TheChek News Flow

Glenview Capital (Larry Robbins and Mark Horowitz) discloses updated portfolio positions in 13F filing: New MSFT FLDM PEAK WELL positions

Highlights from 2020 Q3 filing as compared to Q2 2020:

• New positions in: FLDM (~0.81 mln shares), PEAK (~0.41 mln), WELL (~0.12 mln), MDT (~0.11 mln), MSFT (~0.05 mln), VVI (~0.05 mln), AMGN (~0.05 mln)
• Increased positions in: MYGN (to ~2.76 mln shares from ~1.81 mln shares), TAK (to ~16.79 mln from ~16.2 mln), LYFT (to ~0.68 mln from ~0.39 mln), EXPE (to ~0.35 mln from ~0.26 mln), PRAH (to ~0.09 mln from ~0.02 mln) BAX (to ~0.13 mln from ~0.08 mln), MCK (to ~1.27 mln from ~1.22 mln) FISV (to ~0.19 mln from ~0.17 mln),
• Maintained positions in: THC (~19.76 mln shares), CI (~1.31 mln)
• Closed positions in: PACB (from ~3.15 mln shares), HST (from ~0.74 mln), UNH (from ~0.11 mln), TMO (from ~0.08 mln), EW (from ~0 mln)
• Decreased positions in: NUAN (to ~2.41 mln shares from ~5.04 mln shares), VIAC (to ~3.44 mln from ~5.76 mln), DXC (to ~10.22 mln from ~11.99 mln), MTOR (to ~3.87 mln from ~5.45 mln), MIK (to ~2.25 mln from ~3.5 mln), BSX (to ~1.05 mln from ~2.11 mln), CAR (to ~1.32 mln from ~2.28 mln), CTVA (to ~1.67 mln from ~2.52 mln), BKD (to ~12.59 mln from ~13.34 mln), ENDP (to ~8.71 mln from ~9.45 mln), ESI (to ~2.48 mln from ~3.19 mln), BHC (to ~14.96 mln from ~15.64 mln), DVA (to ~0.19 mln from ~0.79 mln), HCA (to ~1.64 mln from ~2.16 mln), HOLX (to ~1.45 mln from ~1.94 mln), FMC (to ~0.69 mln from ~1.15 mln), DGX (to ~0.16 mln from ~0.55 mln), MAR (to ~0.44 mln from ~0.72 mln), EBAY (to ~0.29 mln from ~0.55 mln), URI (to ~0.08 mln from ~0.32 mln), ABC (to ~0.82 mln from ~0.96 mln), IQV (to ~0.42 mln from ~0.55 mln), MOH (to ~0.21 mln from ~0.33 mln)

Corvex Management (Keith Meister) discloses updated portfolio positions in 13F filing: New FE ACM TWTR positions

Highlights from 2020 Q3 filing as compared to Q2 2020:

• New positions in: FE (~1.2 mln shares), ACM (~0.81 mln), TWTR (~0.67 mln), NAV (~0.32 mln), ZEN (~0.26 mln), FWONK (~0.25 mln), DIS (~0.22 mln), ILMN (~0.13 mln)
• Increased positions in: EXC (to ~3.71 mln shares from ~2.17 mln shares), CNP (to ~2.59 mln from ~1.58 mln), ATVI (to ~0.72 mln from ~0.47 mln), EVRG (to ~0.73 mln from ~0.63 mln), LYV (to ~0.15 mln from ~0.15 mln)
• Maintained positions in: MGM (~22.54 mln shares), ATUS (~2.99 mln shares), CMCSA (~0.88 mln shares), GLD (~0.51 mln shares), BABA (~0.28 mln shares), JPM (~0.26 mln shares), HUM (~0.07 mln shares)
• Closed positions in: FLMN (from ~1.89 mln shares), IAA (from ~0.61 mln), TIF (from ~0.06 mln)
• Decreased positions in: MSGS (to ~0.03 mln shares from ~0.34 mln shares), IAC (to ~0.36 mln from ~0.46 mln), TMUS (to ~0.93 mln from ~1 mln), NFLX (to ~0.08 mln from ~0.1 mln), AMZN (to ~0.02 mln from ~0.03 mln), ADBE (to ~0.08 mln from ~0.08 mln)

Appaloosa (David Tepper) discloses updated portfolio positions in 13F filing: Increased MU MSFT holdings, Exited QCOM AVGO

Highlights from 2020 Q3 filing as compared to Q2 2020:

• Increased positions in: ET (to ~18.97 mln shares from ~15.12 mln shares), MU (to ~12.25 mln from ~9.35 mln), MSFT (to ~0.3 mln from ~0.28 mln)
• Closed positions in: VST (from ~1.12 mln shares), QCOM (from ~0.52 mln), AVGO (from ~0.2 mln), TSLA (from ~0.04 mln), HUM (from ~0.01 mln)
• Decreased positions in: T (to ~4.63 mln shares from ~9.08 mln shares), BABA (to ~2.22 mln from ~3.38 mln), WFC (to ~0.88 mln from ~1.9 mln), TWTR (to ~4.66 mln from ~5.55 mln), TMUS (to ~5.22 mln from ~5.9 mln), MO (to ~0.93 mln from ~1.55 mln), SYY (to ~1.28 mln from ~1.88 mln), FB (to ~1.77 mln from ~2.23 mln), GT (to ~4.55 mln from ~5 mln), WES (to ~0.71 mln from ~1.08 mln), TEN (to ~0.76 mln from ~1.1 mln), DIS (to ~0.88 mln from ~1.2 mln), PYPL (to ~0.61 mln from ~0.87 mln), AMLP (to ~0.91 mln from ~1.12 mln), EMR (to ~1.23 mln from ~1.4 mln), BSX (to ~0.79 mln from ~0.95 mln), V (to ~0.68 mln from ~0.84 mln), ENBL (to ~0.31 mln from ~0.46 mln), SQ (to ~0.28 mln from ~0.4 mln)

Berkshire Hathaway (Warren Buffett) discloses updated portfolio positions in 13F filing: New BMY MRK ABBV PFE TMUS positions, Exited COST

Highlights from 2020 Q3 filing as compared to Q2 2020:

• New positions in: BMY (~29.97 mln shares), MRK (~22.4 mln), ABBV (~21.26 mln), SNOW (~6.13 mln), PFE (~3.71 mln), TMUS (~2.41 mln)
• Increased positions in: BAC (to ~1010.1 mln shares from ~925.01 mln shares), GM (to ~80 mln from ~74.68 mln), KR (to ~24.98 mln from ~21.94 mln), LILAK (to ~1.43 mln from ~1.28 mln)
• Maintained positions in: KO (~400 mln shares), KHC (~325.63 mln shares), AXP (~151.61 mln shares), USB (~131.96 mln shares), BK (~72.36 mln shares), MCO (~24.67 mln shares), VRSN (~12.82 mln shares), CHTR (~5.21 mln shares)
• Closed positions in: COST (from ~4.33 mln shares)
• Decreased positions in: WFC (to ~127.38 mln shares from ~237.58 mln shares), AAPL (to ~944.3 mln from ~980.62 mln), JPM (to ~0.97 mln from ~22.21 mln), GOLD (to ~12 mln from ~20.92 mln), PNC (to ~1.92 mln from ~5.35 mln), DVA (to ~36.1 mln from ~38.1 mln), MTB (to ~2.92 mln from ~4.54 mln), LBTYA (to ~18.01 mln from ~19.31 mln), AXTA (to ~23.42 mln from ~24.07 mln)

Viking Global (Andreas Halvorsen) discloses updated portfolio positions in 13F filing: New VBIV TSM positions, Exited UBER JD PLAN CRM LOW NFLX

Highlights from 2020 Q3 filing as compared to Q2 2020:

• New positions in: VBIV (~8.8 mln shares), TSM (~6.15 mln), RTX (~6.15 mln), INBX (~5.31 mln), GOCO (~4.69 mln), PACB (~4.52 mln), AMD (~4.5 mln), OTIS (~3 mln), ANTM (~0.52 mln), FLT (~0.47 mln), LH (~0.43 mln), CSGP (~0.3 mln), PODD (~0.21 mln), GOOGL (~0.19 mln)
• Increased positions in: MSFT (to ~8.26 mln shares from ~3.71 mln shares), TMUS (to ~8.07 mln from ~3.8 mln), NUAN (to ~16.98 mln from ~12.8 mln), JPM (to ~9.45 mln from ~6.41 mln), AVTR (to ~8.22 mln from ~5.48 mln) FIS (to ~8.89 mln from ~6.71 mln), CME (to ~2.32 mln from ~0.48 mln) HLT (to ~8.83 mln from ~7.27 mln), CNC (to ~17.45 mln from ~16.11 mln), CB (to ~3.42 mln from ~2.2 mln), PH (to ~2.52 mln from ~1.44 mln), ADI (to ~2.93 mln from ~1.96 mln) EXAS (to ~3 mln from ~2.18 mln), GH (to ~3.85 mln from ~3.07 mln) EHC (to ~3.32 mln from ~2.68 mln)
• Maintained positions in: ADPT (~33.49 mln shares), APG (~33.33 mln shares), BBIO (~26.62 mln shares), BSX (~18.83 mln shares), AON (~3.01 mln shares), AIZ (~2.76 mln shares)
• Closed positions in: UBER (from ~16.47 mln shares), JD (from ~8.27 mln), PLAN (from ~5.75 mln), NVST (from ~4.52 mln), CHNG (from ~4.33 mln), CRM (from ~2.15 mln), LOW (from ~1.71 mln), TJX (from ~1.52 mln), DHR (from ~0.9 mln), LIN (from ~0.8 mln), BABA (from ~0.7 mln), EDIT (from ~0.41 mln), SHW (from ~0.4 mln), VAR (from ~0.37 mln), NFLX (from ~0.36 mln)
• Decreased positions in: CMCSA (to ~10.05 mln shares from ~28.52 mln shares), LVS (to ~8.59 mln from ~11.13 mln), IR (to ~8.38 mln from ~10.2 mln), DRI (to ~1.44 mln from ~2.99 mln), CI (to ~1.45 mln from ~2.95 mln), ALL (to ~0.82 mln from ~1.77 mln), SE (to ~0.82 mln from ~1.73 mln), WDAY (to ~1.12 mln from ~1.49 mln), TMO (to ~1.38 mln from ~1.73 mln), AMZN (to ~0.27 mln from ~0.61 mln)

Closing Stock Market Summary

The S&P 500 (+1.2%), Dow Jones Industrial Average (+1.6%), and Russell 2000 (+2.4%) closed at fresh record highs on Monday after Moderna (MRNA 97.95, +8.56, +9.6%) said its COVID-19 vaccine was 94.5% effective. The Nasdaq Composite was the relative underperformer with a 0.8% gain. 

Ten of the 11 S&P 500 sectors contributed to the advance, led once again by the cyclical energy (+6.5%), industrials (+2.5%), financials (+2.3%), and materials (+2.0%) sectors. The health care sector (-0.2%) bucked the positive trend amid influential weakness in Pfizer (PFE 37.36, -1.26, -3.3%), which announced comparably effective vaccine data last week. 

The prospects of having more than one vaccine in 2021 for mainstream use strengthened the market's view that next year will feature improved economic and earnings growth. That's why the small-caps and economically-sensitive sectors, which had noticeably underperformed prior to November, extended their recent outperformance today.

Many of the growth stocks underperformed but held up relatively well despite the cyclical leadership. The semiconductor stocks, for example, drew support from reports that Taiwan Semi (TSM 99.27, +6.05, +6.5%) is expanding production capacity to meet high demand from chip companies. The Philadelphia Semiconductor Index gained 2.5%. 

Today also featured some smaller M&A deals that were conducive for risk sentiment. Home Depot (HD 279.57, +2.40, +0.9%) agreed to acquire HD Supply (HDS 55.77, +10.96, +24.5%) for $56.00 per share, or about $8 billion, in cash. PNC (PNC 126.29, +3.51, +2.9%) agreed to acquire BBVA USA Bancshares for $11.6 billion in cash.

U.S. Treasuries had more reserved reactions to the positive vaccine news from Moderna, with yields closing slightly higher. The 2-yr yield increased one basis point to 0.18%, and the 10-yr yield increased one basis point to 0.90%. The U.S. Dollar Index decreased 0.2% to 92.59. WTI crude futures rose 3.0%, or $1.22, to $41.34/bbl. 

Monday's economic data was limited to the Empire State Manufacturing Survey, which decreased to 6.3 in November (consensus 14.0) from 10.5 in October.

Looking ahead to Tuesday, investors will receive Retail Sales for October, Industrial Production and Capacity Utilization for October, the NAHB Housing Market Index for November, Import and Export Prices for October, Import and Export Prices for October, Business Inventories for September, and Net Long-term TIC Flows for September. 

• Nasdaq Composite +32.9% YTD
• S&P 500 +12.3% YTD
• Russell 2000 +7.0% YTD
• Dow Jones Industrial Average +5.0% YTD

After Hours Summary: TSLA +14% after being appointed to join the S&P 500; API -9% declines following earnings

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: YY +5.4% (also agreed to sell YY Live business to Baidu [BIDU] for $3.6 bln)

Companies trading higher in after hours in reaction to news: NEPT +16.2% (received over $100 mln in purchase orders), TSLA +13.7% (to join S&P 500), PGRE +8.6% (rejected unsolicited Bow Street acquisition proposal), KRMD +5% (authorized $10 mln stock repurchase program), AXTI +3.3% (initiated process toward IPO for Tongmei subsidiary in China), BMY +2.5% (provided regulatory update for liso-cel BLA), COST +1.9% (declared $10/share special cash dividend), FSR +1.8% (co and Magna [MGA] achieved Preliminary Product Specification), CBAY +1.1% (presented results from ENHANCE Phase 3 study)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: API -8.7%, SMMT -6.1%, IQ -6.4%, GAN -4.3% (also agreed to acquire Coolbet), SDC -4.0%, SLP -4.4%, BEKE -1.7% (also announced public offering of 35.4 mln ADSs), BIDU -1.7% (also agreed to acquire JOYY's [YY] YY Live business), GDS -0.6%,

Companies trading lower in after hours in reaction to news: PLUG -6.1% (launched common stock offering), ORA -4.6% (launched public common stock offering and filed mixed securities shelf offering), JAMF -4.1% (launched follow-on public offering of common stock), CAE -4% (announced stock offering and concurrent private placement; also acquired Flight Simulation Company), KOD -4% (launched common stock offering), PLYA -3.8% (announced secondary offering of Ordinary Shares), PDD -4.1% (announced offerings of convertible senior notes and ADSs; filed offering prospectus), GME -3.4% (stakeholder calls for strategic review, according to WSJ), TREE -3.2% (secondary offering), STAG -1.9% (launched public offering of common stock), SQNS -1.1% (filed for offerings)