"Tracking Stephen Mandel’s Lone Pine Capital Portfolio – Q2 2017 Update"
"Stephen Mandel’s 13F portfolio value increased from $19.01B to $19.67B. The number of positions decreased from 34 to 33.Lone Pine Capital increased FleetCor & Quintiles IMS holdings while dropping Nike.The top three individual stocks are Alibaba Group Holdings, Charter Communications, and Constellation Brands and they add up to ~22% 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 08/14/2017. Please visit our  article for an idea on his investment philosophy and our  for the fund’s moves during Q1 2017.This quarter, Mandel’s US long portfolio value increased ~4% from $19.01B to $19.67B. The number of holdings decreased from 34 to 33. The top three individual stock positions are at 22.29% while the top five are at 34.89% of the US long assets: Alibaba Group Holdings, Charter Communications, Constellation Brands, Activision Blizzard, and Broadcom Ltd.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: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. Q4 2016 saw a reversal: ~20% reduction at prices between $49.50 and $53. There was another about turn last quarter: one-third increase at prices between $52 and $59. The entire stake was eliminated this quarter at prices between $51 and $59. It currently trades at $54.13.Note: The prices quoted above are adjusted for the 2-for-1 stock split in November 2015.Electronic Arts (EA): EA was 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 $119. There was a ~18% selling last quarter at prices between $79 and $92 and the disposal this quarter was at prices between $88 and $115. Mandel harvested gains.Visa Inc. (V): V was 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 in Q4 2016: stake increased by ~180% at prices between $75.50 and $83. The stock currently trades at $104. There was a minor ~6% trimming last quarter and the elimination this quarter was at prices between $88.50 and $96.50.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 in Q4 2016 at prices between $1424 and $1578. The position was sold out this quarter at prices between $1740 and $1911. The stock is now at $1818. Lone Pine Capital harvested gains.Dollar Tree (DLTR): DLTR was 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 $74.95. Q2 & Q3 2016 had seen a one-third increase at prices between $75 and $98.  There was an about turn in Q4 2016: ~40% sold at prices between $73.50 and $90. That was followed with a ~30% further reduction last quarter at prices between $73.50 and $80. The disposal this quarter was at prices between $66.50 and $83.Shire plc (SHPG): SHPG was 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. The position was disposed of this quarter at prices between $160 and $190. The stock is now at $143.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.Rice Energy (RICE): The 1.71% RICE stake was purchased in Q4 2016 at prices between $20.50 and $28 and increased by a whopping ~250% last quarter at prices between $18.50 and $23.70. This quarter saw an about turn: position sold out at prices between $19 and $27. The stock is now at $26.84.Note: Lone Pine Capital controlled ~6.7% of Rice Energy as of Q1 2017.Align Technology (ALGN), Commscope Holding (COMM), Encana Corporation (ECA), HDFC Bank (HDB), and Humana Inc. (HUM): These very small (less than ~1.5% of the portfolio each) positions were disposed this quarter.New Stakes:Microsoft Corporation (MSFT): MSFT is a 3.39% portfolio stake established this quarter at prices between $65 and $72.50 and the stock is now at $73.16.Note: MSFT is back in the portfolio after a quarter’s gap: It was a large (top five) 4.93% of the portfolio position in Q4 2016. 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 last quarter happened at prices between $62 and $66.O’Reilly Automotive (ORLY): ORLY is a 3.16% portfolio position purchased this quarter at prices between $216 and $270 and the stock currently trades well below that range at $198.MasterCard Inc. (MA): MA is a 2.87% of the portfolio stake established at prices between $111 and $126 and it is now at $134.Note: MA has seen a previous roundtrip: a ~2% stake was established in Q3 2013 at prices between $59 and $69 and increased by ~30% the following quarter at prices between $67 and $83. The last three quarters of 2014 saw a huge ~200% increase at prices between $69 and $89. 2015 saw a combined ~70% reduction at prices between $82 and $102. Q1 2016 saw a ~18% further reduction at prices between $80.50 and $97.50 and the disposal in Q3 2016 was at prices between $87 and $102.Intercontinental Exchange (ICE): ICE is a 2.13% of the portfolio stake purchased this quarter at prices between $58 and $66 and the stock is currently at $65.50.Note: ICE is back in the portfolio after a quarter’s gap.TransUnion (TRU), ServiceNow Inc. (NOW), UnitedHealth Group (UNH), Altice USA (ATUS), Advance Auto Parts (AAP), Salesforce.com (CRM), and Liberty Media Formula One (FWONK): These are small (less than ~2% of the portfolio each) positions established this quarter.Note: Regulatory filings since the quarter ended show them owning 9.3M shares (5.1% of the business) of TransUnion. This is compared to 8.9M shares in the 13F.Stake Decreases:Charter Communications (CHTR) & Calls: The ~7.5% CHTR position is the second-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 $397. Last quarter saw a ~20% increase at prices between $286 and $333 while this quarter saw a similar reduction at prices between $313 and $353.Constellation Brands (STZ): STZ is a top-three ~6.5% 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 in Q4 2016 at prices between $145 and $171 and that was followed with a similar increase last quarter at prices between $147 and $165. The stock is now at ~$197. There was a ~9% trimming this quarter.Activision Blizzard (ATVI): The top-five 6.30% 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 had seen another ~45% increase at prices between $35.50 and $50. The stock is now at $64.26. There was a ~13% trimming this quarter.Note: ATVI had a previous round-trip: a ~2% position was established in H2 2015 and disposed in Q1 2016.Symantec Corporation (SYMC): The ~3% SYMC position was purchased in Q4 2016 at prices between $23.50 and $25.50 and doubled last quarter at prices between $24 and $31. This quarter saw a ~20% selling at prices between $28 and $33. The stock currently trades at $28.76.CSX Corporation (CSX): The 2.86% CSX stake was purchased last quarter at prices between $36 and $50. This quarter saw a ~28% reduction at prices between $46 and $55. The stock is now at $49.92.Adobe Systems (ADBE): ADBE is a 2.83% 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 ~$152. There was a very minor ~4% trimming last quarter and that was followed with a ~20% reduction this quarter at prices between $129 and $145.Equinix Inc. (EQIX): EQIX is a 2.78% 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 last quarter at prices between $359 and $400. The stock is now at ~$456. There was a ~11% trimming this quarter. Mandel is harvesting huge long-term gains.Ulta Beauty (ULTA): ULTA is a 2.10% 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 the following quarter at prices between $228 and $266. Last quarter also saw another ~15% selling at prices between $257 and $289. The stock is now at $232. There was a ~6% trimming this quarter. Mandel is harvesting gains.Albemarle Corp. (ALB): ALB is a very small 0.62% position established last quarter and reduced by ~40% this quarter.Stake Increases:Alibaba Group Holdings (BABA): The 8.36% BABA stake is currently the largest position in the portfolio. It was established in Q3 2016 at prices between $78.50 and $110 and increased by ~50% the following quarter at prices between $86.50 and $108. There was another ~30% increase last quarter at prices between $88.50 and $110. This quarter also saw a ~18% increase at prices between $107 and $144. The stock is now well above those ranges at $174.FleetCor Technologies (FLT): The 4.81% 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. This quarter saw a ~46% increase at prices between $131 and $151. It currently trades at ~$142. For investors attempting to follow Mandel, FLT is a good option to consider for further research.Note: Lone Pine Capital controls ~7% of FleetCor Technologies.Facebook Inc. (FB): The 4.73% 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 last quarter at prices between $117 and $143. There was a ~20% stake increase this quarter at prices between $139 and $155. The stock currently trades at ~$170.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.Comcast Corporation (CMCSA), Quintiles IMS Holdings (Q), and T-Mobile US (TMUS): These positions were established last quarter and increased this quarter. CMCSA is a ~4% portfolio position established at prices between $34.50 and $38.50 and increased by ~50% this quarter at prices between $37 and $42. The stock is currently at $41.35. The 4.57% Q stake was purchased at prices between $75 and $82.50 and increased by ~70% this quarter at prices between $78 and $91. The stock is now at $94.73. TMUS is a 2.20% position established at prices between $56.50 and $65 and increased by ~20% this quarter at prices between $60 and $68. It is now at $64.38.Expedia Inc. (EXPE): EXPE is a 3.42% position established in Q3 2016 at prices between $106 and $119 and reduced by ~40% the following quarter at prices between $113 and $132. There was another ~50% selling last quarter at prices between $112 and $131. There was an about turn this quarter: stake doubled at prices between $125 and $154. The stock is now at $148.Grupo Televisa (TV): The ~2.5% TV position was established in Q3 2016 at prices between $24 and $28. There was a ~36% increase last quarter at prices between $20 and $27. The stock is now at $25.70. For investors attempting to follow Mandel, TV is a good option to consider for further research. There was a ~11% increase this quarter.Arista Networks (ANET), Barclays Bank plc (BCS), and Snap Inc. (SNAP): These are very small (less than ~1.5% of the portfolio each) stakes that saw increases this quarter.Kept Steady: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 the following quarter at prices between $163 and $182. There was a ~50% stake increase last quarter at prices between $174 and $227. The stock currently trades at $255.Cheniere Energy (LNG): LNG is a 1.28% of the portfolio position first purchased in H2 2014 at prices between $65 and $84. There was a ~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 the following quarter at prices between $35.50 and $43.50. The stock currently trades at $41.15.The spreadsheet below highlights changes to Mandel’s US stock holdings in Q2 2017:Regulatory Filings thru 5/26/2017: None."