74.36 0.00 (0.00%)
After hours: 4:39PM EDT
Commodity Channel Index
|Bid||73.01 x 900|
|Ask||74.99 x 800|
|Day's Range||72.25 - 74.99|
|52 Week Range||61.13 - 90.64|
|Beta (5Y Monthly)||1.20|
|PE Ratio (TTM)||30.77|
|Earnings Date||May 11, 2020 - May 17, 2020|
|Forward Dividend & Yield||0.72 (1.02%)|
|Ex-Dividend Date||Mar 29, 2020|
|1y Target Est||83.75|
(Bloomberg) -- Activist investor Bill Ackman was so concerned about the potential impact of the coronavirus that he considered liquidating his hedge fund’s entire portfolio for the first time.Instead, the billionaire opted for another strategy: a lucrative credit hedge that earned his firm about $2.6 billion in profits when the market plummeted.Ackman said in a letter to investors in the fund, Pershing Square Capital Management, Monday that he used the proceeds from the credit bet to substantially boost investments in several portfolio companies. That included increasing his stake in Warren Buffett’s Berkshire Hathaway Inc. by 39%, and reinvesting in Starbucks Corp. in a new position valued at roughly $730 million.“We were sufficiently concerned about the health and economic implications of the coronavirus that we considered, for the first time ever, liquidating the portfolio in its entirety because we believed it was likely that markets would decline materially,” Ackman said in the letter. “After a careful review of the portfolio, we concluded that a hedging strategy was more consistent with our long-term ownership philosophy, and would likely lead to a better long-term outcome than selling off all of our assets.”Pershing Square used the proceeds to increase its holdings in Howard Hughes Corp., the real estate company that Ackman chairs, by 158% through a previously announced secondary offering. Ackman said his new Starbucks investment amounted to about 10% of Pershing Square’s $7.3 billion in assets under management after exiting his previous investment in the coffee chain this year.The activist investor boosted his stakes in Lowe’s Cos. by 46% and in Hilton Worldwide Holdings Inc. by 34%. Pershing Square also increased its holdings in Burger King owner Restaurant Brands International Inc. by 26% and medical device maker Agilent Technologies Inc. by 16%. The firm also raised its cash position to 18% from 14%.To protect the portfolio against the impact of the virus, Pershing Square paid about $27 million for hedges in the form of purchases of credit protection on investment-grade and high-yield credit indices, Ackman said in a letter last month. The hedges generated $2.6 billion in proceeds by the time he exited them on March 23.At their peak, Ackman said Monday, the hedges amounted to about 40% of the firm’s total capital.Hedges UnwoundAs a result, Pershing Square returned 11% on its investments in March amid the broader sell-off, bringing its year-to-date returns to 3.3% through March 31, according to its website.“We of course do not know whether the recent lows that have been achieved will be breached by further market declines,” Ackman said. “Our decision to unwind our hedges was driven by the less favorable risk-reward ratio offered by our credit hedges as spreads widened, and the much more favorable risk-reward ratio presented by the then-trading values of companies in which we bought shares.”He said he believed Pershing Square was well positioned to weather the impact of the coronavirus pandemic now that the hedges have been unwound.“We are fortunate to own businesses that are designed to withstand the test of time,” he said. “Importantly, our portfolio companies are generally considered essential businesses, and for the most part will remain open to the extent possible during a state and/or a national shutdown. All of our portfolio companies, however, will be affected to varying degrees in the short term by the virus’ impact on the global economy.”‘Hell Is Coming’Last month Ackman called for a 30-day shutdown across the U.S. to help slow the spread of Covid-19, the disease caused by the new coronavirus. In a March 18 interview, he said “hell is coming” if drastic steps weren’t taken to prevent its spread.A week later, he said in a interview with Bloomberg TV he had made a $2.5 billion “recovery bet” on a bounce back, after gaining confidence that President Donald Trump’s response to the outbreak was “heading in the right direction.”On Sunday, Ackman took to Twitter to convey his thoughts on the virus in a series of posts.“While it is hard to be positive when we know that tens of thousands more will die and many more will get severely sick, I have no choice but to be more optimistic about the intermediate future based on the data and facts I have seen recently. I hope I am right,” he wrote.(Updates with portion of hedges in eighth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Agilent Technologies Inc. (NYSE: A) today announced the launch of the newest instrument in its Raman technology portfolio. The new Agilent Vaya Raman raw material identity verification system is a handheld instrument that accelerates quality control testing in the pharmaceutical and biopharmaceutical industries.
Agilent Technologies Inc. (NYSE: A) today introduced the Agilent K6460S Clinical Edition TQ LC/MS system, designed to improve in vitro diagnostic workflows in clinical labs.
The furloughs at headquarters come 10 days after Belk temporarily shut down its stores due to the novel coronavirus outbreak.
Paul Tonsager moved to Jacksonville to be Patriot Rail Company's new chief commercial officer just as the coronavirus began sweeping the nation. Despite the large impact on operations and the focus on keeping employees safe and customers, Tonsager has big plans for growing Patriot. What attracted you to Patriot?
Agilent Technologies (A) makes products through three businesses -- Life Sciences and Applied Markets, Diagnostics and Genomics, and CrossLab, asserts Todd Shaver, editor of BullMarket Report.
(Bloomberg) -- Bill Ackman said he has invested a portion of his personal wealth to help manufacture antibody testing kits produced by Covaxx, a newly formed subsidiary of closely-held United Biomedical Inc., amid the outbreak of the coronavirus.Ackman has repeatedly called for a complete shutdown of the U.S. for 30-days to help combat the spread of the Covid-19 virus. He has also called for antibody testing, like the one Covaxx develops, across the country to determine who has been contracted the virus.“The key to a successful reopening beyond the maintenance of social distancing, hand washing, mask use and other related practices is a broad-based testing regime and tracing program,” Ackman said in a letter on Wednesday to investors in his hedge fund, Pershing Square Capital Management.“This will enable the inevitable viral breakouts to be identified early and minimized with localized quarantines, reducing the impact on the overall U.S. economy and the need for future shutdowns,” he said.HedgesAckman made a roughly 100 times return on hedges he had put in place to protect Pershing Squares’ $6.6 billion portfolio against the impact of the virus, according to the letter.His firm paid roughly $27 million for the hedges, which were made in the form of purchases of credit protection on investment-grade and high-yield credit indices. The hedges generated $2.6 billion in proceeds by the time he exited them on March 23.He said he has since redeployed the capital by investing further in his portfolio companies, including Lowe’s Cos., Agilent Technologies Inc., Hilton Worldwide Holdings Inc., Restaurant Brands International Inc., and Warren Buffett’s Berkshire Hathaway Inc. He also reinvested in Starbucks Corp.“The proceeds of the hedges have enabled us to become a substantially larger shareholder of a number of our portfolio companies, and to add some new investments, all at deeply discounted prices,” he said.Ackman said in an interview on CNBC on March 18 that “hell is coming” if drastic measures were not taken to combat the virus. A week later, he said in an interview with Bloomberg TV he had made a $2.5 billion “recovery bet” on a bounceback, after gaining confidence “that the president and his team are heading in the right direction.”Covaxx has already deployed over 100,000 Covid-19 tests in China, and is currently testing in San Miguel County, Colorado. The company believes it can scale the tests to hundreds of millions in “relative short order,” Ackman said. The billionaire made the investment through the Pershing Square Foundation, which manages his personal wealth. He did not disclose the size of the investment.Health officials in San Miguel County, home of the popular ski-town Telluride, teamed up with United Biomedical earlier this month to collect blood samples to test the kits and provide free screening to people in the area.The tests can determine whether a person has been infected by Covid-19 within hours, rather than the days it takes for the current, drive-thru nasal swab tests.Broader antibody based screen will give an accurate estimate of what percentage of the population is infected, Ackman said. That will allow more accurate data on the virus’s characteristics, such as how many people become critically ill and how many have only limited symptoms.“Imagine how differently and effectively we could have managed this crisis if we actually knew who was infected,” he said.United Biomedical has spent years producing vaccines for animals and working on human treatments for diseases like Alzheimer’s and Parkinson’s. It manufacturers its test kits on Long Island, New York.The company has been around for more than three decades. Its animal vaccines have been used to protect billions of farm animals from foot-and-mouth disease and to chemically castrate pigs. It also has developed blood-screening kits and a test for SARS, or Severe Acute Respiratory Syndrome.“We believe it is inevitable that in order to halt the advance of the virus and preserve the ability of local, city, and state health-care systems to deal with the volume of critical care patients, nearly all states will eventually initiate strong-form, non-essential business closures and stay-at-home regulations,” Ackman said.(Updates with additional details in the final paragraph; An earlier version of this report corrected the return on Ackman’s hedges)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The billionaire investor announced earlier this month that he had been hedging his portfolio against market volatility spurred by the coronavirus. The bet paid off handsomely.
The new coronavirus that was first identified late last year in Wuhan, China, is a dominant theme in the earnings releases and conference calls of S&P 500 companies as investors press for answers on how it will impact their business.
Health care, which makes up nearly 18% of American GDP, has long been a fruitful hunting ground for investors seeking growth. And medical-tech and medical-device stocks have always been particularly compelling niches.Not only do these companies ride the coattails of inexorable health-care spending, but their commitment to research and development can create new industries that they can in turn dominate.It's not an easy time right now, of course. The COVID-19 outbreak has taken a chunk out of every sector and almost every industry, with only a few "coronavirus stocks" enjoying any meaningful gains. Medical devices have at least been better than the market, which has declined by about 29% in this bear market so far, as measured by the S&P; 500\. But the iShares U.S. Medical Devices ETF (IHI) still has been cut to the tune of 25% in the same time frame.That could provide investors with a chance to buy medical-device stocks and other med-tech plays at a significant discount, however. While their growth might be stunted in the short-term, their longer-term prospects are likely to improve again once the COVID-19 threat is contained - and a few are seeing additional business in the wake of the outbreak.Here, we look at six med-tech and medical-device stocks to buy. SEE ALSO: 10 Health and Pharmaceutical Companies Fighting the Coronavirus
Agilent Technologies Inc. (NYSE: A) announced today an extension to its digital lab capabilities with Agilent CrossLab Asset Monitoring, an advanced service for laboratories seeking increased visibility and control over operations.
Agilent Technologies Inc. (NYSE: A) today announced that two of the company’s instruments have received Scientists’ Choice awards. The Agilent 8890 GC system won for Best New Separations Product, and the Agilent InfinityLab LC/MSD iQ system won for Best New Spectroscopy Product.
Coronavirus is probably the 1 concern in investors’ minds right now. It should be. On February 27th we publish an article with the title "Recession is Imminent: We Need A Travel Ban NOW". We predicted that a US recession is imminent and US stocks will go down by at least 20% in the next 3-6 […]
The Grand Bohemian is set to open in Charlotte next month. Learn more about that luxury boutique hotel's plans, including a South American-inspired restaurant and rooftop bar.
Agilent Technologies Inc. (NYSE: A) today introduced three new microarrays to meet the needs of cytogenetic laboratories conducting both prenatal and postnatal research.
Agilent Technologies Inc. (NYSE: A) and Visiopharm today announced that they have entered a co-marketing agreement. The announcement is happening at the USCAP 109th Annual Meeting being held February 29 through March 5, 2020, in Los Angeles, CA.