Larry Robbins’ Glenview Capital Bought More $LNCR

Larry Robbins’ Glenview Capital revealed on October 11th that it owned 5.73 million shares in Lincare Holdings Inc. (LNCR), corresponding to a 6.14% ownership stake. Based on its last 13F filing, Glenview Capital increased its position by 84% to 3.10 million shares, or 3.32% stake in LNCR by the end of Q2, and the firm did not make any other adjustment to its position in that stock since then. So this was a 2.63 million shares’ expansion. LNCR had an even performance in the first half of 2011, but it slumped throughout July and in early August. After that the stock was wavering between $20 and $22.5. It is possible that Glenview Capital made the entry at about $21. Now LNCR is trading at $22, still seeking for an upper bound breakout.

Sixteen hedge funds had LNCR in their portfolios in the second quarter when Larry Robbins’ Glenview Capital had the most shares. Robert Rodriguez and Steven Romick’s First Pacific Advisors owned 1.52 million shares, or 1.63% stake, about half the amount as Glenview Capital. Chuck Royce’s Royce & Associates had 602 thousand shares, or 0.65% stake of LNCR.

Glenview Capital is managed under Larry Robbins, who was a trader at Leon Cooperman’s Omega Advisors prior to founding Glenview Capital in February 2001. Larry Robbins’ Glenview returned 301% after fees and expenses between January 2001 and December 2010. Glenview Capital also returned 15.7% in 2010, performing better than average hedge funds and the S&P 500 index. Larry Robbins’ Glenview, once a$9 billion hedge fund, lost around half of its assets and underperformed the market in 2008. Asset losses and a poor performance made them lay off 12 employees right before Christmas that year. Glenview lost around 50% in 2008, but the bad days may be behind them now. The fund returned 82.7% in 2009.

Lincare Holdings Inc. is a provider of oxygen and other respiratory therapy services to patients. It focuses on customers with chronic obstructive pulmonary disease (COPD). The company mainly provides Home Oxygen Equipment, Other Respiratory Therapy and Home Infusion Therapy. It also offers durable medical equipment (DME) and home infusion therapies.