Hedge Fund Tiger Management Top Holdings: WMT, AAPL, GOOG, BBY, MA, EBAY

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Sep 03, 2010
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If you want to learn from the greatest hedge fund manager of our time, you should certainly look at the portfolio of Julian Robertson at Tiger Management. Since Tiger does not accept external investments, this portfolio is mainly for Mr. Robertson’s own money.


Mr. Robertson is known for his success with Tiger Management in the 1990s. He famously folded his fund as he did not want to participate the tech bubble.


Watch this interview of Mr. Robertson by Charlie Rose:





These quotes say very well about how Mr. Robertson invests:


"Our mandate is to find the 200 best companies in the world and invest in them, and find the 200 worst companies in the world and go short on them. If the 200 best don't do better than the 200 worst, you should probably be in another business."


"When Robertson is convinced that he is right," a former Tiger executive notes, "Julian bets the farm."


"Hear a [stock] story, analyze and buy aggressively if it feels right."





As the father of hedge funds, Mr. Robertson trained a group of excellent hedge fund managers known as Tiger Cubs. We also track the portfolios of this group of young tigers:





Tiger Management is very heavy with Consumer Services sector and technology. This is the sector weightings changes of Julian Robertson's portfolio:


Industry

2010-03-31

2010-06-30

Technology

20.4%

24.1%

Financials

13.6%

17.9%

Consumer Services

29.2%

31%

Health Care

15.5%

5.4%

Consumer Goods

1.8%

3.7%

Industrials

3.1%

0.4%

Basic Materials

3.4%

3.9%

Oil & Gas

9.2%

8.6%

These are the top holdings of Julian Robertson:

No. 1: WalMart Stores Inc. (WMT – CALL Option)

Walmart is listed as the largest position of Julian Robertson. But it is actually a CALL option. Mr. Julian Robertson owns 850,000 shares for the call option.


He did own Walmart common shares before. But as of June 30, Mr. Robertson does not own Walmart common shares. This is the holding history:





Walmart Stores Inc. has a market cap of $192.01 billion; its shares were traded at around $51.76 with a P/E ratio of 13.4 and P/S ratio of 0.5. The dividend yield of Walmart Stores Inc. stocks is 2.4%. Walmart Stores Inc. had an annual average earning growth of 11.1% over the past 10 years. GuruFocus rated Walmart Stores Inc. the business predictability rank of 5-star.


No. 2: Apple Inc. (AAPL, Financial), Weightings: 8.4% - 152,580 Shares

Apple Inc. has a market cap of $229.46 billion; its shares were traded at around $252.17 with a P/E ratio of 18.9 and P/S ratio of 5.3. Apple Inc. had an annual average earning growth of 83.1% over the past 5 years.





No. 3: Google Inc. (GOOG, Financial), Weightings: 6.96% - 71,505 Shares

Google Inc. has a market cap of $147.28 billion; its shares were traded at around $463.18 with a P/E ratio of 20.1 and P/S ratio of 6.2. Google Inc. had an annual average earning growth of 65.7% over the past 10 years.


Mr. Robertson seems to be trading in and out with Google. As of June 30, he owns more than 71 thousand shares with the value of more than $31 million.





No. 4: Best Buy Co. Inc. (BBY – CALL Option)

Best Buy is a new position for Julian Robertson. As of June 30, he owns 800 thousand shares of CALL options. Mr. Julian Robertson did not own Best Buy common stocks before.


Best Buy Co. Inc. has a market cap of $13.95 billion; its shares were traded at around $33.46 with a P/E ratio of 10.9 and P/S ratio of 0.3. The dividend yield of Best Buy Co. Inc. stocks is 1.7%. Best Buy Co. Inc. had an annual average earning growth of 16.6% over the past 10 years. GuruFocus rated Best Buy Co. Inc. the business predictability rank of 5-star.


No. 5: MasterCard Inc. (MA, Financial), Weightings: 4.17% - 95,580 Shares

Mastercard Inc. has a market cap of $26.79 billion; its shares were traded at around $204.73 with a P/E ratio of 16 and P/S ratio of 5.3. The dividend yield of Mastercard Inc. stocks is 0.3%.





No. 6: eBay Inc. (EBAY, Financial), Weightings: 4.01% - 935,000 Shares

eBay is one of the world's largest online trading communities. Ebay Inc. has a market cap of $31.45 billion; its shares were traded at around $24.06 with a P/E ratio of 17.2 and P/S ratio of 3.6. Ebay Inc. had an annual average earning growth of 43.4% over the past 10 years.


Ebay is a new position for Julian Robertson. He owns 935 thousand shares with the value of about $18 million as of June 30.





Conclusion: Apparently Julian Robertson at Tiger Management invests heavily into household names. For his complete portfolio, go to: http://www.gurufocus.com/holdings.php?GuruName=Julian+Robertson. Also check the portfolios of this group of young tigers: