Amazon.com, Inc. , Paypal Holdings Inc and Netflix, Inc. saw a number of prominent hedge funds either initiate new positions, or add to their existing stakes during the third quarter, according to latest 13F filings.
George Soros Likes New Age Tech
The most notable among them was billionaire investors George Soros, whose Soros Fund Management LLC, created new equity positions in Amazon and Netflix during the quarter. Soros acquired 77,877 share of Amazon.com, Inc. worth $39.9 million. He said he owned 317,534 Netflix shares worth $32.80 million as of September 30.
Soros also pumped in close to $137 million to buy 4.4 million shares of PayPal in the third quarter. PayPal is currently his ninth biggest holding.
Icahn Dumps eBay, Opts for PayPal
Activist investor Carl Icahn switched his entire equity stake in eBay for equal number of shares in Paypal Holdings Inc during the third quarter, SEC filings showed on Monday. Icahn sold 46.3 million eBay shares and posted the same number of shares in PayPal.
PayPal completed its spinoff from eBay in July. Icahn, who now holds 3.8% in PayPal, had since last year, aggressively pushed for eBay to spin off PayPal. The stock soared more than 11% the day it began trading, but since then, has struggled to maintain the upward momentum.
Icahn is known for first acquiring large stakes in companies, and then pushing for management changes. He also reported a 1.36 million share stake in AIG as of September 30; just before he started pressuring the insurer to split into three entities.
Tiger Global Walks In to Amazon, Netflix
Chase Coleman’s Tiger Global Management also boosted its stake in Amazon.com, Inc. in the third quarter.
Tiger Global said it increased the number of Amazon shares held by more than three times during the quarter, according to a SEC filing. The firm’s Amazon position is its second-largest U.S. equity holding, and was valued at $1.64 billion on September 30. The stock has since jumped 18%, extending its year to date gains.
Chase Coleman also raised his Netflix stake by 15.4 million shares to 18 million. More and more funds moved into Netflix during the quarter as a hedge against ongoing slump in the cable television industry. The sector’s revenue is under increasing threats as consumers switch to streaming services like Netflix and Hulu.
It’s interesting to note that all the hedge fund holding details are backward-looking and are disclosed 45 days after the end of a quarter. Regardless, the 13F filings offer a broad overview of the themes that hedge fund managers consider as investment opportunities with potential.
Shares of Amazon.com, Inc. closed Monday at $647.81. Netflix, Inc. and Paypal Holdings Inc ’s stocks ended yesterday trading at $111.35 and $35.61 respectively.