Billionaire Israel Englander’s Top Stock Picks for Q4

#3 Amazon.com Inc. (NASDAQ:AMZN)

 – Shares Owned by Millennium Management (as of September 30): 817,356

 – Value of Holding (as of September 30): $418.40 Million

Amazon.com Inc. (NASDAQ:AMZN) has seen its shares skyrocket by more than 107% since the beginning of the year, and some analysts believe that there is more room to run for the stock. Millennium Management increased its exposure to Amazon.com during the September quarter, lifting its position in the company by 263,200 shares. Getting back to the stock’s upside potential, Mark Lehmann of JMP Securities has an ‘Outperform’ rating and price target of $740 on the e-commerce retailer’s stock, which currently yields an upside of 15%. According to the analyst, the company’s Amazon Web Services, which has been growing and is anticipated to keep growing at a very solid pace, represents the main reason to own the stock. However, some believe that Amazon.com is too well diversified, and lacks focus and strategy. Tiger Global Management, founded by Chase Coleman, increased its position in Amazon.com Inc. (NASDAQ:AMZN) by 2.45 million shares during the latest quarter, to 3.19 million shares.

#2 Comcast Corporation (NASDAQ:CMCSA)

 – Shares Owned by Millennium Management (as of September 30): 7.73 million

 – Value of Holding (as of September 30): $439.59 Million

Comcast Corporation (NASDAQ:CMCSA) represents a new addition to Englander’s top five stock picks. The multi-billion dollar hedge fund lifted its position in the media and technology company by a whopping 7.56 million shares during the September quarter. Comcast’s stock has advanced by 5% since the beginning of the year and is currently trading at a trailing P/E ratio of 19.16, which is slightly below the aforementioned mean of 22.70 for the S&P 500. The company reported third quarter revenue of $18.67 billion, which was up by 11% year-over-year and above analysts’ expectations of $18 billion. Its adjusted earnings per share grew by 9.6% year-over-year to $0.80. Ken Fisher’s Fisher Asset Management reported owning 12.24 million Comcast Corporation (NASDAQ:CMCSA) shares through the latest round of 13Fs.

#1 Dow Chemical Co (NYSE:DOW)

 – Shares Owned by Millennium Management (as of September 30): 36.69 Million

 – Value of Holding (as of September 30): $1.56 Billion

Dow Chemical Co (NYSE:DOW) is the largest equity holding of Israel Englander as of the end of the third quarter, a position that accounts for 3.01% of Millennium’s portfolio value on September 30. The hedge fund firm increased its long position in the integrated science and technology company by 33.92 million shares during the third quarter. It is also worth pointing out that Millennium Management acquired a position of put options underlying 31 million Dow Chemical shares during the three-month period, so it might be the case that Englander and his team anticipate a short-term headwind for Dow Chemical that they are hedging against. The shares of Dow Chemical are up by 14% for the year and are trading at an alluring trailing P/E ratio of 14.11. The company also distributes an annualized dividend of $1.68, offering a current dividend yield of 3.25%. Dow Chemical Co (NYSE:DOW) was the fourth-largest equity holding of Dan Loeb’s Third Point on September 30 (read more details).

Disclosure: None