"Tracking Stephen Mandel’s Lone Pine Capital Portfolio – Q1 2017 Update"
"Stephen Mandel’s 13F portfolio value decreased from $19.16B to $19.01B. The number of positions decreased from 41 to 34.Lone Pine Capital added CSX while dropping Amazon.com and Microsoft.The top three individual stocks are Charter Communications, Activision Blizzard, and Constellation Brands and they add up to ~23% of the portfolio.This article is part of a series that provides an ongoing analysis of the changes made to Stephen Mandel’s US stock portfolio on a quarterly basis. It is based on Mandel’s regulatory  filed on 05/15/2017. Please visit our  article for an idea on his investment philosophy and our  for the fund’s moves during Q4 2016.This quarter, Mandel’s US long portfolio value decreased marginally from $19.16B to $19.01B. The number of holdings decreased from 41 to 34. The top three individual stock positions are at 22.46% while the top five are at 34.20% of the US long assets: Charter Communications, Activision Blizzard , Constellation Brands, Broadcom Ltd., and Nike Inc.Stephen Mandel worked at Tiger Management under Julian Robertson for eight years starting in the late 1980s, making him a bona fide tiger cub. To know more about Julian Robertson and his legendary Tiger Management, check out .Stake Disposals:Amazon.com Inc. (AMZN): AMZN was a top-three ~5% of the portfolio position last quarter. It was purchased in Q3 2015 at prices between $430 and $548. The first three quarters of 2016 had seen a ~50% reduction at prices between $482 and $837. The remaining position was disposed of this quarter at prices between $754 and $887. The stock is now at ~$993. Lone Pine harvested gains.Microsoft Corporation (MSFT): MSFT was a large (top five) 4.93% of the portfolio position last quarter. The bulk of the position was from H1 2015 at prices between $40 and $48. The five quarters thru Q3 2016 had seen a combined ~50% selling at prices between $43 and $58. The elimination this quarter happened at prices between $62 and $66. The stock currently trades at $69.62. Lone Pine harvested gains.PayPal Holdings (PYPL), PNC Financial Services (PNC), and Bank of America (BAC): These three medium-sized ~2.5% portfolio stakes were established last quarter but disposed of this quarter. The 2.57% PYPL position was purchased at prices between $38 and $44 and sold at prices between $39 and $43.50. The stock currently trades at $50.93. PNC was a 2.56% portfolio stake established at prices between $88 and $118 and eliminated at prices between $114 and $131. It is now at $121. The 2.50% BAC position was purchased at prices between $15.50 and $23 and disposed of at prices between $22 and $25.50. The stock is now at $23.25.Note: PayPal Holdings has seen a previous roundtrip: It was a ~2% of the portfolio position established in Q1 2016 at prices between $31 and $41.50 and disposed of last quarter at prices between $36 and $41.Alphabet Inc. (GOOG) (GOOGL): The 2.53% of the portfolio stake in GOOG was established in Q4 2015 & Q1 2016 at prices between $608 and $777. H2 2016 saw a ~50% reduction at prices between $668 and $787. There was another ~25% selling last quarter at prices between $736 and $813 and the disposal this quarter was at prices between $786 and $852. The stock currently trades at ~$970. Mandel harvested gains.Williams Companies (WMB): The 2.65% WMB position was established in Q3 2016 at prices between $20 and $31 and increased by ~75% last quarter at prices between $28 and $32. This quarter saw an about turn: position sold out at prices between $28 and $32.50. The stock is now at $29.86.TransDigm Group (TDG): TDG was a long-term 2.64% portfolio (~4% of the business) position. The stake was from 2009 at a cost-basis in the mid-30s. The stock returned over 8-times during the holding period. The entire position was sold this quarter at prices between $210 and $256. Mandel harvested huge long term gains.Vulcan Materials (VMC): VMC was a 2.44% of the portfolio stake. The bulk of the original position was purchased in Q1 & Q2 2015 at prices between $67 and $92. Q2 & Q3 2016 had seen a ~54% further increase at prices between $106 and $127. There was an about turn last quarter: ~25% reduction at prices between $106 and $136. The disposal this quarter happened at prices between $112 and $135. The stock currently trades at $128.Barclays Bank plc (BCS) Puts, eBay Inc. (EBAY), Intercontinental Exchange (ICE), Lululemon Athletica (LULU), Proshares Ultra VIX Short Term Puts, and Sears Holdings (SHLD) Puts: These small (less than ~1.5% of the portfolio each) stakes were eliminated this quarter. As of last quarter, Lone Pine Capital had a ~3.5% ownership stake in Lululemon Athletica.New Stakes:CSX Corporation (CSX), Comcast Corporation (CMCSA), Quintiles IMS Holdings (Q), and T-Mobile US (TMUS): These are medium sized (between ~2% and ~4% of the portfolio each) positions established this quarter. The ~3.5% CSX stake was purchased at prices between $36 and $50 and the stock is now above that range at $53.79. CMCSA is a 2.72% portfolio position established at prices between $34.50 and $38.50 and the stock is currently above that range at $40.34. The ~2.5% Q stake was purchased at prices between $75 and $82.50 and the stock is now at $84.70. TMUS is a 2% position established at prices between $56.50 and $65 and it is now at $67.86.Humana Inc. (HUM), Albemarle Corp. (ALB), Arista Networks (ANET), and Snap Inc. (SNAP): These are very small (less than ~1.5% of the portfolio each) stakes established this quarter.Stake Decreases:Facebook Inc. (FB): The 3.82% FB stake was purchased in Q3 2014 at prices between $66 and $79. Q1 2015 saw the original stake reduced by ~40% at prices between $74 and $84. There was a ~45% selling in Q3 2016 at prices between $114 and $131 and that was followed with a ~14% trimming this quarter at prices between $117 and $143. The stock currently trades at ~$152. Lone Pine Capital is harvesting gains.Note: FB has seen a previous presence in the portfolio. Around 11M shares were purchased in Q4 2012 at prices between $19 and $29. The stake was disposed of in 2013 and early 2014 at much higher prices realizing huge gains.Electronic Arts (EA): EA is a 3.66% of the portfolio position established in Q2 2015 and increased by just over 10-times the following quarter at prices between $63 and $75. Q4 2015 & Q1 2016 saw a combined ~80% reduction at prices between $55.50 and $77. In Q2 & Q3 2016, the position was built back up at prices between $62 and $85.50. The stock currently trades at $114. There was a ~18% selling this quarter at prices between $79 and $92.FleetCor Technologies (FLT): The 3.59% FLT stake is from 2013 and Mandel has huge gains on this position. Last year had seen a roughly one-third reduction at prices between $117 and $174 and that was followed with a ~4% trimming this quarter. It currently trades at ~$141. Mandel is harvesting gains.Note: Lone Pine Capital still controls ~4.9% of FleetCor Technologies.Adobe Systems (ADBE): ADBE is a 3.30% of the US long portfolio position. It was first purchased in Q1 2014 and almost doubled the following quarter at prices between $60 and $73. 2015 saw that original stake reduced by two-thirds at prices between $73 and $96. Q1 2016 saw an about turn: ~26% increase at prices between $74 and $94. The stock currently trades at ~$143. There was a very minor ~4% trimming this quarter.Equinix Inc. (EQIX): EQIX is a ~3% portfolio stake. It is a long-term position first purchased in 2010. Around 4M shares were acquired at the time at a cost-basis in the low-80s. The position size has wavered since although by Q4 2014 the stake was back at ~4M shares. Q1 2015 saw a ~30% reduction at prices between $217 and $239. Q4 2015 saw another ~20% reduction at prices between $265 and $305. There was a ~25% further selling this quarter at prices between $359 and $400. The stock is now at ~$445. Mandel is harvesting huge long-term gains.Visa Inc. (V): V is a 2.67% stake purchased in Q4 2014 and Q1 2015 at prices between $51 and $68 and increased by ~31% in Q4 2015 at prices between $70 and $80. It was a fairly large ~4% stake at the time. Q1 2016 saw a ~40% selling at prices between $67.50 and $77.50. That was followed with another two-thirds selling in Q3 2016 at prices between $74 and $83.50. The pattern reversed again last quarter: 180% increase at prices between $75.50 and $83. The stock currently trades at $95.04. There was a minor ~6% trimming this quarter.Priceline Inc. (PCLN): The long-term 2.33% PCLN stake was first purchased in 2011 at a cost-basis of ~$500. The original position was sold down by ~44% in Q3 2013 at prices between $900 and $1030 and another two-thirds in Q1 2014 at prices between $1132 and $1358. There was a combined ~380% increase over the next three quarters at prices between $1064 and $1280. 2015 saw a ~40% reduction at prices between $1008 and $1454. Q2 2016 saw the pattern reverse: ~42% increase at prices between $1186 and $1390. The next quarter saw a ~50% selling at prices between $1248 and $1473 and that was followed with another ~50% reduction last quarter at prices between $1424 and $1578. The stock is now at $1860.  There was a marginal ~2% trimming this quarter.Dollar Tree (DLTR): DLTR is a 2.70% of the portfolio position. It was established in Q3 2015 at prices between $65 and $82 and increased by ~150% the following quarter at prices between $61 and $80. The stock currently trades at $78.50. Q2 & Q3 2016 had seen a one-third increase at prices between $75 and $98.  There was an about turn last quarter: ~40% sold at prices between $73.50 and $90. That was followed with a ~30% further reduction this quarter at prices between $73.50 and $80.Ulta Beauty (ULTA): ULTA is a 2.29% stake first purchased in 2012 at much lower prices. Q1 2016 saw a ~40% increase at prices between $153 and $173. There was a ~12% reduction in Q3 2016 and that was followed with another ~40% selling last quarter at prices between $228 and $266. This quarter also saw another ~15% selling at prices between $257 and $289. The stock is now at $293. Mandel is harvesting gains.Shire plc (SHPG): SHPG is a ~1.57% portfolio stake established in Q2 2016 at prices between $165 and $192 and reduced by one-third the following quarter at prices between $184 and $207. There was a ~12% increase last quarter at prices between $164 and $198 while this quarter saw a ~10% trimming. The stock is now at $185.Note: Part of the SHPG position came about as a result of the merger with Baxalta that closed in June 2016. It was a cash-and-stock deal with Baxalta shareholders receiving $18 in cash and 0.1482 shares of SHPG for each share of Baxalta held. Lone Pine Capital held 10.59M shares of Baxalta for which they received 1.57M shares of SHPG.Expedia Inc. (EXPE): EXPE is a 1.41% position established in Q3 2016 at prices between $106 and $119 and reduced by ~40% last quarter at prices between $113 and $132. There was another ~50% selling this quarter at prices between $112 and $131. The stock is now at $146.Stake Increases:Charter Communications (CHTR) & Calls: The ~10% CHTR position is the largest stake in the portfolio. It was first purchased in Q3 2014 at prices between $152 and $164. Q2 2015 saw a whopping ~150% increase at prices between $168 and $193. Q4 2015 saw an about turn: ~50% reduction at prices between $175 and $193. The stock is currently at $334. This quarter saw a ~20% increase at prices between $286 and $333.Activision Blizzard (ATVI): The top-three 6.5% ATVI position was purchased in Q2 2016 at prices between $33 and $39 and increased by two-thirds in the following quarter at prices between $39 and $45. Last two quarters have seen another ~45% increase at prices between $35.50 and $50. The stock is now at $59.22.Note: ATVI had a previous round-trip: a ~2% position was established over Q3 & Q4 2015 but that stake was disposed in Q1 2016.Constellation Brands (STZ): STZ is a top-three ~6% stake established in Q3 2015 at prices between $115 and $131. The following three quarters had seen a combined ~40% increase at prices between $125 and $164. Q3 2016 saw an about turn: ~17% sold at prices between $161 and $168. There was a ~15% stake increase last quarter at prices between $145 and $171 and that was followed with a similar increase this quarter at prices between $147 and $165. The stock is now at ~$180.Broadcom Ltd (AVGO): The large top-five ~6% AVGO stake was purchased in Q3 2016 at prices between $150 and $178 and increased by just over one-third last quarter at prices between $163 and $182. There was a ~50% stake increase this quarter at prices between $174 and $227. The stock currently trades at ~$241.Nike Inc. (NKE): The fairly large 5.62% NKE stake was purchased in Q1 2015 at prices between $46 and $55. The stake was doubled in Q4 2015 at prices between $61 and $68. Q2 2016 saw another ~50% increase at prices between $52 and $62. Last quarter saw a reversal: ~20% reduction at prices between $49.50 and $53. There was another about turn this quarter: one-third increase at prices between $52 and $59. It currently trades at ~$52.35. For investors attempting to follow Mandel, NKE is a good option to consider for further research.Note: The prices quoted above are adjusted for the 2-for-1 stock split in November 2015.Alibaba Group Holdings (BABA): BABA is a 5.61% of the portfolio stake established in Q3 2016 at prices between $78.50 and $110 and increased by ~50% last quarter at prices between $86.50 and $108. There was another ~30% increase this quarter at prices between $88.50 and $110. The stock is now at $124.Symantec Corporation (SYMC): The 4.27% SYMC position was purchased last quarter at prices between $23.50 and $25.50 and doubled this quarter at prices between $24 and $31. The stock currently trades at $29.95.Grupo Televisa (TV): The ~2.5% TV position was established in Q3 2016 at prices between $24 and $28. There was a ~36% increase this quarter at prices between $20 and $27. The stock is now at $24.90. For investors attempting to follow Mandel, TV is a good option to consider for further research.Rice Energy (RICE): The 1.71% RICE stake was purchased last quarter at prices between $20.50 and $28 and increased by a whopping ~250% this quarter at prices between $18.50 and $23.70. The stock is now at $20.47.Note: Lone Pine Capital controls ~6.7% of Rice Energy.Barclays Bank plc (BCS), Commscope Holding (COMM), and Encana Corporation (ECA): These are very small (less than ~1.5% of the portfolio each) positions that saw substantial increases this quarter. The stakes are still too small to indicate a clear bias.Kept Steady:Align Technology (ALGN): ALGN is a ~1.5% position first purchased in Q3 2016 at prices between $81 and $96 and increased marginally last quarter. It currently trades at $141.Cheniere Energy (LNG): LNG is a 1.29% of the portfolio position first purchased in H2 2014 at prices between $65 and $84. There was another ~55% increase in Q3 2015 at prices between $47.50 and $71. Q3 2016 saw some selling: ~17% disposed at prices between $37 and $46 and that was followed with a ~50% selling last quarter at prices between $35.50 and $43.50. The stock currently trades at $50.23.Note: Lone Pine Capital controls ~2.2% of the business.HDFC Bank (HDB): HDB is a very small ~0.5% of the portfolio position left untouched this quarter.The spreadsheet below highlights changes to Mandel’s US stock holdings in Q1 2017:Regulatory Filings thru 2/27/2016: 13G/As on 2/14/2017: FLT - 4.7M shares - 5.1%. ULTA - 1.8M shares - 2.9%. LULU - 4.5M shares - 3.5%. DLTR - 9.3M shares - 3.9%. HZNP - 0. EXPE - 4.3M shares - 3.1%. LNG - 5.2M shares - 2.2%. 13G - 2/2/2017 - RICE - 11.7M shares - 5.8%."