"Tracking George Soros’s Portfolio – Q1 2017 Update"
"Soros' 13F portfolio value increased from $4.32B to $4.96B this quarter. The number of positions increased from 207 to 260.They added Lam Research while increasing Williams Companies, Hewlett Packard Enterprise, and Mondelez International.The iShares Russell 2000 ETF Puts and the Puts on the S&P 500 SPDR ETF were both increased substantially this quarter.This article is part of a series that provides an ongoing analysis of the changes made to George Soros’s US stock portfolio on a quarterly basis. It is based on George Soros’s regulatory  filed on 05/15/2017. Please visit our  for an idea on his investment philosophy and our  for the fund’s moves during Q4 2016.Soros Fund Management invests globally and the long positions in the US market reported in the 13F filings represent ~15% of the overall portfolio. The 13F portfolio value increased ~15% this quarter from $4.32B to $4.96B. The number of positions increased from 207 to 260. Very small stock positions and large debt holdings together account for over ~43% of the 13F holdings. The US long investments are diversified with a large number of very small equity positions, a small number of large equity positions, and a few large debt holdings. As the small positions (<0.5%) do not indicate a clear bias, the focus of this article is on the larger equity positions. The top three individual stocks held are Liberty Broadband, Adecoagro, and Facebook.To learn about Soros’ distinct trading style and philosophy, check out his “” and other works.New stakes:Lam Research (LRCX): LRCX is a ~1.5% portfolio stake established this quarter at prices between $107 and $129 and the stock currently trades at $147. The stock has returned ~40% YTD.Snap Inc. (SNAP), C&J Energy Services (CJ), SBA Communications (SBAC), Conduent (CNDT), and Take Two Interactive (TTWO): These are very small (less than ~1% of the portfolio each) positions purchased this quarter.Notes: a) Snap Inc. had an IPO in March. Trading started at $24.50 and currently goes for $19.90, b) C&J Energy Services emerged from Chapter 11 bankruptcy in January, c) SBA Communications did an REIT conversion transaction in January - the deal was structured as a merger with its REIT subsidiary, d) Conduent is a Xerox (XRX) spinoff that started trading last December, and e) Take Two has returned ~35% YTD.Stake Disposals:Lamar Advertising (LAMR) Puts and United Rentals (URI) Puts: These two short stakes were established last quarter but eliminated this quarter. The 0.51% LAMR Puts stake was purchased as the underlying traded between $59 and $68 and disposed as it traded between $68 and $79. The 0.85% URI Puts position was established as the stock traded between $71 and $109 and eliminated as it traded between $106 and $133.Kohl’s Corp. (KSS) and Travelport Worldwide (TVPT): KSS was a ~0.7% portfolio stake purchased last quarter at prices between $43 and $59.50 and disposed of this quarter at prices between $37 and $52. The stock currently goes for $37.09. The ~0.8% TVPT position was kept steady over the last three quarters but was sold out this quarter at prices between $11.50 and $15. The stock is now at $13.66.Amazon.com (AMZN), Bank of America (BAC), and ChipMos Tech. (IMOS): These very small (less than ~0.5% of the portfolio each) stakes were reduced last quarter and disposed of this quarter.Financial SPDR (XLF) PUTS and iShares MSCI Emerging Market ETF (EEM) PUTS: These two short stakes were established last quarter but eliminated this quarter. Together, they had accounted for ~3.1% of the portfolio.Note: XLF and EEM have seen several roundtrips in the portfolio over the years.Stake Increases:iShares Russell 2000 (IWM) PUTS: The large 9.6% of portfolio IWM short position has wavered over the years. Recent activity follow: a ~5% portfolio stake as of Q2 2016 was built up over the previous three quarters when the underlying traded between $95 and $120. It was disposed in Q3 2016 as the ETF traded between $114 and $126. The position was rebuilt back up to a large 7.65% stake last quarter as the underlying traded between $115 and $138. There was another roughly one-third increase this quarter as IWM traded between $134 and $140. It currently goes for ~$135.S&P 500 SPDR (SPY) Puts: The fairly large ~6% short position in SPY has also varied over the years. Recent activity follow: H1 2016 saw a huge increase to a ~18% portfolio stake as the underlying traded between $187 and $207. Q3 2016 saw an about-turn: ~83% reduction and that was followed with a ~25% selling last quarter. This quarter saw the pattern reverse again: ~150% increase as SPY traded between $225 and $240. It is now at $236.Note: The activity in SPY & IWM on their own does not indicate a clear bias as Soros is known to use these ETFs to hedge other parts of his portfolio.Williams Companies (WMB): WMB is now at 1.62% of the 13F portfolio. It was established in Q3 2016 at prices between $20 and $31. Last quarter saw a ~25% selling at prices between $28 and $32 while there was a ~15% increase this quarter at prices between $28 and $32.50. The stock currently trades at $30.09.TiVo Corporation (TIVO) previously Rovi: TIVO is a 1.61% of the portfolio stake purchased in Q2 2016 at prices between $15 and $20.50. The stock is now at $16.30. This quarter saw a ~10% increase at prices between $17.90 and $21.Note: ROVI has had a previous roundtrip: a small 0.65% portfolio stake was almost eliminated in Q4 2015 at prices between $8.69 and $17.71 and the remnant position was disposed the following quarter.Hewlett Packard Enterprise (HPE): HPE was a small 0.6% stake as of last quarter. This quarter saw a huge ~200% increase to a ~1.5% portfolio stake at prices between $16.50 and $19. The stock is now at $18.80.Note: Hewlett Packard Enterprise completed a spin-merger transaction with Computer Sciences Corp. last month. Terms called for HPE shareholders to receive 0.086 shares of the merged entity, DXC Technology (DXC). The prices quoted above are adjusted for this transaction.Mondelez (MDLZ): MDLZ was a very small 0.34% portfolio stake as of Q3 2016. Last quarter saw a ~50% increase at prices between $40.50 and $46 and that was followed with another ~170% increase this quarter at prices between $42.50 and $45.50. The stock is now at $44.86 and the stake is at ~1% of the portfolio.Time Warner (TWX): The ~1% TWX position was established last quarter at prices between $78.50 and $97 and increased by ~8% this quarter. The stock is now at $96.75.Note: AT&T (T) is acquiring Time Warner in a cash-and-stock deal valued at ~$107.50 (half in cash).Symantec Corporation (SYMC), Reynolds American (RAI), and NXP Semiconductors (NXPI): These three stakes are at ~0.7% of the portfolio each. All three positions were substantially increased this quarter. SYMC saw a ~180% increase at prices between $24 and $31 and it is currently at $30.12. The RAI stake was increased by roughly 10x at prices between $55 and $63 and the stock is now at $66.17. The NXPI position saw a ~80% increase at prices between $96 and $104 and it is now at $107.Note: Reynolds American is merging with British American Tobacco (BTI) in a cash-and-stock deal ($29.44 cash and 0.5260 BTI shares for each RAI held) and NXP Semiconductors is merging with Qualcomm (QCOM) in a $110 per share all-cash deal.PayPal Holdings (PYPL): PYPL is a 0.71% of the portfolio position established in Q3 2015 as a result of the spinoff of PayPal from eBay. eBay shareholders received one share of PayPal for each share held. Q4 2015 saw a one-third reduction at prices between $31 and $38 and that was followed with another ~55% reduction the following quarter at prices between $31.20 and $41.32. Q2 2016 saw another ~40% reduction at prices between $34 and $40.50. PYPL currently trades at $49.05. There was a marginal increase this quarter.MakeMyTrip (MMYT) and VMWare Inc. (VMW): These are very small (less than ~0.5% of the portfolio each) stakes that saw increases this quarter.Note: MakeMyTrip has returned ~66% YTD.Stake Decreases:Liberty Broadband (LBRDK): LBRDK is the largest individual stock position by far at ~14% of the portfolio. The stake was established in Q2 2016 at prices between $55 and $60.50. The stock is now well above that range at $82.92. There was minor trimming in the last two quarters.Adecoagro S A (AGRO): AGRO was the largest individual stock position at ~5% of the US long portfolio as of Q4 2015. It was reduced by ~45% the following quarter at prices between $11 and $13.50 and another ~15% in Q2 2016. This quarter saw another ~25% selling at prices between $10.50 and $12.71. The original stake is from prior to its IPO. The stock currently trades at around $11.40 compared to the IPO price of $11. The current stake is the second-largest individual stock position at ~2% of the 13F portfolio.Note: Soros controls ~7.4% of AGRO.Facebook Inc. (FB) & Calls: FB is a 1.83% of the portfolio stake established last quarter at prices between $115 and $133 and the stock is now well above that range at $145. This quarter saw marginal trimming.Note: FB is a good trading stock for Soros and has seen several previous roundtrips. The most recent trading pattern follow: Q2 2015 saw a huge build-up to a ~2% portfolio stake at prices between $77.50 and $89. There was a ~30% reduction the following quarter at prices between $82 and $98.50 and that was followed with a ~55% reduction next quarter at prices between $90 and $109. Q1 2016 saw a further ~46% reduction at prices between $94 and $116 and the elimination the following quarter was at prices between $109 and $121.T-Mobile US (TMUS): TMUS saw a ~220% increase last quarter at prices between $45 and $59. It currently trades above that range at $63.91. This quarter saw a ~15% trimming and the stake is now at 0.76% of the portfolio.Goldman Sachs (GS) Calls, Grupo Supervielle (SUPV), Industrials SPDR ETF (XLI) Puts, Key Energy Services (KEG), Netflix Inc. (NFLX) & Calls, and Oracle Corp. (ORCL) Calls: These are very small (less than ~0.6% of the portfolio each) stakes that saw reductions this quarter.Note: Soros has a ~6.2% ownership stake in Key Energy Services. It emerged from bankruptcy last December.Kept Steady:Caesars Acquisition (CACQ): CACQ is a long-term ~1.8% portfolio stake that has been kept relatively steady since its IPO in Q4 2013. The stock has returned ~70% since. It currently trades at $17.45.Note: Soros controls ~4% of CACQ.Churchill Downs (CHDN): CHDN is another long-term ~1.2% portfolio stake that was kept steady in the last two years. The stock price has almost doubled during that period. It currently trades at $164.Zoetis (ZTS): ZTS is a ~0.9% of the US long portfolio stake. The bulk of the position is from Q4 2013 and Q1 2014 when the stake was increased by ~160% at an average price of ~$32. Q1 2016 saw a ~30% reduction at prices between $39 and $48 and that was followed with a ~45% selling the following quarter at prices between $44 and $49. There was a one-third reduction in Q3 2016 at prices between $47.50 and $52.50. The stock currently trades at $59.73.Caesars Entertainment (CZR), California Resource Corporation (CRC), and Model N Inc. (MODN): These are very small (less than ~0.6% of the portfolio each) stakes that were kept steady this quarter.Note: Soros controls ~10% of MODN.Although the relative sizes are very small, it is significant that Soros has significant ownership stakes in the following businesses: Abeona Therapeutics (ABEO), Allot Communications (ALLT), Exa Corp. (EXA), Exfo Inc. (EXFO), Quantum Corp. (QTM), and Sigma Designs (SIGM).The spreadsheet below highlights Soros’s significantly large US long stock positions as of Q1 2017:Regulatory Filings thru 2/17/2017: 13G/As 2/13-15/2017: Owl Rock Capital - 5.7M shares - 12.4%. ARNI - 5M shares - 9.99%. EXAR - 137K - 0.27%. MODN - 2.8M shares - 9.8%. AGRO - 11.9M shares - 9.8%. QTM - 10.7M shares - 3.93%. GSUM - 2M shares - 8%. KEG - 1.3M shares - 6.6%. LORL - 0. HEROQ - 0. PVAC-0. EXA - 1.4M shares - 9.3%. OCLR - 0. PLCM - 0. ABEO - 1.1M shares - 2.9%. 11/14/2016 to 02/02/2017 13G/A Filings: ALLT - 3.3M shares - 10%. SIGM - 2M shares - 5.3%. EXFO - 1.3M shares - 5.8%. KEG - 1.8M shares - 9%."