXP). 6.05% of the portfolio
4. Apple (AAPL). 5.46% of the portfolio
5. Covanta (CVA). 5.27% of the portfolio
6. Millipore (MIL). 4.49% of the portfolio
7. Grupo Televisa (TV). 4.46% of the portfolio
8. Charles Schwab (SCHW). 4.32% of the portfolio
9. Anadarko Petroleum (APC). 4.29% of the portfolio
10. Discovery Holding Co (DISCA). 3.89% of the portfolio

--------------------------------------

Breakdown: First thing I noticed was Blue Ridge's addition of Anadarko Petroleum (APC). They added it in mass, bringing it up to the fund's 9th largest holding. Although I've seen many hedge funds adding this name over the past 2 quarters, do keep in mind that this filing was as of June 30th, 2008. Since then, natural gas prices, oil prices, and pretty much any stock in those sectors have all plummeted. But, it is worth noting that I have seen this name pop up on 13F filings much more frequently recently. And, Blue Ridge did make quite a hefty purchase. We'll have to wait until next quarter to see whether it was a trade or an investment. In the past, when Griffin has brought a position up to a top 10 holding in one quarter, he has held onto the position. So, time to play the waiting game on that one. Also, he added quite a large new position in Visa (V), bringing it up to 3.43% of the portfolio after not even holding a position last go-round (leaving it just shy of being a top 10 holding).

Next, I noticed he was adding more shares of Wyeth (WYE). This name was already a large fund holding, and he added to his position by 62%, bringing it up to the fund's 2nd largest holding. Recently, there has definitiely been a rotation into any and all stocks relating to healthcare. This is no exception. Also worth noting is Griffin's addition to his already large Apple (AAPL) position. He continues to add to this name and appears to be assembling a solid core position over time.

Even though Griffin made some purchases, he was definitely busier on the selling side of things. And, that makes me even more curious than usual as to what short positions he holds. But, because hedge funds are not required to disclose short positions in their 13F filings (except for Put positions), we are left in the dark on that one. But, anyways, onto the sales. Griffin was selling some consumer names in Netflix (NFLX) and Walmart (WMT). He only sold 20-30% of his positions there so it could just be some profit taking or position size reducing... nothing too major going on. We'll keep an eye on it next quarter and see if he continues to sell those names. Two quarters ago, as I detailed in my Blue Ridge analysis, we saw that Griffin was starting to sell Coach (COH), Formfactor (FORM), and Smurfit Stone (SSCC). This past quarter, he continued that trend, selling off all the remaining shares in those companies. Additionally, he sold off 66% of his Crocs (CROX) position, which I'm sure was a source of pain for him, given how those shares have plummeted in value over time. Next quarter, it will be interesting to see whether or not he sells off the 'cheap consumer' plays such as Walmart (WMT) and Target (TGT).

Griffin also completely removed America Movil (AMX) from Blue Ridge's portfolio. This is interesting, as this is the 2nd hedge fund so far we've seen completely sell out of this name. (Remember that AMX used to be one of the most common holdings amongst the various hedge funds I track). The stock has been in a downward spiral for numerous months and it appears that numerous hedge funds were the ones responsible for the exodus. In the coming week, we'll see what Griffin's 'Tiger Cub' buddies were up to with their respective AMX positions as well.

Also worth pointing out is that Griffin quickly sold out of Burlington Northern (BNI) completely. In the last 13F filing, we found out he had just added BNI as a new position. And, this time around, we find out that he has quickly sold out. This struck me as somewhat odd, just because practically all hedge funds I track have some sort of exposure to the rails. Maybe Griffin was just locking in some quick profits, or maybe there was something that turned him away from the name. Interesting move, nonetheless. Griffin also had a short stay in Office Depot (ODP). He sold completely out of his position this past quarter, having only added it as a new position in the last 13F filing.

Lastly, I just wanted to point out some of the larger positions that Blue Ridge continues to hold in their portfolio: Millipore (MIL), Covanta (CVA), Grupo Televisa (TV), and Charles Schwab (SCHW). These positions have been top 10 holdings for Blue Ridge for numerous quarters now and are definitely worth a look as they appear to be longer term plays for Griffin.

Blue Ridge Capital's most interesting/peculiar move(s)? Increasing their stake in Fannie Mae (FNM) by over 1100%, bringing it up to 2.77% of the portfolio. (Keep in mind that these positions were as of June 30th, 2008). I only bring this up due to the recent developments in FNM and FRE. Whether it be for a trade or for an investment, John Griffin was definitely up to something here and we can only speculate as to what he's been doing with this position in the past month and a half.

You can view Blue Ridge Capital's most recent 13F as filed with the SEC here.

Guest post by Market Folly

Free Daily Hedge Fund Newsletter

Related to Investment Securities/Holding Tool:

Permanent Link: Blue Ridge Capital

Tags: Blue Ridge Capital, Blue Ridge Capital Management, Blue Ridge Capital Hedge Fund, Blue Ridge Capital Hedge Fund Manager Jon John A Griffin, Blue Ridge LLC LP Fund Management

Lone Pine Capital Hedge Fund | Stephen Mendel Jr. Exclusive Tracking

Richard C. Wilson — Mon, 22 Sep 2008 05:02:50 +0000

Lone Pine Capital

Lone Pine Capital & Stephen Mendel - Holdings

This post is being written as part of HedgeFundBlogger.com's Investment Securities Tool which analyzes the holdings of hedge fund managers.

Lone Pine Capital, managed by Stephen Mandel Jr. Lone Pine is an $8 Billion fund that has returned over 25% annually ever since its inception in 1997. Why is Mandel worth following you might ask? Well, he served as a consumer/retail analyst for Tiger Management back in the day for legendary investor Julian Robertson. Robertson's proteges/right-hand men have been nicknamed the "Tiger Cubs" and many have started their own funds. So, not only has Mandel learned from one of the best, but he has put up some very solid returns himself. Mandel is well versed in the ways of finding undervalued companies and his funds typically like to sniff out solid companies with good management that are trading below their intrinsic value. Just this past year 1 of his hedge funds was up 34% before fees while another was up 32% before fees. His track record speaks for itself. And, not to mention, he learned from one of the greats in Julian Robertson.

The following are Lone Pine Capital's current holdings as of June 30th 2008, as released in their most recent 13F filing with the SEC. The positions in this most recent 13F were compared to last quarter's 13F and here are the changes made to their portfolio:

New Positions:
Entergy Corp (ETR): 3,518,632 shares. This position is 6.06% of Lone Pine's portfolio.
Weatherford Intl (WFT): 4,820,337 shares. This position is 3.42% of Lone Pine's portfolio.
Lorillard Inc (LO): 3,328,911 shares. This position is 3.29% of Lone Pine's portfolio.
Amazon (AMZN): 2,527,634 shares. This position is 2.65% of Lone Pine's portfolio.
Sears Holdings Corp (SHLD) Puts: 1,336,800. This position is 1.41% of Lone Pine's portfolio.

Added to:
America Movil (AMX): Increased position by 39.5%. Position is now 10.74% of their portfolio.
Sandridge Energy (SD): Increased position by 22.24%. Position is now 11.35% of their portfolio.
SAIC (SAI): Increased position by 16.38%. Position is now 2.45% of their portfolio.
Dicks Sporting Goods (DKS): Increased position by 15.8%. Position is now 1.48% of their portfolio.
XTO Energy (XTO): Increased position by 5.41%. Position is now 8.33% of their portfolio.

Reduced Positions:
CB Richard Ellis (CBG): Reduced their position by 9.62%. Position is now 2.94% of their portfolio.
Illumina (ILMN): Reduced their position by 9.97%. Position is now 2.69% of their portfolio.
Fastenal (FAST): Reduced their position by 12.5%. Position is now 3.78% of their portfolio.
Qualcomm (QCOM): Reduced their position by 13.88%. Position is now 7.26% of their portfolio.
Brookfield Asset Mgmt (BAM): Reduced their position by 16.4%. Position is now 3.26% of their portfolio.
Monsanto (MON): Reduced their position by 25.82%. Position is now 3.27% of their portfolio.
Mastercard (MA): Reduced their position by 29%. Position is now 2.48% of their portfolio.
Priceline (PCLN): Reduced their position by 30.75%. Position is now 2.34% of their portfolio.
Google (GOOG): Reduced their position by 39.30%. Position is now 7.39% of their portfolio.
Infosys (INFY): Reduced their position by 49.1%. Position is now 2.19% of their portfolio.
Visa (V): Reduced their position by 57.38%. Position is now 1.93% of their portfolio.
Sears Holdings (SHLD) Puts (2nd put position): Reduced their position by 79.73%. Position is now 0.21% of their portfolio.

Removed Positions (Positions Lone Pine sold out of completely):
Apple (AAPL)
Brookfield Asset Management (BAM) - 2nd listed position
CME Group (CME)
EMC Corp (EMC)
Nutrisystem (NTRI)
Southwestern Energy (SWN)
SRA International (SRX)

Positions with no change:
MSC Industrial Direct (MSM). Position is 3.26% of their portfolio.
Teradata (TDC). Position is 3.06% of their portfolio.
Eagle Materials Inc (EXP). Position is 1.66% of their portfolio.
Bunge (BG) Puts. Position is 0.85% of their portfolio.
Deltek (PROJ). Position is 0.24% of their portfolio.
New York Times (NYT) Puts. Position is 0.02% of their portfolio.

Top 10 holdings by % of portfolio:
1. Sandridge Energy (SD): 11.35% of the portfolio
2. America Movil (AMX): 10.74% of the portfolio
3. XTO Energy (XTO): 8.33% of the portfolio
4. Google (GOOG): 7.39% of the portfolio
5. Qualcomm (QCOM): 7.26% of the portfolio
6. Entergy (ETR): 6.06% of the portfolio (new position)
7. Fastenal (FAST): 3.78% of the portfolio
8. Weatherford Intl (WFT): 3.42% of the portfolio (new position)
9. Lorillard Inc (LO): 3.29% of the portfolio (new position)
10. Monsanto (MON): 3.27% of the portfolio

--------------------------------------------

Breakdown: Well, it's very evident where Mandel & Lone Pine's poor performance is coming from. As of June 30th, they had massive holdings in natural gas and oil players Sandridge Energy (SD) and XTO Energy (XTO). SD was their top holding by % value and XTO was not far behind as their 3rd largest holding. The selloff in natural gas, oil, and all related stocks has undoubtedly affected Lone Pine in a negative way. The selloff in those names started around July, leaving Mandel a very limited window of opportunity to sell. Unfortunately, we'll have to wait until the next round of 13F's in the coming quarter to find out what Mandel has done with his large natural gas positions. Considering that the filing reports holdings as of June 30th, and the major selloff began in July, we have no idea whether Lone Pine was massively hurt by the selloff, or whether they were one of the parties responsible for the selloff. But, no matter how savvy Mandel may be, there is no way he got through July unscathed. So, that looks to be one of the main areas contributing to the lackluster performance of his Lone Cedar Fund so far in 2008.

Next, I want to highlight that Lone Pine added to their America Movil (AMX) position by 39%, nearly doubling down on their shares. Obviously, Mandel still likes the company and was using the weakness to add to his position. His addition is interesting, considering numerous hedge funds completely removed their AMX position over the past quarter, including his 'Tiger cub' buddy John Griffin over at Blue Ridge Capital. AMX has long been a hedge fund favorite and has been a top 10 holding in many prominent hedge fund portfolios over the past year. But, with the recent developments in AMX over the last few months, many hedge funds have taken action. And, unlike his colleagues, Mandel was buying the shares that other hedge fund managers were selling off. It will be interesting to see how this continues to play out, as the once hedge fund favorite AMX may be falling out of favor with numerous managers. Lone Pine, however, was adding with conviction, making it their portfolio's 2nd largest position.

I would also like to highlight a couple of new positions started by Lone Pine this past quarter. They added Entergy (ETR) in mass, making it their 6th largest holding at 6.06% of their overall portfolio. In the past, I've talked about ETR on the blog as a way to play both the rising demand in electricity as well as the nuclear space in alternative energy. In addition to starting ETR, they started Weatherford (WFT), an equipment and service provider in the oil and natural gas spaces. They brought this position up to the fund's 8th largest holding at 3.42% of their portfolio. Additionally, they started a position in Lorillard (LO), a cigarette manufacturer. They brought this name up to the 9th largest fund holding, at 3.29% of the portfolio. Mandel added ETR, WFT, and LO all with conviction over the past quarter, landing all three as top 10 holdings.

Turning to tech, we see that Lone Pine has sizable positions in hedge fund favorites like Google (GOOG) and Qualcomm (QCOM). However, Lone Pine was selling off some of their tech holdings during the past quarter. They sold 13% of their QCOM position, leaving it as the fund's 5th largest holding. Mandel got aggressive with Google (GOOG) though, selling nearly 40% of his position. Despite the selling, it still remains their 4th largest holding. That just goes to show how large of a position he had in GOOG. Additionally, he sold completely out of Apple (AAPL). Just last quarter, it was his fund's 5th largest holding. Now, he no longer even holds a position.

Lone Pine was also busy selling the payment processors Mastercard (MA) and Visa (V). They sold 30% of their position in MA and 57% of their position in V. You can't really blame them though, as they were sitting on some handsome profits from those positions. We'll keep an eye out to see if they add back to their positions now that MA and V trade at cheaper prices than they did 2 months ago. After all, the payment processors are big hedge fund favorites, having appeared in numerous funds' portfolios.

Overall, its easy to see where Lone Pine might be struggling this year. They've been rewarded with nice gains in some of their tech and payment processing holdings. But, those gains could have been easily nullified by the likely beating their natural gas and oil holdings took.

And, you can view their most recent 13F as filed with the SEC here.

Guest blog post by Market Folly

Free Daily Hedge Fund Newsletter

Related to Investment Securities/Holding Tool:

Permanent Link: Lone Pine Capital Hedge Fund Holdings

Tags: Lone Pine Capital, Lone Pine Capital Partners, Lone Pine Capital Management, Lone Pine Hedge Fund Holdings, Securities owned by Lone Pine Capital, Stephen Mendel Jr., Stephen Mendel Junior Hedge Fund Manager

Tremblant Capital Hedge Fund | Bret Barakett Exclusive Holdings Analysis

Richard C. Wilson — Mon, 22 Sep 2008 05:02:20 +0000

Tremblant Capital

Tremblant Capital | Bret Barakett Holdings Analysis

This post is being written as part of HedgeFundBlogger.com's Investment Securities Tool which analyzes the holdings of hedge fund managers.

Taken from their site, Tremblant Capital Group's objective is "to achieve superior risk adjust returns for our investors through our focused and disciplined investment process." Tremblant is a $4.1 billion hedge fund based in New York and is run by Bret Barakett, who is a former portfolio manager at Moore Capital Management (the hedge fund run by the great Louis Bacon, whom I also track). So, as you can see, despite having a great mind of his own, Barakett has worked with some of the best in the Global Macro game. And, that's why he's worth following.

The following are Tremblant Capital's current holdings as of June 30th 2008, as released in their most recent 13F filing with the SEC. I've compared the positions in this most recent 13F to last quarter's 13F and here are the changes they made to their portfolio:

New Positions: (in no particular order)
Virgin Media (VMED) 528,856 shares
Shenandoah Telecom (SHEN) 184,124 shares
Petrochina (PTR) 7,016 shares
Mastercard (MA) 137,205 shares
Exide Technologies (XIDE) 211,757 shares
Chipotle Mexican Grill (CMG) 963,509 shares
China Petroleum and Chemical (SNP) 9,419 shares
Bare Escentuals (BARE) 322,555 shares

Added to:
Centennial Communications Corp (CYCL). Increased their position by 301%
Hologic (HOLX). Increased their position by 250%
Gafisa (GFA). Increased their position by 120%
Union Pacific (UNP). Increased their position by 100%
American Pub Ed Inc (APEI). Increased their position by 76%
Time Warner (TWX). Increased their position by 74%
Focus Media Holdings (FMCN). Increased their position by 56.6%
Nuance Communications (NUAN). Increased their position by 54%
Visa (V). Increased their position by 40%
Green Mountain Coffee Roasters (GMCR). Increased their position by 40%
Anadigics (ANAD). Increased their position by 38%
Mckesson Corp (MCK). Increased their position by 24%
Cogent Communications (CCOI). Increased their position by 15%
Hughes Communications (HUGH). Increased their position by 14%
NYSE Euronext (NYX). Increased their position by 10%
Melco Pbl Entertainment (MPEL). Increased their position by 7%
Walmart (WMT). Increased their position by 5%
Heathextras (HLEX). Increased their position by 3%

Reduced Positions:
LCA Vision (LCAV). Reduced their position by 95%
Research in Motion (RIMM). Reduced their position by 35%
Apple (AAPL). Reduced their position by 29%
ThermoFisher Scientific (TMO). Reduced their position by 28%
Pharmaceutical Prod Dev (PPDI). Reduced their position by 22%
Inverness Med (IMA). Reduced their position by 21%
CVS Caremark (CVS). Reduced their position by 18%
RedHat (RHT). Reduced their position by 15%
Monster Worldwide (MNST). Reduced their position by 11%
Suntech Power (STP). Reduced their position by 11%
Corning (GLW). Reduced their position by 8%
Qualcomm (QCOM). Reduced their position by 6%
Ntelos Holdings (NTLS). Reduced their position by 1.7%
Commscope (CTV). Reduced their position by 1.5%
Paetec Holding (PAET). Reduced their position by 1%
Pharmanet Dev Group (PDGI). Reduced their position by 0.71%

Removed Positions (Positions Tremblant sold out of completely):
Allscripts Healthcare (MDRX)
America Movil (AMX)
Cenveo (CVO)
Cirrus Logic (CRUS)
Costco (COST)
Digital Realty Trust Inc (DLR)
Mercadolibre (MELI)
Priceline (PCLN)
UST Inc (UST)

Positions with no change:
Wyeth (WYE)
SXC Health Solutions (SXCI)
Navisite (NAVI)
Eclipsys Corp (ECLP)
CSX Corp (CSX)
Burlington Northern (BNI)
Advanced Med Optics (EYE)

Top 10 holdings by % of portfolio:
1. Qualcomm (QCOM)
2. Visa (V)
3. Apple (AAPL)
4. CVS Caremark (CVS)
5. RedHat (RHT)
6. Hologic (HOLX)
7. NYSE Euronext (NYX)
8. Corning (GLW)
9. Research in Motion (RIMM)
10. Baidu (BIDU)

------------------------------------------

Breakdown: Tremblant's portfolio is big on tech, and rightly so. From March until June (the period of time that passed between the filing of past & present 13F's), tech was on a rampage. So, for them to be taking some profits in those names seems natural. They cut back their AAPL and RIMM by about a third of a position, which classifies as healthy profit taking from a big move in my book. I wouldn't be surprised to see them adding back at cheaper prices what they sold. Noticeably absent from their tech portfolio is GOOG. They have BIDU instead, and a pretty large position at that (its their 10th largest holding). Hedge fund favorites AAPL, RIMM, & QCOM also make up a large part of Tremblant's portfolio overall. All 3 are top 10 portfolio holdings. What else is new?

Speaking of hedge fund favorites, we notice that MA and V make an appearance, with MA just being added this past quarter. They already had a large V stake and appear to be assembling a MA position to go along with it. Many funds seem to prefer MA to V, but not Tremblant. We'll see next quarter if their MA position catches up in size to the massive stake they have in Visa (their 2nd largest holding).

Interesting to see the Brothers Barakett (Bret at Tremblant and Timothy at Atticus) both in the house of pain with NYX. Tremblant added more this quarter and look to be averaging down again and again. I can't blame them though. NYX is a solid company that 'appears' cheap on valuation. But, in this market, nobody seems to care about that. The exchanges should be perfect plays to bet on a market with increased volatility. But, apparently they are not. Instead, they are downward spiraling deathtraps. One other commonality between the Brothers Barakett portfolios is their affection for the rails. UNP BNI and CSX all appear in Tremblants portfolio. UNP is their largest rail holding currently, as they doubled down on their stake this past quarter.

Overall, technology, communications & media, the rails, and medical plays seem to be the name of the game for Tremblant this time around.

Lastly, just wanted to note that they have abandoned America Movil (AMX). This name has been in a steady downtrend in recent months, and it looks like they gave up on the name. Last quarter and in the past in general, AMX was easily one of the most common holdings among the hedge funds I track. As the 13F's continue to come out, we'll have to see if others joined Tremblant in dumping their shares.

Tremblant Capitals' most interesting move(s)? Beefing up their general media & communications technology holdings. They added a variety of names such as CYCL, CCOI, FMCN, TWX, NUAN,VMED.

You can view Tremblant Capital's 13F as filed with the SEC here.

Guest post by Market Folly

Free Daily Hedge Fund Newsletter

Related to Investment Securities/Holding Tool:

Permanent Link: Tremblant Capital Hedge Fund Holdings
Tags: Tremblant Capital Hedge Fund, Tremblant Capital, Tremblant Capital Management, Tremblant Capital and Bret Barakett, Bret Barakett Hedge Fund Manager, Securities research and Holdings of Tremblant Capital

Lone Pine Capital’s KEY Q2 Trades

CEO Blogger — Sat, 06 Sep 2008 01:12:30 +0000

Lone Pine Capital (Steven Mandel), a $7 billion hedge fund with only 30 holdings made the following material moves in Q2, which are tracked at: http://trackthepros.com/stocks/category/688 New Positions Amazon Weatherford International Sold Positions Apple CME EMC Southwestern Energy Added To: America Movil Dick’s Sporting Goods SAIC Sandridge Energy Reduced Positions: Infosys VIsa