John Paulson's Top 5 New Holdings For Q3

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Nov 22, 2014
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John Paulson (Trades, Portfolio)’s hedge fund Paulson & Co. was founded in 1994 and has $22.8 billion in assets under management as of Jul 2014. The fund focuses primarily on event-driven arbitrage situations. Paulson’s top strategies, the Advantage and Advantage Plus funds, lost 4.8 percent and 3.9 percent this year through August, the New York Times reported.

In the third quarter, the investor purchased seven new stocks, for 19% portfolio turnover and a total of 75 holdings at quarter-end.

The largest of the new stocks are: AbbVie Inc. (ABBV, Financial), Athlon Energy Inc. (ATHL, Financial), PetSmart Inc. (PETM, Financial), Alibaba Group Holding Ltd. (BABA, Financial) and Taminco Corp. (TAM, Financial).

John Paulson (Trades, Portfolio)’s hedge fund Paulson & Co. was founded in 1994 and has $22.8 billion in assets under management as of Jul 2014. The fund focuses primarily on event-driven arbitrage situations. Paulson’s top strategies, the Advantage and Advantage Plus funds, lost 4.8 percent and 3.9 percent this year through August, the New York Times reported.

In the third quarter, the investor purchased seven new stocks, for 19% portfolio turnover and a total of 75 holdings at quarter-end.

The largest of the new stocks are: AbbVie Inc. (ABBV, Financial), Athlon Energy Inc. (ATHL, Financial), PetSmart Inc. (PETM, Financial), Alibaba Group Holding Ltd. (BABA, Financial) and Taminco Corp. (TAM, Financial).

AbbVie Inc. (ABBV, Financial)

Paulson’s largest new holding is AbbVie, of which he bought 750,880 shares, making it 3.1 percent of the portfolio. AbbVie shares averaged $56 for the quarter.

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AbbVie Inc. was incorporated in Delaware on April 10, 2012, and is a wholly owned subsidiary of Abbott. Abbvie Inc has a market cap of $101.01 billion; its shares were traded at around $67.36 with a P/E ratio of 29.10 and P/S ratio of 5.49. The dividend yield of AbbVie Inc. stocks is 2.6 percent. AbbVie Inc. had an annual average earnings growth of 4.2 percent over the past five years.

Athlon Energy Inc. (ATHL, Financial)

Paulson purchased 5.8 million shares of Athlon Energy, making it 1.4 percent of the portfolio. Athlon shares averaged $46 each in the quarter.

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Athlon Energy Inc. was founded in August 2010 and formed on April 1, 2013 as a Delaware corporation. Athlon Energy Inc. has a market cap of $5.67 billion; its shares were traded at around $58.40 with a P/E ratio of 44.5 and P/S ratio of 10.54.

PetSmart Inc. (PETM, Financial)

Paulson purchased 4,165,000 PetSmart shares, a 1.2% portfolio weight. The stock’s price averaged $70 in the quarter.

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PetSmart Inc. was incorporated in the State of Delaware in 1986. PetSmart Inc. has a market cap of $7.19 billion; its shares were traded at around $78.70 with a P/E ratio of 18.80 and P/S ratio of 1.10. The dividend yield of Petsmart Inc stocks is 1 percent. PetSmart Inc. had an annual average earnings growth of 11.80% over the past 10 years. GuruFocus rated PetSmart Inc. the business predictability rank of 4.5-star.

Alibaba Group Holding Ltd. (BABA, Financial)

Paulson purchased 1,902,500 shares of Alibaba Group Holding Ltd., a 0.7 percent portfolio weight. Alibaba Group shares averaged $90 each in the quarter.

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Alibaba Group Holding Ltd. was incorporated in the Cayman Islands on June 28, 1999. Alibaba Group Holding Ltd. has a market cap of $243.05 billion; its shares were traded at around $110.73 with a P/E ratio of 107.0 and P/S ratio of 50.66. Alibaba Group Holding Ltd. had an annual average earnings growth of 155.50% over the past five years.

Taminco Corp. (TAM, Financial)

Paulson bought 3,784,000 shares of Taminco Corp in the quarter, a 0.41% portfolio holding. The stock’s share price averaged $23 for the quarter.

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Taminco Corp was incorporated on December 12, 2011 in the state of Delaware. Taminco Corp has a market cap of $1.72 billion; its shares were traded at around $25.97 with a P/E ratio of 38.70 and P/S ratio of 1.29.

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