Skip to main content

Hedge fund legend Julian Robertson's disciples know how to pick 'em.

The billionaire former head of Tiger Management, a hedge fund he closed in 2000, kick-started the careers of some of the biggest names in investment today, including Lee Ainslie of Maverick Capital, Andreas Halvorsen of Viking Global Investors and Chase Coleman of Tiger Global among them.

Collectively, Robertson's hedge fund offshoots are known as the "tiger cubs." Over the years, the group has done quite well in terms of their investments.

Portfolio intelligence platform Novus recently released a report following the holdings of 50 identified tiger cub portfolios over the last 10 years. Drawing from public data, it put together an index of the 100 highest-weighted stocks on average by the group to decipher just how Robertson's disciples were doing.

According to its findings, from March 2005 through October 2015, 62% of the 770 conviction positions held by tiger cubs since 2005 were winners, while 38% were losers. On average, the winners contributed 103 basis points, while the detractors cost 43 basis points.

To be sure, some tiger cubs have been more successful than others. CNBC pointed out over the summer that at least seven cub-run firms have been shuttered in the past three years, though according to onlookers, it is not a sign of the troupe's demise.

The Novus report also notes that recent market volatility has not left the tiger funds unscathed. According to its data, Valeant (VRX) , JD.com (JD) - Get JD.com Inc. Report and Cheniere Energy (LNG) - Get Cheniere Energy, Inc. Report dealt big blows to the group from July to October. Stocks such as Netflix (NFLX) - Get Netflix, Inc. Report , Facebook (FB) - Get Meta Platforms Inc. Class A Report and Amazon (AMZN) - Get Amazon.com, Inc. Report , on the other hand, delivered some alpha.

"Still, for the most part, the long portfolios of tiger cubs have not suffered as large of a draw down as some of their industry peers," Stan Altshuller and Adam Benenson note in the report. "Part of the reason the tiger cubs were able to avoid some of the tumultuous volatility that befell other funds was that they never really grew their healthcare exposure to a very significant level while many other managers did."

So where have the tiger cubs made their money? The following 10 stocks have been the group's biggest winners over the past decade.

10. Charter Communications (CHTR) - Get Charter Communications, Inc. Class A Report
Basis Points: 942.78
Return: 191.25%

TheStreet Ratings team rates Charter Communications as a hold with a ratings score of C. TheStreet Ratings team has this to say about its recommendation:

"We rate Charter Communications (CHTR) a hold. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk, disappointing return on equity and poor profit margins."

Highlights from the analysis by TheStreet Ratings team include:

  • Charter Communications' revenue growth has slightly outpaced the industry average of 6.5%. Since the same quarter one year prior, revenues slightly increased by 7.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
  • Charter Communications reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. Stable earnings per share over the past year indicate the company has sound management over its earnings and share float. However, the consensus estimates suggest that there will be an upward trend in the coming year. During the past fiscal year, Charter Communications continued to lose money by earning -$1.70 versus -$1.71 in the prior year. This year, the market expects an improvement in earnings (-$1.63 versus -$1.70).
  • The debt-to-equity ratio is very high at 554.68 and currently higher than the industry average, implying increased risk associated with the management of debt levels within the company. Along with this, the company manages to maintain a quick ratio of 0.16, which clearly demonstrates the inability to cover short-term cash needs.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Media industry and the overall market, Charter Communications' return on equity significantly trails that of both the industry average and the S&P 500.
  • You can view the full analysis from the report here: CHTR

TheStreet Recommends

9. Baidu (BIDU) - Get Baidu Inc. Report
Basis Points: 998.53
Return: 188.91%

TheStreet Ratings team rates Baidu as a Hold with a ratings score of C+. TheStreet Ratings team has this to say about its recommendation:

"We rate Baidu (BIDU) a hold. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income and a generally disappointing performance in the stock itself."

Highlights from the analysis by TheStreet Ratings team include:

  • Baidu's revenue growth has slightly outpaced the industry average of 15.1%. Since the same quarter one year prior, revenues rose by 24.0%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • Baidu's debt-to-equity ratio of 0.67 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 2.83 is very high and demonstrates very strong liquidity.
  • The share price of Baidu has not done very well: it is down 16.32% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it could be one of the factors that may help make the stock attractive down the road. Right now, however, we believe that it is too soon to buy.
  • The company, on the basis of change in net income from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and greatly underperformed compared to the Internet Software & Services industry average. The net income has significantly decreased by 34.1% when compared to the same quarter one year ago, falling from $641.97 million to $422.89 million.
  • You can view the full analysis from the report here: BIDU

8. TransDigm Group (TDG) - Get TransDigm Group Incorporated Report
Basis Points: 1026.95
Return: 614.15%

TheStreet Ratings team rates TransDigm Group as a buy with a ratings score of B-. TheStreet Ratings team has this to say about its recommendation:

"We rate TransDigm Group (TDG) a buy. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, compelling growth in net income, good cash flow from operations and solid stock price performance. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."

Highlights from the analysis by TheStreet Ratings team include:

  • The revenue growth came in higher than the industry average of 0.9%. Since the same quarter one year prior, revenues rose by 13.2%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • TransDigm Group reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, TransDigm Group increased its bottom line by earning $3.18 versus $2.42 in the prior year. This year, the market expects an improvement in earnings ($8.74 versus $3.18).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Aerospace & Defense industry. The net income increased by 512.7% when compared to the same quarter one year prior, rising from $16.18 million to $99.11 million.
  • Net operating cash flow has increased to $190.51 million or 47.63% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 16.68%.
  • Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels.
  • You can view the full analysis from the report here: TDG

7. Fleetcor Technologies (FLT) - Get FLEETCOR Technologies, Inc. Report
Basis Points: 1206.87
Return: 224.32%

TheStreet Ratings team rates Fleetcor Technologies as a buy with a ratings score of A-. TheStreet Ratings team has this to say about its recommendation:

"We rate Fleetcor Technologies (FLT) a buy. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, good cash flow from operations, expanding profit margins and compelling growth in net income. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."

Highlights from the analysis by TheStreet Ratings team include:

  • Fleetcor Technologies' very impressive revenue growth greatly exceeded the industry average of 27.1%. Since the same quarter one year prior, revenues leaped by 52.9%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Fleetcor Technologies has improved earnings per share by 11.7% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, Fleetcor Technologies increased its bottom line by earning $4.23 versus $3.37 in the prior year. This year, the market expects an improvement in earnings ($6.22 versus $4.23).
  • Net operating cash flow has significantly increased by 102.65% to $323.78 million when compared to the same quarter last year. In addition, Fleetcor Technologies has also vastly surpassed the industry average cash flow growth rate of -12.89%.
  • The gross profit margin for Fleetcor Technologies is rather high; currently it is at 52.31%. Regardless of FLT's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, FLT's net profit margin of 25.86% compares favorably to the industry average.
  • After a year of stock price fluctuations, the net result is that Fleetcor Technologies' price has not changed very much. Although its weak earnings growth may have played a role in this flat result, don't lose sight of the fact that the performance of the overall market, as measured by the S&P 500 Index, was essentially similar. Looking ahead, the stock's rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that the other strengths this company displays justify these higher price levels.
  • You can view the full analysis from the report here: FLT

6. Netflix (NFLX) - Get Netflix, Inc. Report
Basis Points: 1254.54
Return: -49.21%

TheStreet Ratings team rates Netflix as a hold with a ratings score of C. TheStreet Ratings team has this to say about its recommendation:

"We rate Netflix (NFLX) a hold. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its solid stock price performance, robust revenue growth and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity."

Highlights from the analysis by TheStreet Ratings team include:

  • Compared to its closing price of one year ago, Netflix's share price has jumped by 108.87%, exceeding the performance of the broader market during that same time frame. Although Netflix had significant growth over the past year, our hold rating indicates that we do not recommend additional investment in this stock at the current time.
  • Netflix's revenue growth trails the industry average of 45.5%. Since the same quarter one year prior, revenues rose by 23.3%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. When compared to other companies in the Internet & Catalog Retail industry and the overall market, Netflix's return on equity is below that of both the industry average and the S&P 500.
  • Net operating cash flow has significantly decreased to -$195.97 million or 423.43% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • You can view the full analysis from the report here: NFLX

5. Facebook (FB) - Get Meta Platforms Inc. Class A Report
Basis Points: 1277.50
Return: 288.89%

TheStreet Ratings team rates Facebook as a buy with a ratings score of B+. TheStreet Ratings team has this to say about its recommendation:

"We rate Facebook (FB) a buy. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, growth in earnings per share and expanding profit margins. We feel its strengths outweigh the fact that the company has had somewhat disappointing return on equity."

Highlights from the analysis by TheStreet Ratings team include:

  • The revenue growth came in higher than the industry average of 15.1%. Since the same quarter one year prior, revenues rose by 40.5%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • FB's debt-to-equity ratio is very low at 0.00 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 9.96, which clearly demonstrates the ability to cover short-term cash needs.
  • Net operating cash flow has significantly increased by 75.64% to $2,192.00 million when compared to the same quarter last year. In addition, Facebook has also vastly surpassed the industry average cash flow growth rate of 3.03%.
  • Facebook's earnings per share improvement from the most recent quarter was slightly positive. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, Facebook increased its bottom line by earning $1.10 versus $0.59 in the prior year. This year, the market expects an improvement in earnings ($2.16 versus $1.10).
  • The gross profit margin for Facebook is currently very high, coming in at 94.80%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 19.90% trails the industry average.
  • You can view the full analysis from the report here: FB

4. MasterCard (MA) - Get Mastercard Incorporated Class A Report
Basis Points: 1284.20
Return: 759.29%

TheStreet Ratings team rates MasterCard as a buy with a ratings score of A+. TheStreet Ratings team has this to say about its recommendation:

"We rate MasterCard (MA) a buy. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income."

Highlights from the analysis by TheStreet Ratings team include:

  • The revenue growth came in higher than the industry average of 27.1%. Since the same quarter one year prior, revenues slightly increased by 1.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • MasterCard's debt-to-equity ratio is very low at 0.24 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.29, which illustrates the ability to avoid short-term cash problems.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. When compared to other companies in the IT Services industry and the overall market, MasterCard's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500.
  • The gross profit margin for MasterCard is rather high; currently it is at 60.95%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 38.61% significantly outperformed against the industry average.
  • MasterCard' earnings per share from the most recent quarter came in slightly below the year earlier quarter. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, MasterCard increased its bottom line by earning $3.09 versus $2.57 in the prior year. This year, the market expects an improvement in earnings ($3.36 versus $3.09).
  • You can view the full analysis from the report here: MA

3. Priceline (PCLN)
Basis Points: 1607.07
Return: 931.38%

TheStreet Ratings team rates Priceline Group as a buy with a ratings score of A. TheStreet Ratings team has this to say about its recommendation:

"We rate Priceline Group (PCLN) a buy. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and solid stock price performance. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."

Highlights from the analysis by TheStreet Ratings team include:

  • Priceline Group's revenue growth trails the industry average of 38.3%. Since the same quarter one year prior, revenues slightly increased by 9.4%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • The debt-to-equity ratio is somewhat low, currently at 0.64, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. To add to this, PCLN has a quick ratio of 2.49, which demonstrates the ability of the company to cover short-term liquidity needs.
  • The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Internet & Catalog Retail industry and the overall market, Priceline Group's return on equity significantly exceeds that of both the industry average and the S&P 500.
  • The gross profit margin for Priceline Group is currently very high, coming in at 94.54%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 38.56% significantly outperformed against the industry average.
  • The stock has not only risen over the past year, it has done so at a faster pace than the S&P 500, reflecting the earnings growth and other positive factors similar to those we have cited here. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
  • You can view the full analysis from the report here: PCL

2. Alphabet (GOOGL) - Get Alphabet Inc. Class A Report
Basis Points: 1671.62
Return: 346.08%

TheStreet Ratings team rates Alphabet as a buy with a ratings score of B+. TheStreet Ratings team has this to say about its recommendation:

"We rate Alphabet (GOOGL) a buy. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and reasonable valuation levels. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."

Highlights from the analysis by TheStreet Ratings team include:

  • The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Internet Software & Services industry average. The net income increased by 45.3% when compared to the same quarter one year prior, rising from $2,739.00 million to $3,979.00 million.
  • Despite its growing revenue, the company underperformed as compared with the industry average of 15.1%. Since the same quarter one year prior, revenues rose by 13.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Although Alphabet's debt-to-equity ratio of 0.05 is very low, it is currently higher than that of the industry average. Along with this, the company maintains a quick ratio of 4.51, which clearly demonstrates the ability to cover short-term cash needs.
  • Powered by its strong earnings growth of 34.82% and other important driving factors, this stock has surged by 36.82% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, Alphabet should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • You can view the full analysis from the report here: GOOGL

1. Apple (AAPL) - Get Apple Inc. Report
Basis Points: 2532.51
Return: 450.04%

TheStreet Ratings team rates Apple as a buy with a ratings score of B+. TheStreet Ratings team has this to say about its recommendation:

"We rate Apple (AAPL) a buy. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, robust revenue growth and notable return on equity. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."

Highlights from the analysis by TheStreet Ratings team include:

  • Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
  • Apple has improved earnings per share by 38.0% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, Apple increased its bottom line by earning $9.20 versus $6.43 in the prior year. This year, the market expects an improvement in earnings ($9.91 versus $9.20).
  • The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Computers & Peripherals industry average. The net income increased by 31.4% when compared to the same quarter one year prior, rising from $8,467.00 million to $11,124.00 million.
  • Despite its growing revenue, the company underperformed as compared with the industry average of 25.6%. Since the same quarter one year prior, revenues rose by 22.3%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. When compared to other companies in the Computers & Peripherals industry and the overall market, Apple's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500.
  • You can view the full analysis from the report here: AAPL

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.