In this article, we discuss the 10 stocks that Israel Englander is buying. You can skip our detailed analysis of Englander’s hedge fund and recent developments, and go directly to read Billionaire Israel Englander is Buying These 5 Stocks.
Israel Englander founded Millennium Management in 1989 with $35 million. The fund currently manages over $57 billion in assets. Englander’s investment philosophy revolves around maintaining risk control and being disciplined while investing. He follows a simple strategy of quantitative analysis while choosing stocks. The hedge fund provides autonomy to portfolio managers, allowing them to operate in independent silos.
Over the years, Millennium Management has delivered strong returns to its shareholders. Other than 2008, the hedge fund never registered a negative year since 1990. In 2020, Millennium Management gained 26%, marking its best performance in 20 years.
Millennium’s multi-strategy fund is up 23.3% in 2021, while the fund gained 3.4% this month, through December 17, as reported by Bloomberg.
As of Q3 2021, Millennium Management’s 13F portfolio has a value of $166.7 billion, up from $163 billion in the previous quarter. Technology accounted for 17.1% of the hedge fund’s portfolio, while healthcare, finance, and consumer services represented 10.3%, 10.5%, and 12.1%, respectively.
In this article, we will focus on the new holdings of Millennium Management as of Q3. Some of the notable stocks in Israel Englander’s portfolio are JPMorgan Chase & Co. (NYSE:JPM), Oracle Corporation (NYSE:ORCL), Microsoft Corporation (NASDAQ:MSFT), Meta Platforms, Inc. (NASDAQ:FB), and NVIDIA Corporation (NASDAQ:NVDA).
Israel Englander of Millennium Management
Our Methodology
We selected the stocks in which Englander increased his stake or started investing in during the third quarter. For this list, we collected data from Millennium Management’s 13F portfolio as of Q3.
Billionaire Israel Englander is Buying These 10 Stocks
10. The Kraft Heinz Company (NASDAQ:KHC)
Number of Hedge Fund Holders: 33
Millennium Management’s Stake Value: $19,778,000
The Kraft Heinz Company (NASDAQ:KHC) is one of the newest acquisitions of Millennium Management in Q3. The hedge fund started building its position in the company with shares worth over $19.7 million. The Kraft Heinz Company (NASDAQ:KHC) accounted for 0.01% of Israel Englander’s portfolio.
Recently, The Kraft Heinz Company (NASDAQ:KHC) announced to acquire an 85% stake in German food products supplier, Just Spices. The acquisition will be completed in the first quarter of 2022. In Q3 2021, The Kraft Heinz Company (NASDAQ:KHC) posted an EPS of $0.65, beating estimates by $0.07.
At the end of Q3 2021, 33 hedge funds tracked by Insider Monkey held stakes in The Kraft Heinz Company (NASDAQ:KHC), the same as in the previous quarter. The total value of these stakes is over $12.3 billion. Warren Buffett’s Berkshire Hathaway was the company’s leading shareholder in the company in Q3, owning a roughly $12 billion worth of stake.
Like Oracle Corporation (NYSE:ORCL), Microsoft Corporation (NASDAQ:MSFT), Meta Platforms, Inc. (NASDAQ:FB), and NVIDIA Corporation (NASDAQ:NVDA), The Kraft Heinz Company (NASDAQ:KHC) is also one of the notable stocks in Israel Englander’s portfolio.
9. C3.ai, Inc. (NYSE:AI)
Number of Hedge Fund Holders: 24
Millennium Management’s Stake Value: $27,312,000
C3.ai, Inc. (NYSE:AI) is an American software company that provides services in AI technology. The company recently announced its fiscal Q2 2022 results and posted an EPS of -$0.23, which beat estimates by $0.06. Moreover, C3.ai, Inc. (NYSE:AI)’s subscription revenue stood at $47.4 million, up from $35.9 million during the same period last year.
As of Q3 2021, 24 hedge funds in Insider Monkey’s database reported owning stakes in C3.ai, Inc. (NYSE:AI), down from 29 in the preceding quarter. The total value of these stakes stood at over $199 million.
In Q3, Millennium Management increased its stake in C3.ai, Inc. (NYSE:AI) by 322%, and now holds shares worth $27.3 million. The company constituted 0.01% of Israel Englander’s portfolio. Recently, Needham appreciated C3.ai, Inc. (NYSE:AI) as the company was awarded a contract from the U.S. Department of Defense. The firm remained bullish on the stock, lifting its price target to $103, with a Buy rating on the shares.
8. Fiverr International Ltd. (NYSE:FVRR)
Number of Hedge Fund Holders: 29
Millennium Management’s Stake Value: $49,170,000
Fiverr International Ltd. (NYSE:FVRR) is an Israeli online marketplace for freelancers. Due to the growth in earnings by e-commerce and digital channels, recently, MKM Partners lifted its price target on Fiverr International Ltd. (NYSE:FVRR) to $175, with a Neutral rating on the shares.
In Q3, the number of hedge funds tracked by Insider Monkey having stakes in Fiverr International Ltd. (NYSE:FVRR) slightly declined to 29, from 30 in the previous quarter. These stakes hold a consolidated value of $520.4 million.
Millennium Management started building its position in Fiverr International Ltd. (NYSE:FVRR) during the second quarter of 2019. In Q3 2021, the hedge fund increased its stake by 654% in the company, which represented 0.02% of its portfolio. In November, Fiverr International Ltd. (NYSE:FVRR) reported a 33% year-over-year growth in its active buyers, reaching 4.1 million in number.
Baron Funds mentioned Fiverr International Ltd. (NYSE:FVRR) in its Q1 2021 investor letter. Here is what the firm has to say:
“We sold out of Fiverr International Ltd., the marketplace for freelance services, since the stock ran up multiple fold since our purchase less than a year ago and traded at a valuation that we thought captured much of the future opportunity.”
7. Merck & Co., Inc. (NYSE:MRK)
Number of Hedge Fund Holders: 77
Millennium Management’s Stake Value: $75,185,000
Merck & Co., Inc. (NYSE:MRK) is an American pharmaceutical company that also offers healthcare solutions to its consumers. Millennium Management started investing in the company during the second quarter of 2011 but sold its entire stake over time. In Q3, the hedge fund again started building its position in Merck & Co., Inc. (NYSE:MRK), with shares worth $75.1 million. The company accounted for 0.04% of Israel Englander’s portfolio.
At the end of Q3 2021, 77 hedge funds in Insider Monkey’s database reported owning stakes in Merck & Co., Inc. (NYSE:MRK), down from 79 in the previous quarter. These stakes hold a value of over $4.5 billion.
In Q3, Merck & Co., Inc. (NYSE:MRK) posted an EPS of $1.75, beating the estimates by $0.20. After solid Q3 results, the company expects to produce over 10 million courses of its Covid-19 pill by the end of the year, increasing it to 20 million in 2022. Recently, Goldman Sachs initiated its coverage on Merck & Co., Inc. (NYSE:MRK) with a Conviction Buy rating and a $93 price target.
Artisan Partners mentioned Merck & Co., Inc. (NYSE:MRK) in its Q1 2021 investor letter. Here is what the firm has to say:
“In Q1, we initiated a position in Merck, a provider of health care solutions including prescription medicines, vaccines, biologic therapies, animal health and consumer care products. We purchased Merck when the stock came under pressure in part on concerns that the newly minted Biden administration could implement regulatory changes and lower drug costs in the pharmaceutical industry. Recent, but anticipated changes to Merck’s management team have also weighed on shares, as have concerns over the company’s heavy reliance on immunotherapy treatment Keytruda. Notably, Merck is not getting much credit from investors for the 60+ programs it has in clinical development, despite having several solid and large new product opportunities. Additionally, the company’s strong balance sheet and robust free cash flow provide it multiple options for future partnerships and acquisitions. While Merck is undergoing a period of transition, we think the company’s fundamentals are strong and believe changes to management should be a catalyst for improvement.”
6. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 64
Millennium Management’s Stake Value: $210,591,000
Exxon Mobil Corporation (NYSE:XOM) is an American oil and gas corporation. Since the start of 2021, Exxon Mobil Corporation (NYSE:XOM) surged 44.7%, as of the close of December 20.
GQG Partners was the largest shareholder of Exxon Mobil Corporation (NYSE:XOM) in Q3, owning shares worth $1.56 billion. Overall, 64 hedge funds tracked by Insider Monkey held stakes in the company in Q3, compared with 68 in Q2. These stakes are valued at over $4.6 billion, up from $3.6 billion in the preceding quarter.
Millennium Management started investing in Exxon Mobil Corporation (NYSE:XOM) during the fourth quarter of 2010, with shares worth $26.1 million. In Q3 2021, the hedge fund increased its stake in the company by 3866%, and the stakes represented 0.12% of Israel Englander’s portfolio. Recently, JPMorgan lifted its price target on Exxon Mobil Corporation (NYSE:XOM) to $83, with an Overweight rating on the shares.
Exxon Mobil Corporation (NYSE:XOM) gained investors’ attention in 2021, like Microsoft Corporation (NASDAQ:MSFT), Meta Platforms, Inc. (NASDAQ:FB), and NVIDIA Corporation (NASDAQ:NVDA).
First Eagle Investment Management mentioned Exxon Mobil Corporation (NYSE:XOM) in its Q2 2021 investor letter. Here is what the firm has to say:
“Leading contributors in the First Eagle Global Fund this quarter included Exxon Mobil Corporation. The continued recovery in oil prices as economies reopen helped fuel another strong performance across the energy complex, including shares of Exxon Mobil. Exxon Mobil recently lost a proxy fight with an activist investor that took three of the company’s 12 board seats. While the press was focused on the investor’s concerns over Exxon Mobil’s long term energy transformation strategy, other factors fundamental to shareholder returns—like capital discipline and balance sheet management—were also at play.”
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Disclosure. None. Billionaire Israel Englander is Buying These 10 Stocks is originally published on Insider Monkey.
