This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Activist Hedge Fund Moves Into Netflix, Gold

BOSTON ( TheStreet) -- Barry Rosenstein, founder of Jana Partners, is best known as an activist investor. The hedge fund manager made intriguing moves in the fourth quarter, buying more shares of Apple (AAPL - Get Report) and making an outsized bet on Marathon Petroleum (MPC - Get Report).

In his role as an activist investor, Rosenstein has most recently targeted McGraw-Hill (MHP), the owner of Standard & Poor's. Jana Partners previously initiated a stake in the company and hoped to break it up to unlock value. In September, McGraw-Hill announced that it would separate into two public companies, notching another victory for Rosenstein.

Barry Rosenstein of Jana Partners hedge fund.

McGraw-Hill has been displaced as the hedge fund's largest position after Rosenstein bought 16.6 million shares of Marathon Petroleum in the fourth quarter. The new position carried a market value of about $553 million and a portfolio weighting of nearly 25%. McGraw-Hill slipped to second place in Rosenstein's portfolio with a weighting of $395 million after the fund sold nearly 1.5 million shares during the quarter.

Rosenstein has made waves as an activist investor in other companies, including El Paso (EP). Jana Partners was also part of a group that helped thwart a buyout of Charles River Laboratories (CRL).

Rosenstein slashed his stake in El Paso, selling more than 12 million shares of the company after it rallied on a buyout offer from Kinder Morgan (KMI). Jana Partners held only 5 million shares of El Paso as of Dec. 31.

Hedge funds that manage more than $100 million are required to disclose their equity holdings, options and convertible debt on a Form 13F filed to the Securities and Exchange Commission within 45 days of the end of a quarter. Funds aren't required to report short positions betting on declines. Jana Partners ended the fourth quarter with 28 reported holdings with a market value of $2.1 billion.

>>View Jana Partners' Portfolio

Rosenstein's 13 new buys in the fourth quarter span a number of sectors, from energy to technology to gold. In addition to Marathon Petroleum, Jana initiated new stakes in Energizer Holdings (ENR), SPDR Gold Trust (GLD), Netflix (NFLX - Get Report), TripAdvisor (TRIP) and Cytec Industries (CYT), among others.

Jana Partners also added to six positions, including Apple, Expedia (EXPE) and Rock-Tenn (RKT). Rosenstein now owns 258,000 shares of Apple.

On the other hand, Jana Partners unloaded its stake in nine companies, including Coca-Cola Enterprises (CCE), Liberty Global (LBTYA), Liberty Media (LMCA) and Covidien (COV).

Meanwhile, in addition to McGraw-Hill, Rosenstein cut his hedge fund's position in Sunoco (SUN) and Google (GOOG), among others.

-- Written by Robert Holmes in Boston.



>To contact the writer of this article, click here: Robert Holmes.

Readers Also Like:

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
GLD $111.88 -2.70%
AAPL $127.43 0.81%
NFLX $462.05 -1.20%
MPC $99.32 -2.40%
FB $80.30 -1.10%

Markets

DOW 17,895.15 -240.57 -1.33%
S&P 500 2,077.25 -23.79 -1.13%
NASDAQ 4,938.8860 -43.9230 -0.88%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs