Billionaire Louis Bacon’s Revamped Top Picks

Mr. Bacon is betting that shares of Bank of America Corp (NYSE:BAC) will rally, with the stock having fallen by more than 30% over the past few months. Moore Global reported a 483% increase to its position in the investment bank, to 5.54 million shares worth approximately $93.3 million. Bank of America Corp (NYSE:BAC) did not escape the recent market selloff, having plunged by 33% from its November high of $18.09 per share. As was the case with Citigroup, Bank of America Corp (NYSE:BAC)’s latest quarterly report did not offer any support for its stock. The second-largest U.S bank by assets reported revenue of $19.5 billion, up by 4.3% year-over-year, and adjusted earnings of $0.29 per share, above analysts’ consensus estimate of $0.26 per share.

Mr. Bacon has also decided to up his interest in Facebook Inc (NASDAQ:FB), boosting his investment by roughly 150% over the fourth quarter, with Moore Global holding 925,209 shares valued at $96.8 million as of the end of December. It did not take long for the bet to pay off, with Facebook Inc (NASDAQ:FB) reporting fourth quarter earnings that easily beat market expectations. The social media giant posted revenue of $5.84 billion, up by 52% year-over-year, and earnings of $0.79 per share, surpassing analysts’ expectations of $0.75 per share and $5.67 billion in revenue. Stephen Mandel took some profit off the table in the fourth quarter, reducing his Facebook Inc (NASDAQ:FB) holding to 9.78 million shares worth roughly $1.02 billion at the end of the quarter.

And finally, Moore Global’s top bet heading into 2016 is Amazon.com, Inc. (NASDAQ:AMZN). During the fourth quarter the firm roughly doubled its stake in the e-commerce giant, taking it to 153,697 shares worth north of $103.8 million. Amazon.com, Inc. (NASDAQ:AMZN)’s latest quarterly report was not as impressive as its previous two, as it failed to meet the Street’s expectations. While analysts were looking for revenue of $35.9 billion and earnings of $1.55 per share, the company only managed earnings of $1.00 per share and revenue of $35.7 billion. On the other hand, Amazon Web Services, Amazon.com, Inc. (NASDAQ:AMZN)’s cloud-based business, nearly doubled during 2015 and investors are closely monitoring its development, as it could become a major source of revenue for the e-commerce giant in the years ahead.

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