In its latest 13F filing with the U.S. Securities and Exchange Commission, Tiger Eye Capital, managed by Ben Gambill, has disclosed its long positions held at the end of the fourth quarter of 2014. The hedge fund reported stakes in a total of 51 holdings, with a reported value of around $1.3 billion. Consumer stocks represents nearly 50% of Tiger Eye Capital’s portfolio. In this article, we will talk about the fund’s top five holdings, in terms of value, which are NorthStar Asset Management Group Inc (NYSE:NSAM), Walt Disney Co (NYSE:DIS), TransDigm Group Incorporated (NYSE:TDG), AutoZone Inc. (NYSE:AZO), and Zayo Group Holdings Inc (NYSE:ZAYO).
Tiger Eye Capital was founded by Benjamin Gambill in 2009, with seed money from billionaire Julian Robertson. The hedge fund invests in a diverse set of industries including natural resources, industrials, technology-media-telecom (TMT), real estate, and financials. Tiger Eye Capital is one of the rare hedge funds that outperformed the S&P 500 index both in 2012 and 2013. Tiger Eye Master Fund returned 18.2% in 2012 and 37.6% in 2013. According to the fund’s 2014 Q2 investor letter, the fund returned 1.6% during the second quarter and 0.9% during the first half of 2014.
NorthStar Asset Management Group Inc (NYSE:NSAM) was the fund’s top holding, despite the investor decreasing its stake in the company during the fourth quarter. Tiger Eye Capital reported ownership of 2.17 million shares, down from 3.29 million shares the fund owned at the end of the third quarter. The stake is valued at approximately $49 million. NorthStar Asset Management Group Inc (NYSE:NSAM) is a $4.1 billion global asset management firm focused on managing real estate investment platforms. The company’s shares have moved up 17.07% over the last calendar year. Other investors in the company include Robert Pitts’ Steadfast Capital Management, which disclosed holding 12.78 million shares as of the end of the third quarter and MSDC Management, led by Marc Lisker, Glenn Fuhrman and John Phelan, which reported owning 6.27 million shares of the company at the end of September, 2014.
On the second position is Walt Disney Co (NYSE:DIS). During the fourth quarter, Tiger Eye Capital was bullish on the company, with the fund reporting holding 518,541 shares, worth $48.8 million. The stake represents an increase from the 390,732 shares the fund held as of the end of September, 2014. Walt Disney Co (NYSE:DIS) is a diversified international family entertainment and media enterprise, and has a market cap of $176.4 billion. Since February, 2014, the company’s stock gained 33.67% on the strength of assets like the hit movie Frozen. Other investors betting big on the company include Ken Fisher’s Fisher Asset Management, which reported holding 8.40 million shares of the company as of December 31, 2014, and Lansdowne Partners, run by Paul Ruddock and Steve Heinz, held 8.02 million shares as of September 30, 2014.
In TransDigm Group Incorporated (NYSE:TDG), Tiger Eye Capital upped its stake to 243,382 shares in the quarter from the 175,526 shares held earlier. The holding is valued at $47.79 million. TransDigm Group Incorporated (NYSE:TDG) is a designer and supplier of engineered aircraft components, with a market cap of $10.9 billion. The share price of the company has increased by 19.29% during the past year. Aside from Tiger Eye Capital, Stockbridge Partners, managed by Sharlyn C. Heslam, revealed owning 1.34 million shares of the company at the end of the third quarter, while Pennant Capital Management, led by Alan Fournier, held 2.14 million shares as of September 30, 2014.
AutoZone Inc. (NYSE:AZO) represented the fourth largest holding in Tiger Eye’s portfolio, as well as being a new position. The new purchases 76,600 shares have a value of $47.4 million. AutoZone Inc. (NYSE:AZO) is a retailer and distributor of automotive replacement parts and accessories, with a market cap of $19.8 billion. The company’s stock moved up 14.1% over the last year. Other investors that see value in the company include John Tompkins’ Tyvor Capital, which held 23,500 shares as of Sept. 30, 2014, and Iridian Asset Management, led by David Cohen and Harold Levy, which reported holding 259,314 shares of the company as of December 31, 2014.
Zayo Group Holdings Inc (NYSE:ZAYO) is on the fifth spot. Tiger Eye Capital initiated a new position in the company during the fourth quarter, of 1.53 million shares, worth $46.8 million. Zayo Group Holdings Inc (NYSE:ZAYO) is a $6.8 billion provider of bandwidth infrastructure in the United States and Europe. The company gained nearly 30% over the past year.
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