10 funds that dumped all their Apple shares last quarter

Appaloosa is David Tepper’s hedge fund. He used his Apple profits to buy the Carolina Panthers.

CORRECTION: The central bank of Norway did NOT liquidate its 50 million shares. See Apologies to Norway’s central bank.

4 Comments

  1. Fred Stein said:

    Either they don’t like arithmetic or they know something we don’t.

    Based on EPS, today’s internal yield is 7.5%. That is what the company earns for the investors, regardless of when that is paid out. Assuming no change to actual financial performance, the impact of buybacks in to increase that by about 10% in the next 12 months and then about 5% annually. Of course the aforementioned sold at LOWER prices.

    Those numbers, 7.5% and increasing beats the averages by a comfortable margin and leaves room in case inflation returns.

    Selling AAPL means they believe in a strong negative narrative, or they found something much better (adjusted for risk.) I’d love to see what Norges bought. Tepper? Fine. Have fun.

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    May 17, 2018
  2. Ken Cheng said:

    Must be a mistake about Norges Bank, which is the Norwegian Central Bank. According to Whale Wisdom, Norges Bank, sold EVERYTHING, that is, it sold every share from over 2000 different stocks, and put it all into 2 investments, 6% into SWCH, Switch Inc, and, 94% into KRC, Kilroy Realty. Makes no sense at all.

    If Norges Bank sold almost 51M Apple shares, that would be about $8.5B just in cash from Apple shares, which represented only 3.08% of the Norges Bank portfolio. When you do the math, that would imply a portfolio of about $275B. Certainly plausible. Now, that would be totally impossible to invest 94% of that, over $250B into Kilroy Realty which only has a market cap of $7B.

    In other words, I don’t think Norges Bank sold anything, and Whale Wisdom just entered the data incorrectly.

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    May 17, 2018

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