Stocks Bought in Q3

Alibaba Group Holding Limited (NYSE:BABA)

– Shares Bought During Q3: 1.03 million
– Value of Holding (as of September 30): $170 million

– Q4 Return (through December 14): -9.57%

– Trailing P/E Ratio: 44.50

Citadel opened a new long position in Alibaba Group Holding Limited (NYSE:BABA) during Q3, to go along with its put and call positions (of course). Citadel was one of several funds to take new positions in Alibaba during the period, as it rose to 6th among the 30 Most Popular Stocks Among Hedge Funds.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

– Shares Bought During Q3: 3.22 million
– Value of Holding (as of September 30): $142.38 million

– Q4 Return (through December 14): -17.28%

– Trailing P/E Ratio: 16.66

– Forward Dividend Yield: 3.59%

Citadel also opened a large new long position in another Asian company during the quarter, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). It’s not the first time Citadel has owned the stock, having previously bought it during the second quarter of 2016. TSM shares rebounded strongly in Q3 following 11% losses in the first-half of the year, but have given up those gains in Q4.

Lowe’s Companies, Inc. (NYSE:LOW)

– Shares Bought During Q3: 3.71 million
– Value of Holding (as of September 30): $603 million

– Q4 Return (through December 14): -18.69%

– Trailing P/E Ratio: 20.75

– Forward Dividend Yield: 2.06%

Citadel raised its position in Lowe’s Companies, Inc. (NYSE:LOW) by 240% during Q3, lifting it to 5.25 million shares and elevating it to the fifth-largest long position in the fund’s 13F portfolio. Citadel appears to be confident in Lowe’s transformation plans, which have laid out a roadmap to 12% operating margins over the long-term, which would represent a 29% jump over the pro forma mark expected in the current fiscal year.

Stocks Sold in Q3

Church & Dwight Co., Inc. (NYSE:CHD)

– Shares Sold During Q3: 2.41 million
– Value of Holding (as of September 30): $0

– Q4 Return (through December 14): +15.77%

– Trailing P/E Ratio: 20.82

– Forward Dividend Yield: 1.27%

Citadel unloaded its long position in Church & Dwight Co., Inc. (NYSE:CHD) during Q3, which was valued at just under $128 million on June 30. The owner of iconic brands such as Arm & Hammer, Pepsodent and Trojan condoms, Church & Dwight Co., Inc. (NYSE:CHD) is anticipating organic sales growth of 4% during the current fiscal year.

KeyCorp (NYSE:KEY)

– Shares Sold During Q3: 19.30 million
– Value of Holding (as of September 30): $0

– Q4 Return (through December 14): -23.93%

– Trailing P/E Ratio: 10.58

– Forward Dividend Yield: 4.49%

KeyCorp (NYSE:KEY) is another stock that Citadel unloaded during Q3, which went against the overall hedge fund industry’s sentiment, as the number of shareholders of the stock rose by 14% during the quarter. However, hedge funds were underweight the bank holding company, owning less than 4% of its shares.

Disclosure: None