Markets

Louis Moore Bacon Cuts Stakes in Amazon, Facebook Well Above Purchase Prices

Louis Moore Bacon ( Trades , Portfolio ) was born in 1956 and is an American hedge fund manager and trader who uses a global macro strategy to invest in the markets. Bacon has been in the top 20 of the top 100 money earners since the 1990s.

The following are the stakes that Bacon reduced in the third quarter.

Ameriprise Financial Inc. ( AMP )

The investor initiated a position in this company at $77.73 per share in the second quarter of 2013. The stock saw huge increases of 107.14% and 587.50% in Q4 2014 and the second quarter. This quarter he reduced it by 94.55%, well above his purchase price at $117.96 per share. The deal had an impact of -1.41% on the portfolio, and the stock price dropped 9%. Currently it is trading at $107.56.

The company is engaged in providing financial planning, products and services that are designed to offer solutions for its clients' asset accumulation, income and protection needs.

The stock also has the following one-year growth rates: 5.50% for revenue and negative rates of 1.00% for EBITDA and 2.20% for book value.

Many investors reduced their stakes in Ameriprise Financial, but huge decreases were recorded by Bacon, Jeremy Grantham (Trades, Portfolio) by 65.96% and Paul Tudor Jones (Trades, Portfolio) by 53.76%.

Bank of America Corporation ( BAC )

Bacon initiated a position in this company at $14.27 per share in Q3 2013. The stock saw an increase of 2,812.41% in the second quarter. This quarter Bacon reduced it by 73.61%, well above his purchase price at $16.85 per share. The deal had an impact of -0.98% on the portfolio, and the stock price went up 5%. Currently it is trading at $17.75.

The company, through its banking and various nonbanking subsidiaries, throughout the United States and in selected international markets, provides a diversified range of banking and nonbanking financial services and products.

The stock also has the following one-year growth rates: 182.50% for EBITDA and 6.80% for book value. It has a negative rate of 6.40% for revenue.

Many investors reduced their stakes but huge decreases were made by Bruce Berkowitz (Trades, Portfolio) by 63.54%, Bacon, Jeremy Grantham (Trades, Portfolio) by 68.57% and Steven Cohen (Trades, Portfolio) by 99.72%.

Amazon.com Inc. ( AMZN )

The investor initiated a position in this company at $351.66 per share in the first quarter and in the second quarter increased the stake by 93.47%. This quarter Bacon reduced it by 57.42%, well above his purchase price at $505.62 per share. The deal had an impact of -0.96% on the portfolio, and the stock price went up 34%. Currently it is trading at $675.77.

The company sells its products through its website. It also provides services such as advertising services and co-branded credit card agreements.

The stock has the following one-year growth rates: 16.60% for revenue, 65.50% for EBITDA and 18.70% for book value.

Paul Tudor Jones (Trades, Portfolio), Murray Stahl (Trades, Portfolio), Louis Moore Bacon (Trades, Portfolio), Bill Nygren (Trades, Portfolio), Chris Davis (Trades, Portfolio) and Jeremy Grantham (Trades, Portfolio) reduced their stakes over 30% in this quarter.

Facebook Inc. ( FB )

Bacon initiated a position in this company at $37.21 per share in Q3 2013 and last two quarters increased his stake by 41.41% and 79.45%. This quarter the investor reduced the stake by 56.50%, well above his purchase price at $91.76 per share. The deal had an impact of -0.90% on the portfolio, and the stock price went up 16%. Currently it is trading at $106.79.

The company is a social networking website that builds products that create utility for users, developers and advertisers.

The stock has the following one-year growth rates: 30.80% for revenue and 80.80% for book value but it has a negative rates of 0.40% for EBITDA.

This quarter Bacon reduced his stake, and George Soros (Trades, Portfolio) by 30.31%. Manning & Napier Advisors, Inc, Paul Tudor Jones (Trades, Portfolio), Frank Sands (Trades, Portfolio), Murray Stahl (Trades, Portfolio) and Lee Ainslie (Trades, Portfolio) are other investors who reduced their stakes.

Alibaba Group Holding Ltd. ( BABA )

The investor initiated a position in this company at $89.91 per share in Q3 2014. The stock saw an increase of 1,436.20% in the first quarter. This quarter he reduced the stake by 99.14%, below his purchase price at $72.88 per share. The deal had an impact of -0.52% on the portfolio, and the stock price went up 16%. Currently it is trading at $84.63.

The company is a holding company and conducts its businesses through its subsidiaries.

The stock also has the following one-year growth rates: 34.00% for revenue, 18.80% for EBITDA and 357.80% for book value.

This quarter Bacon, George Soros (Trades, Portfolio) and Steven Cohen (Trades, Portfolio) reduced their stakes over 85%. Andreas Halvorsen (Trades, Portfolio) and John Burbank (Trades, Portfolio) reduced their stakes over 58%.

Union Pacific Corp. ( UNP )

Bacon initiated a position in this company at $79.19 per share in Q4 2013. The stock saw an increase of 396.39% in Q1 2015. This quarter he reduced his stake by 85.75%, well above his purchase price at $91.26 per share. The deal had an impact of -0.5% on the portfolio, and the stock price dropped 14%. Currently it is trading at $78.01.

It is a rail transporting company. Its operating company, Union Pacific Railroad Company, links 23 states in the western two-thirds of the country by rail, providing a critical link in the global supply chain.

The stock also has the following one-year growth rates: 0.20% for revenue, 7.60% for EBITDA and a negative rate of 0.50% for book value.

This quarter John Burbank (Trades, Portfolio), Steven Cohen (Trades, Portfolio), Murray Stahl (Trades, Portfolio), Bacon and Paul Tudor Jones (Trades, Portfolio) reduced their stakes over 85%.

Mohawk Industries Inc. (MHK)

Bacon initiated a position in this company at $137.51 per share Q3 2014. The stock saw an increase of 2,052.18% in Q2 2015. This quarter Bacon reduced the stake by 76.16%, a few above his purchase price at $198.07 per share. The deal had an impact of -0.46% on the portfolio, and the stock price went up 1%. Currently it is trading at $199.85.

The company is a flooring manufacturer that creates products to enhance residential and commercial spaces around the world.

The stock also has the following one-year growth rates: 2.50% for revenue, 8.80% for EBITDA and 2.50% for book value.

Bacon, Larry Robbins (Trades, Portfolio) and Andreas Halvorsen (Trades, Portfolio) reduced their stakes over 50%.

Citigroup Inc. (C)

Bacon initiated a position in this company at $29.32 per share in Q3 2012. The stock saw increases of 80.81%, 62.28% and 926.40% in Q1 2014, Q4 2014 and the second quarter. This quarter he reduced it by 83.75%, well above his purchase price at $54.4 per share. The deal had an impact of -0.4% on the portfolio, and the stock price dropped 1%. Currently it is trading at $53.90.

It is a financial services holding company, whose businesses provide consumers, corporations, governments and institutions with a range of financial products and services, including consumer banking, credit cards, corporate and investment banking, securities brokerage and wealth management.

The stock also has the following one-year growth rates: 26.70% for EBITDA, 2.90% for book value and negative rate of 1.50% for revenue.

Bacon, Caxton Associates (Trades, Portfolio), Larry Robbins (Trades, Portfolio) and Arnold Schneider (Trades, Portfolio) reduced their stakes over 62%.

Anthem Inc. (ANTM)

The investor initiated a position in this company at $142.38 per share in the first quarter. The stock saw an increase of 977.05% in the second quarter. This quarter Bacon reduced his stake by 75.56%, a few above his purchase price at $150.29 per share. The deal had an impact of -0.39% on the portfolio, and the price dropped 8%. Currently it is trading at $137.78.

The company offers a spectrum of network-based managed care plans to the large and small employer, individual, Medicaid and senior markets.

The stock also has the following one-year growth rates: 12.80% for revenue, 28.60% for EBITDA and a negative rate of 0.90% for book value.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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