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Andreas Halvorsen Sells Amazon, MasterCard in 4th Quarter

- By Tiziano Frateschi

Andreas Halvorsen (Trades, Portfolio) is a founding partner of Viking Global Investors LP and serves as its CIO. During the fourth quarter, he sold shares in the following stocks:


The investor reduced his shares in Amazon.com Inc. (AMZN) by 44.48% with an impact of -4.72% on the portfolio.

It is an online retailer. The company sells its products through the website that provides services, such as advertising services and co-branded credit card agreements. It also offers electronic devices like Kindle e-readers and Fire tablets. Net sales increased 22% in the fourth quarter and operating income increased 13% from the same quarter of a year before.

GuruFocus gives the stock a profitability and growth rating of 8 out of 10. The return on equity (ROE) of 14.50% and return on assets (ROA) of 3.43% are outperforming 58% of the companies in the Global Specialty Retail industry. Financial strength has a rating of 7 out of 10. The cash-debt ratio of 1.71 is above the industry median of 0.84.

Frank Sands (Trades, Portfolio) is the largest shareholder among the gurus with 0.48% of outstanding shares followed by Spiros Segalas (Trades, Portfolio) with 0.46%, Ken Fisher (Trades, Portfolio) with 0.42%, Chris Davis (Trades, Portfolio) with 0.4%, Halvorsen with 0.34%, Chase Coleman (Trades, Portfolio) with 0.29% and Steve Mandel (Trades, Portfolio) with 0.27%.

The guru exited his stake in Teva Pharmaceutical Industries Ltd. ADR (TEVA) with an impact of -3.92% on the portfolio.

The company develops, produces and markets generic, branded and OTC medicines. Some of its products are Copaxone, Azilect and Provigil. Fourth-quarter revenues grew 33% from the same quarter of a year before, and GAAP gross profit increased 19%. GAAP gross profit margin was 52.2% in the quarter compared to 58.3% in the fourth quarter of a year before.

GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The ROE of 0.21% and ROA of 0.46% are underperforming 72% of the companies in the Global Drug Manufacturers - Specialty & Generic industry. Financial strength has a rating of 4 out of 10. The cash-debt ratio of 0.03 is below the industry median of 2.56.

The largest shareholder among the gurus is Barrow, Hanley, Mewhinney & Strauss with 3.2% of outstanding shares followed by John Paulson (Trades, Portfolio) with 1.57%, Vanguard Health Care Fund (Trades, Portfolio) with 0.63%, David Tepper (Trades, Portfolio) with 0.5%, Jim Simons (Trades, Portfolio) with 0.21%, NWQ Managers (Trades, Portfolio) with 0.08%, Michael Price (Trades, Portfolio) with 0.07% and Julian Robertson (Trades, Portfolio) with 0.05%.

The guru closed his position of Air Products & Chemicals Inc. (APD) with an impact of -2.89% on the portfolio.

The company is a supplier of hydrogen and helium. It also provides semiconductor materials, refinery hydrogen, natural gas liquefaction and advanced coatings and adhesives. First-quarter GAAP earnings per share decreased 11%, and operating margin decreased 260 basis points versus the prior year.

GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The ROE of 7.97% and ROA of 3.33% are underperforming 56% of the companies in the Global Chemicals industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.15 is below the industry median of 0.72.

Barrow, Hanley, Mewhinney & Strauss is the largest shareholder among the gurus with 4.15% of outstanding shares followed by Bill Ackman (Trades, Portfolio) with 1.78%, Steven Cohen (Trades, Portfolio) with 0.32%, Simons with 0.26%, First Eagle Investment (Trades, Portfolio) with 0.24% and Caxton Associates (Trades, Portfolio) with 0.05%.

The guru exited his holding of Southwestern Energy Co. (SWN) with an impact of -2.53% on the portfolio.

It is an energy company. It explores, develops and produces natural gas and crude oil within the U.S.

GuruFocus gives the stock a profitability and growth rating of 5 out of 10. The ROE of -227.62% and ROA of -34.82% are underperforming 94% of the companies in the Global Oil & Gas E&P industry. Financial strength has a rating of 3 out of 10 with cash-debt ratio of 0.31 that is underperforming the industry median of 0.79.

The largest shareholder among the gurus is PRIMECAP Management (Trades, Portfolio) with 1.44% of outstanding shares followed by John Griffin (Trades, Portfolio) with 1.35%, Richard Snow (Trades, Portfolio) with 1.11%, Daniel Loeb (Trades, Portfolio) with 1%, Barrow, Hanley, Mewhinney & Strauss with 0.5%, T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.39%, Ray Dalio (Trades, Portfolio) with 0.47% and Cohen with 0.19%.

The investor closed his stake of Anadarko Petroleum Corp. (APC). The trade had an impact of -2.34% on the portfolio.

The company is engaged in the exploration and production of oil and natural gas. The company's three operating segments are: Oil and Gas Exploration and Production, Midstream and Marketing.

GuruFocus gives the stock a profitability and growth rating of 5 out of 10. While the ROE of -25.37% is underperforming the sector, the ROA of -6.70% is outperforming 63% of the companies in the Global Oil & Gas E&P industry. Financial strength has a rating of 4 out of 10. The cash-debt ratio of 0.21 is below the industry median of 0.79.

The largest shareholder among the gurus is Dodge & Cox with 4.1% of outstanding shares followed by Bill Nygren (Trades, Portfolio) with 0.91%, Cohen with 0.3%, Pioneer Investments (Trades, Portfolio) with 0.11%, T Rowe Price Equity Income Fund with 0.08%, Leon Cooperman (Trades, Portfolio) with 0.06%, Westport Asset Management (Trades, Portfolio) with 0.04% and John Burbank (Trades, Portfolio) with 0.04%.

The guru closed his position in Eli Lilly and Co. (LLY) with an impact of -2.11% on the portfolio.

It is a drug manufacturing company. It discovers, develops, manufactures, and sells human pharmaceutical products and animal health products. Recently it completed the acquisition of CoLucid Pharmaceuticals Inc. (CLCD).

GuruFocus gives the stock a profitability and growth rating of 5 out of 10. The ROE of 18.54% and ROA of 7.47% are outperforming 69% of the companies in the Global Drug Manufacturers - Major industry. Financial strength has a rating of 6 out of 10, with cash to debt of 0.59 is below the industry median of 2.56.

The largest shareholder among the gurus is PRIMECAP Management with 5.21% of outstanding shares followed by Vanguard Health Care Fund with 2.35%, Sarah Ketterer (Trades, Portfolio) with 0.28%, Fisher with 0.14%, Simons with 0.14%, Pioneer Investments with 0.12% and Jeremy Grantham (Trades, Portfolio) with 0.1%.

The guru cut his holding in MasterCard Inc. Class A (MA) by 43.98% with an impact of -1.49% on the portfolio.

It is a technology company in the payments industry that connects consumers, financial institutions, merchants, governments and businesses, enabling them to use electronic forms of payment instead of cash and checks. During the fourth quarter net revenue had an increase of 9%, or 10% on a currency-neutral basis from the same period of prior year and operating income increased 23%, or 22% on a currency-neutral basis.

GuruFocus gives the stock a profitability and growth rating of 9 out of 10. The ROE of 69.46% and ROA of 24.04% are outperforming 96% of the companies in the Global Credit Services industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 1.61 is below the industry median of 3.69.

Tom Russo (Trades, Portfolio) is the largest shareholder among the gurus with 0.89% of outstanding shares followed by Segalas with 0.81%, Simons with 0.52%, Warren Buffett (Trades, Portfolio) with 0.46%, Ruane Cunniff (Trades, Portfolio) with 0.46% and Chuck Akre (Trades, Portfolio) with 0.44%.

The guru reduced his shares in Bank of America Corp. (BAC) by 62.44% with an impact of -1.06% on the portfolio.

It is a bank holding and a financial holding company. Through its subsidiaries, it provides banking and nonbanking financial services and products throughout the U.S. and in selected international markets. Fourth quarter total revenue, net of interest expense grew 1% and net interest income (NII) increased 6%. The company reported a decrease of 2% for noninterest income.

GuruFocus gives the stock a profitability and growth rating of 5 out of 10. The ROE of 5.62% and ROA of 0.76% are underperforming 71% of the companies in the Global Banks - Global industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.66 is below the industry median of 1.88.

Dodge & Cox is the largest shareholder among the gurus with 1.88% of outstanding shares followed by Barrow, Hanley, Mewhinney & Strauss with 0.72%, Fisher with 0.36%, HOTCHKIS & WILEY with 0.35%, Nygren with 0.33%, First Pacific Advisors (Trades, Portfolio) with 0.27% and Steven Romick (Trades, Portfolio) with 0.25%.

Disclosure: I do not own any shares of any stocks mentioned in this article.

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This article first appeared on GuruFocus.