Leon Cooperman is a famous figure on the Street. The manager of Omega Advisors managed to post impressive returns of around 14% since 1992 and grew the assets of the fund to over $10 billion. Omega Advisors has reported its equity portfolio for the end of the third quarter earlier today, disclosing an equity portfolio worth $6.8 billion, down from $7.6 billion owned at the end of June. In this article we will take a look at the top three positions in terms of value on which Omega Advisors has been bullish during the third quarter, which are represented by Actavis plc (NYSE:ACT), AerCap Holdings N.V. (NYSE:AER), and Sunedison Inc (NYSE:SUNE).
The healthcare sector amasses around 10% of Omega Advisors’ equity portfolio and Actavis plc (NYSE:ACT) represents a significant chunk of this segment. In its latest 13F, the fund reported ownership of 706,500 shares of the company, which have a value of $170.5 million. The position has been increased by 86,600 shares during the third quarter and currently amasses 2.50% of the total equity portfolio value. Omega Advisors added Actavis to its equity portfolio during the first quarter, holding 264,100 shares at the end of March.
Actavis plc (NYSE:ACT)’s stock surged by over 45% since the beginning of the year. The company has been recently recommended by the manager of Glenview Manager, Larry Robbins. However, Glenview has not yet revealed ownership of shares of Actavis. Moreover, Actavis plc (NYSE:ACT) has been recently in the news amid a possibility to purchase Allergan, Inc. (NYSE:AGN). A potential deal could offset the plans of activist investor Bill Ackman, who has been trying to buy Allergan together with Valeant Pharmaceuticals Intl Inc (NYSE:VRX).
Another shareholder of Actavis plc (NYSE:ACT) is Andreas Halvorsen‘s Viking Global, which owns around 2.55 million shares as of the end of June.
Next on the list is AerCap Holdings N.V. (NYSE:AER), which is a new position in Omega Advisors’ equity portfolio. During the third quarter, the fund purchased some 3.73 million shares, worth $152.7 million. AerCap Holdings N.V. (NYSE:AER) is a $9 billion aviation company that is engaged in purchasing aviation assets, and lease them. At the beginning of November, AerCap reported earnings of $1.61 per share million for the third quarter, a significant increase from $0.74 million a year ago, that was primarily driven by the company’s acquisition of International Lease Finance Corporation (ILFC) from American International Group Inc (NYSE:AIG).
One of the largest shareholders of AerCap Holdings N.V. (NYSE:AER) is Barry Rosenstein‘s JANA Partners, which during the third quarter purchased 377,400 shares, taking its stake to 11.34 million shares.
Last but not least is Sunedison Inc (NYSE:SUNE), of which Omega Advisors owns 7.80 million shares, as of the end of September, up by 6% over the quarter. The position is valued at $147.2 million, and amasses 2.2% of the fund’s equity portfolio. Omega has initiated a position in Sunedison during the fourth quarter of 2013 and initially held 8.10 million shares, but it reduced the position during the first two quarters of this year.
Sunedison Inc (NYSE:SUNE) is one of the leaders in the solar energy business and its stock gained around 30% year-to-date. The company has been recently recommended by the manager of Greenlight Capital, David Einhorn, during his speech at the Robin Hood Conference in New York. Greenlight is one of the largest shareholders of Sunedison and owns 21.27 million shares as of the end of the third quarter. The fund inched down its stake by 29,200 shares during the third quarter, but the $401.7 million stake is still one of the largest holdings in its equity portfolio.
Even though Sunedison Inc (NYSE:SUNE) lost some of its value since earlier this year, when it was trading at around $24 per share, it still has a potential to grow, as the renewable energy industry is expected to advance further. In June, Deutsche Bank upgraded its rating to ‘Buy’ and boosted price target to $35.00, from $13.00, with the stock advancing by 60% since the beginning of the year back then.
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