TheChek News Flow

Paulson & Co (John Paulson) discloses updated portfolio positions in 13F filing: Exits GOLD APA

Highlights from Q4 2022 filing as compared to Q3 2022:

• Maintained positions in: THM (~61.9 mln shares), BHC (~26.4 mln shares), PPTA (~24.8 mln shares), NG (~22.2 mln shares), BSIG (~8.95 mln shares), SA (~2.1 mln shares), BALY (~0.9 mln shares)
• Closed positions in: GOLD (from ~1.6 mln shares), APA (from ~1.2 mln) RUM (from ~0.3 mln), VMW (from ~0.26 mln)
• Decreased positions in: HZNP (to ~1.5 mln shares from ~6.1 mln shares), OSG (to ~2.81 mln from ~5.72 mln), SSRM (to ~2 mln from ~3.12 mln), AEM (to ~0.78 mln from ~1.03 mln), AU (to ~3.83 mln from ~3.98 mln), THRY (to ~2 mln from ~2.14 mln), KWEB (to ~2.3 mln from ~2.4 mln)

After Hours Summary: Lots of 13F filings today; ABNB +9.9% jumps following earnings; OSUR +17.4%, TRIP +8.4%, HLF +4.9% also higher on earnings; CRDO -48.4% falls on weak guidance; UDMY -8.8%, DVN -5.4% lower on earnings

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: OSUR +17.4%, ABNB +9.9%, SMWB +9.6%, TRIP +8.4%, NU +7.5%, HLF +4.9%, CRK +3.9%, WIRE +1.9%, MGY +1.4%, GXO +1.1%, ADC +1.1%, AKAM +0.2%

Companies trading higher in after hours in reaction to news: RBBN +4.7% (Bharti Airtel selects co to build its new high-speed transport network), LPX +3.3% (Berkshire Hathaway / Warren Buffett discloses increased position in 13F filing), PARA +2% (Berkshire Hathaway / Warren Buffett discloses increased position in 13F filing), EXPE +1.2% (in sympathy with strong ABNB earnings), BKNG +1.2% (in sympathy with strong ABNB earnings), BYD +0.8% (increases dividend), APTV +0.6% (Appaloosa / David Tepper discloses new position in 13F filing), ADI +0.2% (increases dividend), DIS +0.1% (Appaloosa / David Tepper discloses new position in 13F filing)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: CRDO -48.4%, POWW -14.7%, UDMY -8.8% (also 10% workforce reduction), TX -5.9%, CNDT -5.4%, DVN -5.4% (also increases dividend), GDDY -3.3%, UPST -3.3%, LTHM -1.9%, ABST -1.4%, NMIH -0.5%, SU -0.1%

Companies trading lower in after hours in reaction to news: TSM -4.3% (Berkshire Hathaway / Warren Buffett discloses decreased position in 13F filing), USB -1% (Berkshire Hathaway / Warren Buffett discloses decreased position in 13F filing), BK -0.6% (Berkshire Hathaway / Warren Buffett discloses decreased position in 13F filing), MEDP -0.6% (files mixed securities shelf offering; also files offering by selling shareholders), CF -0.6% (supply deal with BP for nat gas), CLF -0.4% (files mixed securities shelf offering), META -0.2% (ending live shopping on Instagram), CZR -0.1% (Appaloosa / David Tepper discloses new position in 13F filing)

Greenlight Capital (David Einhorn) discloses updated portfolio positions in 13F filing: New THC FNKO positions, Exits INTC

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: THC (~0.66 mln shares), FNKO (~0.52 mln), GPOR (~0.13 mln)
• Increased positions in: SWN (to ~8.99 mln shares from ~6.1 mln shares), KD (to ~9.01 mln from ~7.25 mln), DNMR (to ~2.25 mln from ~1.92 mln), GPK (to ~1.07 mln from ~0.83 mln), GPN (to ~0.47 mln from ~0.27 mln), CIVI (to ~0.46 mln from ~0.28 mln), CEIX (to ~1.81 mln from ~1.71 mln) LIVN (to ~0.84 mln from ~0.81 mln), GLPG (to ~0.16 mln from ~0.15 mln)
• Maintained positions in: GRBK (~16.91 mln shares), ODP (~1.65 mln shares), SLV (~1.52 mln shares)
• Closed positions in: INTC (from ~0.72 mln shares), NWS (from ~0.36 mln), RIVN (from ~0.07 mln)
• Decreased positions in: VSCO (to ~0.41 mln shares from ~0.68 mln shares), WFRD (to ~0.58 mln from ~0.75 mln), BHF (to ~3.2 mln from ~3.34 mln), REZI (to ~1.48 mln from ~1.57 mln), CPRI (to ~0.95 mln from ~0.99 mln), GLD (to ~0.21 mln from ~0.25 mln), CNXC (to ~0.1 mln from ~0.11 mln)

ValueAct (Jeffrey Ubben and Bradley Singer) discloses updated portfolio positions in 13F filing: Affirms CRM position

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: CRM (~0.56 mln shares)
• Increased positions in: NYT (to ~13.65 mln shares from ~11.61 mln shares)
• Maintained positions in: FISV (~14.65 mln shares), STX (~13.44 mln shares), CBRE (~9.23 mln shares), NSIT (~4.42 mln shares)
• Closed positions in: C (from ~10.99 mln shares), BLD (from ~1.55 mln), RKT (from ~1.3 mln)
• Decreased positions in: LKQ (to ~6.05 mln shares from ~12.55 mln shares), KKR (to ~23.7 mln from ~26.46 mln)

Carl Icahn discloses updated portfolio positions in 13F filing: Confirms lowered HRI holding

Highlights from Q4 2022 filing as compared to Q3 2022:

• Increased positions in: IEP (to ~300 mln shares from ~288.56 mln shares)
• Maintained positions in: CVI (~71.2 mln shares), BHC (~34.72 mln shares), XRX (~34.25 mln shares), NWL (~33.07 mln shares), FE (~18.97 mln shares), DAN (~14.29 mln shares), SWX (~6.61 mln shares)
• Decreased positions in: LNG (to ~1 mln shares from ~2.11 mln shares), HRI (to ~3.7 mln from ~4.02 mln)

Glenview Capital (Larry Robbins and Mark Horowitz) discloses updated portfolio positions in 13F filing: New BHC UHS FTCH positions

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: BHC (~1.5 mln shares), UHS (~0.91 mln), FTCH (~0.62 mln), META (~0.53 mln), TPX (~0.39 mln), GOOGL (~0.35 mln), PYPL (~0.25 mln), SPLK (~0.15 mln)
• Increased positions in: ALIT (to ~7.8 mln shares from ~1.7 mln shares), CLVT (to ~10.1 mln from ~4.5 mln), BKD (to ~13.8 mln from ~9.8 mln), MYGN (to ~3.1 mln from ~1.5 mln), EVLV (to ~5.98 mln from ~4.65 mln), ZI (to ~1.75 mln from ~0.75 mln), THC (to ~8.9 mln from ~8.1 mln) FLEX (to ~4.05 mln from ~3.3 mln), DNB (to ~0.88 mln from ~0.25 mln), ATVI (to ~0.97 mln from ~0.47 mln), EXPE (to ~0.5 mln from ~0.24 mln), GPN (to ~2.39 mln from ~2.16 mln), HCA (to ~0.44 mln from ~0.32 mln), VVV (to ~3.49 mln from ~3.39 mln)
• Maintained positions in: DXC (~9.7 mln shares), UBER (~4.01 mln shares), CCEP (~2.07 mln shares), MCK (~0.65 mln shares)
• Closed positions in: BLCO (from ~1.52 mln shares), AMZN (from ~1.15 mln), HYPR (from ~0.61 mln), OHPAU (from ~0.49 mln), EHC (from ~0.35 mln), BSX (from ~0.17 mln), MSFT (from ~0.16 mln), EHAB (from ~0.1 mln)
• Decreased positions in: SABR (to ~1.14 mln shares from ~3.12 mln shares), APTV (to ~0.92 mln from ~2.28 mln), QSI (to ~4.25 mln from ~5.1 mln), USFD (to ~3.84 mln from ~4.62 mln), ESI (to ~3.1 mln from ~3.86 mln), DD (to ~1.15 mln from ~1.83 mln), CTVA (to ~0.68 mln from ~1.35 mln), LVS (to ~0.77 mln from ~1.14 mln), BAX (to ~2.01 mln from ~2.26 mln)

Closing Stock Market Summary

The stock market traded in mixed fashion today as investors digested the January Consumer Price Index (CPI).

Briefly, total CPI increased 0.5% month-over-month (consensus 0.5%) following last month's upwardly revised 0.1% increase (from -0.1%) and core-CPI, which excludes food and energy, increased 0.4% month-over-month (consensus 0.4%) on top of last month's upwardly revised 0.4% increase (from 0.3%). On a year-over-year basis, total CPI was up 6.4% -- the smallest 12-month increase since the period ending October 2021 -- and core-CPI was up 5.6% -- the smallest 12-month increase since December 2021.

Still, the year-over-year levels were not as low as expected; and it didn't escape notice that services inflation, less energy services, accelerated to 7.2% year-over-year from 7.0% in December. 

The Treasury market had a stronger reaction initially with market participants cognizant that this report won't convince the Fed to pause its rate hikes yet and it certainly won't convince the Fed that a rate cut might be in order this year. The 2-yr note yield, which stood at 4.50% just before the report, surged to 4.66% before settling the session at 4.63%. The 10-yr note yield, at 3.68% before the report, surged to 3.79% before settling the session at 3.76%.

The stock market looked less resolute in its thought process. The main indices moved higher shortly after the open with investors seemingly still willing to buy on weakness before the early gains faded and the S&P 500 briefly slipped below the 4,100 level. As yields pulled back from their highs, the major indices were able to bounce somewhat and close the session well above their intraday lows. 

The Nasdaq closed with a decent gain today thanks to an upside pull from several mega cap stocks. The Vanguard Mega Cap Growth ETF (MGK) was up 0.5% versus a 0.2% loss in the Invesco S&P 500 Equal Weight ETF (RSP).

Most of the S&P 500 sectors registered a decline with real estate (-1.0%) and consumer staples (-0.9%) sinking the bottom of the pack. The heavily weighted information technology (+0.4%) and consumer discretionary (+1.2%) sectors led the outperformers. 

Market internals also reflected mixed action under the surface. Decliners led advancers at the Nasdaq while advancers were roughly in line with decliners at the NYSE. 

• Nasdaq Composite: +14.3% YTD
• Russell 2000: +10.1% YTD
• S&P Midcap 400: +9.9% YTD
• S&P 500: +7.7% YTD
• Dow Jones Industrial Average: +2.8% YTD

Reviewing today's economic data:

• Total CPI increased 0.5% month-over-month (consensus 0.5%) following last month's upwardly revised 0.1% increase (from -0.1%) and core-CPI, which excludes food and energy, increased 0.4% month-over-month (consensus 0.4%) on top of last month's upwardly revised 0.4% increase (from 0.3%). The index for shelter accounted for nearly half of the monthly all items increase.
• On a year-over-year basis, total CPI was up 6.4% -- the smallest 12-month increase since the period ending October 2021 -- and core-CPI was up 5.6% -- the smallest 12-month increase since December 2021. Still, the year-over-year levels were not as low as expected.
  • The key takeaway from the report is that there has been a clear deceleration from peak inflation; however, the inflation rates are not nearly low enough to suggest the Fed would even be thinking about cutting rates this year.

Some of the companies reporting earningsahead of tomorrow's open include: Kraft Heinz(KHC), Analog Devices (ADI), Biogen (BIIB), Roblox (RBLX), The Trade Desk (TTD), Ryder System (R), and Generac (GNRC).

Market participants will receive the following economic data on Wednesday:

• 7:00 ET: Weekly MBA Mortgage Index (prior 7.4%)
• 8:30 ET: January Retail Sales (consensus 1.7%; prior -1.1%), Retail Sales ex-auto (consensus 0.8%; prior -1.1%), and February Empire State Manufacturing Survey (consensus -19.0; prior -32.9)
• 9:15 ET: January Industrial Production (consensus 0.5%; prior -0.7%) and Capacity Utilization (consensus 79.1%; prior 78.8%)
• 10:00 ET: December Business Inventories (consensus 0.3%; prior 0.4%) and February NAHB Housing Market Index (consensus 37; prior 35)
• 10:30 ET: Weekly crude oil inventories (prior 2.42 mln)
• 16:00 ET: December net Long-Term TIC Flows (prior $171.5 bln)

Elliott Management (Paul Singer) discloses updated portfolio positions in 13F filing: New HYG JNK NI positions

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: HYG (~7.13 mln shares), JNK (~2.56 mln), NI (~1.22 mln), LBRDK (~0.92 mln), NWSA (~0.06 mln)
• Increased positions in: PINS (to ~27.91 mln shares from ~15 mln shares), ETWO (to ~19.17 mln from ~18 mln)
• Maintained positions in: MPC (~11.07 mln shares), CLVT (~10 mln shares), SU (~10 mln shares), VAL (~3.45 mln shares), NE (~2.85 mln shares), LQD (~2.23 mln shares), CAH (~2 mln shares)
• Decreased positions in: UNIT (to ~10.12 mln shares from ~14.17 mln shares), BTU (to ~23.03 mln from ~25.86 mln), AJRD (to ~0.85 mln from ~3 mln), HWM (to ~34.69 mln from ~36.15 mln), PSNY (to ~1.24 mln from ~1.57 mln)

Appaloosa (David Tepper) discloses updated portfolio positions in 13F filing: New CZR DIS APTV positions

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: CZR (~0.43 mln shares), DIS (~0.3 mln), APTV (~0.05 mln)
• Increased positions in: UBER (to ~1.23 mln shares from ~1 mln shares), CHK (to ~0.25 mln from ~0.09 mln), CRM (to ~0.3 mln from ~0.19 mln), HCA (to ~0.18 mln from ~0.08 mln), AMZN (to ~1.5 mln from ~1.45 mln) BABA (to ~0.1 mln from ~0.09 mln),
• Maintained positions in: ET (~10.2 mln shares), M (~5.95 mln shares), EQT (~2.55 mln shares), GOOG (~2 mln shares), AR (~1.25 mln shares), MSFT (~0.24 mln shares), UNH (~0.15 mln shares)
• Closed positions in: MOS (from ~0.13 mln shares)
• Decreased positions in: META (to ~0.58 mln shares from ~0.88 mln shares), EPD (to ~0.52 mln from ~0.78 mln), CEG (to ~2.4 mln from ~2.63 mln), AMLP (to ~0.2 mln from ~0.41 mln), SYY (to ~0.15 mln from ~0.2 mln)

Third Point (Dan Loeb) discloses updated portfolio positions in 13F filing: New AIG (confirmed) IFF FIS positions

Highlights from Q4 2022 filing as compared to Q3 2022:

• New positions in: AIG (confirmed ~5.1 mln shares), IFF (~2.3 mln), FIS (~2 mln), MSFT (~1.18 mln), LH (~0.19 mln)
• Increased positions in: BBWI (to ~13.75 mln shares from ~8.14 mln shares), TJX (to ~2.65 mln from ~1.75 mln), DD (to ~3 mln from ~2.38 mln)
• Maintained positions in: CL (~11.55 mln shares), HTZ (~5.35 mln shares), OVV (~4 mln shares), DHR (~2.7 mln shares), FERG (~0.93 mln shares), UNH (~0.67 mln shares)
• Closed positions in: CANO (from ~10.83 mln shares), PRM (from ~5.75 mln), RRC (from ~3.9 mln), EQT (from ~3.25 mln), CRK (from ~3 mln), CSX (from ~2.75 mln), CPUH (from ~2.5 mln), TMUS (from ~0.7 mln), TTWO (from ~0.5 mln)
• Decreased positions in: PCG (to ~59.07 mln shares from ~63.4 mln shares), S (to ~14.7 mln from ~19 mln), VTYX (to ~1 mln from ~4.31 mln), DIS (to ~0.95 mln from ~1.4 mln)