"Tracking George Soros’s Portfolio – Q1 2015 Update"
"Soros' 13F portfolio increased from $9.16B to $10.16B this quarter. The number of positions increased from 186 to 225.The SPY PUTS stake was increased by ~560% to a large 10.85% of the 13F portfolio. Also, a new stake in Russell 2000 PUTS was established this quarter.Cypress Semiconductor and eBay stakes were substantially increased this quarter. Alibaba Group Holdings continues to be the largest individual stock position at ~3.64%.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 05/15/2015. Please visit our  for an idea on his investment philosophy and our  highlighting the fund’s moves during Q4 2014.Soros Fund Management invests globally and the long positions in the US market reported in the 13F filings represent ~20% of the overall portfolio. The 13F portfolio increased ~11% this quarter from $9.16B to $10.16B. The number of positions saw a ~21% increase from 186 to 225 - last quarter had seen a large ~30% drop from 266 to 186. Very small stock positions and large debt holdings together account for over 30% 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 positions. The top-three individual stock positions are Alibaba Group Holdings, YPF SA, and Adecoagro SA.To learn about his distinct trading style and philosophy, check out his “” and other works.New stakes:iShares Russell 2000 ETF (IWM) Puts: These Puts were purchased this quarter when IWM price-per-share varied between $115 and $126. It currently trades at $125 and the position is at 1.74% of the 13F portfolio. Soros had a huge ~20% of the portfolio stake in these puts in Q3 2011. That position was sold down the following quarter.California Resources Corp. (CRC), D R Horton Inc. (DHI) & Calls, Lennar Corp. (LEN) & Calls, Nextera Energy Inc. (NEE), Noble Energy (NBL), and Pulte Group Inc. (PHM): These are very small (less than ~1% of the portfolio each) stakes established this quarter. Although the position sizes are small, the concentration in home building and energy sectors is an indication that Soros is anticipating uptrends in those areas.Stake Disposals:iShares China Large Cap (FXI) Calls: This was a 2.29% of the US long portfolio position established last quarter at prices between $37.46 and $41.98. It was eliminated this quarter at prices between $40.77 and $44.74. The stock currently trades at $50.53.Phillips 66 (PSX): PSX stake was purchased in Q3 & Q4 2014 at prices between $76.75 and $87.51. Last quarter, ~50% of the position was sold at prices between $65.09 and $81.31 and this quarter saw the elimination at prices between $59.09 and $80.06. The stock currently trades at $80.70.Teva Pharmaceuticals (TEVA): TEVA was a 3.05% of the US long portfolio position as of last quarter. It was established in Q3 2013 at prices between $37.50 and $41.50. The position was increased by almost 200% in Q4 2013 at prices between $36.59 and $41.70. In Q2 2014, the stake was reduced by 30% at prices between $48.69 and $54.06 and the pattern continuedthe following quarter with a ~14% reduction at prices between $50.94 and $55. Last quarter also saw a ~22% reduction at prices between $49.86 and $58.72 before the elimination this quarter at prices between $54.93 and $62.65. The stock currently trades at $60.55. TEVA was in an extended slump due to “patent cliff” concerns and other issues - its ten-year stock performance stood at a depressing 33% as of Q1 2014. Soros caught the uptrend almost perfectly on this trade and has moved on.NRG Energy (NRG) & Calls and Spansion Inc. (CODE): These are very small (less than ~1% of the US long portfolio each) positions that were increased significantly last quarter but eliminated this quarter. The bulk of the NRG stake was purchased at prices between $25.83 and $33.72 and eliminated at prices between $23.12 and $27.50. CODE was acquired by Cypress Semiconductor in an all-stock-deal (1:2.457 ratio) and that transaction closed in March.Valeant Pharma. (VRX), Allergan Inc. (AGN), and SPDR Utils (XLU) Puts: These small positions (less than 1.5% of the portfolio each) were disposed of this quarter. Utilities were one of the top-performing sectors in the US market in 2014 and Soros anticipated a reversal and took the position in the Puts last quarter: XLU went down ~7% this quarter. The 1.15% AGN position was purchased last quarter at prices between $177 and $214. VRX was a small 0.95% of the US long portfolio position as of last quarter. The bulk of the stake was purchased in Q1 & Q2 2014 at a cost-basis of around $130. The stake elimination this quarter happened at prices between $143 and $204. The stock currently trades at $228.Note: After a prolonged takeover battle involving Valeant Pharmaceuticals (backed by Bill Ackman of Pershing Square), Actavis plc (ACT) succeeded in acquiring AGN for $219 per share in a cash-and-stock deal. That transaction closed in March 2015. Soros had long positions in all three stocks and profitably played their up-trends.Stake Increases:Alibaba Group (BABA): BABA is Soros’ largest 13F individual stock position at ~3.64%. It was established in Q3 2014 at prices between $87 and $94. This quarter saw a marginal increase. The stock currently trades at $88.21. For investors attempting to follow Soros, BABA is a good option to consider for further research.Cypress Semiconductor (CY) & Calls: CY position was increased by ~400% this quarter. The stake is now very significant at ~2% of the portfolio. The vast majority of the increase was due to the acquisition of Spansion by Cypress that closed in March - Spansion shareholders received Cypress stock in the ratio 1:2.457. Soros had a 3.55M share position in Spansion.General Motors (GM) & Calls: GM & Calls were a minutely small position in Q3 2013. It was increased to a fairly significant 2.19% position in Q4 2013 at prices between $34 and $42. In Q1 2014, the stake was reduced by ~46% at prices between $34 and $41. Last three quarters have seen a combined stake increase of ~65% at prices between $32.62 and $38.87. The stock currently trades at $35.12 and the position is at 2.08%.S&P 500 SPDR (SPY) PUTS: SPY Puts were increased by over 150% in Q4 2013 as SPY price-per-share varied between $165 and $185 - it was Soros’ largest 13F position by far at 11.12% (nominal value) of the US long portfolio. In Q1 2014, the position was reduced by ~77% as SPY price-per-share varied between $174 and $188. The following quarter saw the stake built back up to a whopping 16.65% position. In Q3 2014, around 24% of the position was sold when the shares traded between $191 and $202 and last quarter most of the remaining stake was sold when the shares traded between $186 and $209. This quarter saw an about-turn as the position was rebuilt back up to a large ~11% portfolio stake when the shares traded between $199 and $212.Endo International plc (ENDP): ENDP is a 1.96% of the portfolio positon established last quarter at prices between $60.19 and $73.37 and increased by ~27% this quarter at prices between $71.97 and $92.37. The stock currently trades at $83.03.Actavis plc (ACT), eBay Inc. (EBAY), Polycom Inc. (PLCM), United Continental Holdings (UAL), & Motorola Solutions Inc. (MSI): These positions were increased significantly to meaningful stakes this quarter. Soros is anticipating uptrends.Baidu Inc. (BIDU), Caesars Acquisition (CACQ), JDS Uniphase (JDSU), Kraft Foods Group (KRFT), New Oriental Education & Tech. (EDU), &Western Refining (WNR): These are very small (less than ~1% of the US long portfolio) positions that were increased this quarter. The position sizes are still too small to have much of a portfolio impact.Stake Decreases:American Airlines (AAL): The original minutely small position was increased by over 150% in Q2 2014 at prices between $33.37 and $44.55. It was built-up to a 1.83% of the 13F portfolio stake by Q3 2014 at prices between $35 and $44. Last quarter saw an about-turn as the position was reduced by ~53% at prices between $28.58 and $53.63.  The pattern continued this quarter with a ~53% reduction at prices between $46.53 and $55.76. The stock currently trades at $47.85.Dow Chemical (DOW): DOW was a very small 0.32% position as of Q2 2014. In Q3 2014, the position was increased by just over 150% to a 1.14% stake at prices between $51 and $54.80 and last quarter saw a further 78% increase at prices between $42.71 and $52.84. This quarter saw an about-turn: ~11% reduction at prices between $43.03 and $49.85. The stock currently trades at $50.73.Note: Dan Loeb established a huge activist stake in Dow Chemical in Q4 2013 at around the mid-40s price-range. He still holds a large ~11% of the portfolio stake.EQT Corporation (EQT): The original position in EQT was established in Q2 2012 at prices between $44 and $54.07. The position has wavered since. In Q3 2014, there was a ~19% increase at prices between $91 and $107 and last quarter saw an additional 44% increase at prices between $75.38 and $99.75. This quarter saw a ~37% reduction at prices between $72.53 and $83.43. The stock currently trades at $88.14 and the stake is at 1.47% of the portfolio.Energen Corporation (EGN): EGN has been in the portfolio since Q1 2013. In Q3 2013, the position was increased by just over 15% at prices between $52 and $77.50. Q4 2013 saw another 50% increase at prices between $66 and $85. This quarter saw a ~37% reduction at prices between $59.05 and $70.54. The stock currently trades at $68.81. It returned ~42% in 2013 and is flat since.Level 3 Communications (LVLT): Most of the 1.83% LVLT stake was purchased in Q2 & Q3 2014 at prices between $36.37 and $47.50. Last quarter saw a ~28% reduction at prices between $38.05 and $50 and this quarter saw a further ~11% reduction at prices between $47.02 and $55.46. The stock currently trades at $55.78.LyondellBasell Industries (LYB): LYB is a 1.80% of the US long portfolio stake established last quarter at prices between $70.61 and $109 and reduced by ~27% this quarter at prices between $74.36 and $91.55. The stock currently trades at $101. The stock has risen ~26% so far this year.Yahoo Inc. (YHOO): YHOO is a small 0.58% of the US long portfolio stake established in Q3 2014 at prices between $33 and $43. It was sold down by ~63% last quarter at prices between $37.82 and $52.37 and another ~29% this quarter at prices between $42.50 and $50.51. The stock currently trades at $42.17.Allegion PLC (ALLE), Caesars Entertainment (CZR), Churchill Downs (CHDN), Monsanto (MON), Nice Systems (NICE), Pioneer Natural Resources (PXD), Salix Pharmaceuticals (SLXP), and Walgreen Boots Alliance (WAG): These are very small (less than ~1% of the US long portfolio) positions that were reduced this quarter. The position sizes are too small to have much of a portfolio impact.Kept Steady:Adecoagro S A (AGRO): AGRO is a 2.27% of the US long portfolio position that was established prior to its IPO. The stock currently trades at around $10.30, below the IPO price of $11. The position was marginally increased in Q2 2013 at prices between $6.05 and $7.95. For investors attempting to follow Soros, AGRO is a good option to consider for further research.DISH Network (DISH) & Calls: DISH was a minute 0.20% of the US long portfolio position as of Q1 2013. In Q2 2013, the stake was increased substantially to a 1.83% position at prices between $36 and $42.50. The position was sold down since and the stake is now at 0.85%. The stock currently trades at $67.88.Herbalife (HLF): HLF was a 2.30% of the US long portfolio position as of Q2 2014. It was first purchased in Q2 2013 at prices between $35 and $50 and has wavered since. In Q3 2014, the position was sold down to a 0.62% stake at prices between $40.21 and $67.77. Last quarter saw an about-turn as the position was increased by ~80% at prices between $37.36 and $55.90. The stock currently trades at $51.25 and the stake is now at 1.45% of the US long portfolio. HLF is a very volatile stock and Soros is playing the trends.YPF SA (YPF): YPF is the second-largest equity long position at 3.15% of the US long portfolio. The original position was a small 0.87% stake established in Q3 2013 at prices between $14.80 and $21.57. It had since been consistently bought every quarter at prices between $20 and $36. Last quarter saw a ~13% reduction at prices between $22.50 and $37. The stock currently trades at $29.26.Zoetis (ZTS): ZTS is a 1.87% of the US long portfolio positon that was increased marginally last quarter. The bulk of the stake is from Q4 2013 and Q1 2014 when the position was increased by ~160% at an average price of ~$32. The stock currently trades at $47.45.Note: There is recent activist involvement in ZTS. Bill Ackman has built a ~41.82M share (~8.5% of business) stake and has acquired a board seat.Essent Group (ESNT): ESNT is a 1.41% of the US long portfolio stake. Last quarter saw a ~21% reduction at prices between $21.30 and $25.70 and the stock currently trades at $26.01.Vipshop Holdings (VIPS): VIPS is a 1.10% of the US long portfolio position. The bulk was purchased in Q1 2014 at around the $10 cost-basis. The stock currently trades at $25.91.Ally Financial (ALLY), LendingClub (LC), Loral Space & Communications (LORL), Mack Cali Realty (CLI), Mondelez Intl. (MDLZ), Realogy Holdings (RLGY),  Travelport Worldwide (TVPT), and Yum Brands (YUM): These are very small (less than ~1% of the US long portfolio each) positions that were kept steady this quarter.Although the relative sizes are very small, it is significant that Soros has ownership stakes in the following businesses: Plasmatech Biopharma (PTBI) - 5.17%, Exa Corp (EXA) - 9.15%, and Oclaro Inc. (OCLR) - 9.95%.The spreadsheet below highlights Soros’s significant US long stock positions as of Q1 2015:13G/13Ds: 1) 5/4/2015 - Plasmatech Biopharma on 4/22/2015 - 1.17M shares, 5.17% of business, 2) 3/19/2015 - Exa Corp on 3/9/2015 - 1.27M shares, 9.15% of business, 3) 2/23/2015 - Oclaro Inc. on 2/13/2015 - 12.05M shares, 9.95% of business."