Yahoo Finance Billionaire Stanley Druckenmiller’s Top 12 Stock Picks
In this article, we discuss billionaire Stanley Druckenmiller's top 12 stocks picks. To skip our detailed analysis of Druckenmiller’s hedge fund and his recent movements in the market, go directly to read Billionaire Stanley Druckenmiller's Top 5 Stock Picks.
Stanley Druckenmiller, a billionaire and hedge fund manager, gained fame for his bet against the British pound while managing George Soros' Quantum Fund in 1992. Together, they reportedly amassed a $1 billion profit from the transactions. Druckenmiller also operated his own hedge fund from 1981 to 2010, delivering an average annual return of 30% for clients. Currently, he oversees capital through the Duquesne Family Office, primarily catering to a select group of clients. The investment arm employs a diversified strategy, targeting multiple industries such as technology, financial services, and consumer discretionary sectors. With a net worth exceeding $6 billion, Druckenmiller is widely regarded for his guidance and perspectives on the market's trajectory.
Recently, the billionaire investor was seen making significant adjustments to the investment portfolio of his investment fund management firm. According to filings, Druckenmiller reduced holdings in traditional tech companies while adding new positions in artificial intelligence (AI) and gold-related shares. Notably, Duquesne sold Alphabet Inc. (NASDAQ:GOOG) shares for $112 million during the fourth quarter after acquiring them in Q3 2023. In contrast, Druckenmiller, having expressed optimism about gold, made relatively modest investments in two gold companies: Barrick Gold Corporation (NYSE:GOLD), the largest gold extraction corporation, and Newmont Corporation (NYSE:NEM), another major gold mining company, with 1.76 million and 474,000 shares respectively.
Duquesne's concentration on NVIDIA Corporation (NASDAQ:NVDA) and Microsoft Corporation (NASDAQ:MSFT) has been in the works for at least a year, as the office acquired a combined $430 million in both companies in early 2023. The bullish sentiment towards Microsoft is further fueled by its AI initiatives, with the company integrating the technology into its cloud and software services.
With these details in mind, let’s take a look at some of the top stock picks in Stanley Druckenmiller’s portfolio. Some notable names in this list include NVIDIA Corporation (NASDAQ:NVDA), Microsoft Corporation (NASDAQ:MSFT), and Eli Lilly and Company (NYSE:LLY).
Stanley Druckenmiller of Duquesne Capital
Our Methodology
We selected the following 12 stocks from Stanley Druckenmiller’s stock portfolio as of Q4 2023. We have also mentioned the hedge fund sentiment towards each stock, which was assessed from Insider Monkey’s database of 933 elite hedge funds tracked as of the end of the last quarter of 2023. The list is arranged in ascending order of the number of Duquesne Capital's stake value in each holding.
Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here).
12. KBR, Inc. (NYSE:KBR)
Number of Hedge Fund Investors: 47
Duquesne Capital’s Q4 2023 Investment Value: $64.1 million
KBR, Inc. (NYSE:KBR), previously known as Kellogg Brown & Root, is a United States-based company specializing in science, technology, and engineering services. Operating across diverse sectors including aerospace, defense, industrial, and intelligence, KBR, Inc. (NYSE:KBR) serves various markets. Formed in 1998 following Halliburton's acquisition of Dresser Industries, the company emerged from the merger of M.W. Kellogg and Halliburton's construction subsidiary, Brown & Root.
During last year’s December quarter, 47 out of the 933 hedge funds part of Insider Monkey’s database had held a stake in the company. The largest KBR, Inc. (NYSE:KBR) hedge fund shareholder is Alex Duran and Scott Hendrickson’s Permian Investment Partners as it owns 2.7 million shares that are worth $153 million. That same quarter, Druckenmiller increased his stake in the company by 130%, boosting his stake in KBR, Inc. (NYSE:KBR) to $64.1 million.
Much like NVIDIA Corporation (NASDAQ:NVDA), Microsoft Corporation (NASDAQ:MSFT) and Eli Lilly and Company (NYSE:LLY), Stanley Druckenmiller loves KBR, Inc. (NYSE:KBR).
11. UBS Group AG (NYSE:UBS)
Number of Hedge Fund Investors: 35
Duquesne Capital’s Q4 2023 Investment Value: $74.88 million
UBS Group AG (NYSE:UBS) is a worldwide financial institution providing financial guidance and solutions to private, institutional, and corporate clients. The company operates through four divisions: Global Wealth Management, Personal & Corporate Banking, Asset Management, and Investment Bank. On February 6, UBS Group AG (NYSE:UBS) announced a proposed dividend of $0.70 per share, representing a 27% increase from the previous year's ordinary dividend. Shareholders as of May 2 will receive the dividend, payable on May 3.
According to Insider Monkey’s fourth quarter database, 35 hedge funds were bullish on UBS Group AG (NYSE:UBS), compared to 33 funds in the last quarter. Cevian Capital is the biggest stakeholder of the company, with 43.7 million shares worth $1.35 billion.
Patient Capital Management stated the following regarding UBS Group AG (NYSE:UBS) in its fourth quarter 2023 investor letter:
“UBS Group AG (NYSE:UBS) is a name we opportunistically purchased following the banking crisis earlier in the year. UBS benefited from buying its largest local competitor, Credit Suisse, for an 80% discount from where it was trading before the crisis. We bought after the deal, believing the market’s myopic focus on short-term integration risks failed to properly value the attractive set of assets. While the stock has done well since then, we still believe it is underappreciating the long-term return potential of the business.”
10. Vistra Corp. (NYSE:VST)
Number of Hedge Fund Investors: 56
Duquesne Capital’s Q4 2023 Investment Value: $91.87 million
Vistra Corp. (NYSE:VST), headquartered in Irving, Texas, is a prominent integrated retail electricity and power generation company serving customers, businesses, and communities across the United States, spanning from California to Maine. Renowned for its leadership in the energy transformation sector, Vistra Corp. (NYSE:VST) plays a pivotal role in shaping the future of energy.
On March 1, Vistra Corp. (NYSE:VST) announced the successful completion of its acquisition of Energy Harbor Corp. This strategic move enhances Vistra's position in the integrated zero-carbon generation and retail electricity market by adding approximately 4,000 megawatts of 24/7 nuclear generation capacity and expanding its customer base by approximately 1 million retail customers.
By the end of 2023’s fourth quarter, 56 out of the 933 hedge funds surveyed by Insider Monkey were the firm’s investors. Stanley Druckenmiller owned approximately $92 million worth of VST shares as of the end of 2023
9. General Electric Company (NYSE:GE)
Number of Hedge Fund Investors: 92
Duquesne Capital’s Q4 2023 Investment Value: $93.94 million
Established in 1892 and based in Boston, General Electric Company (NYSE:GE) stands as a prominent American multinational conglomerate. Operating across diverse sectors such as aerospace, power, renewable energy, digital industry, additive manufacturing, and venture capital and finance.
On March 11, investment advisory firm Goldman Sachs reaffirmed its Buy rating on General Electric Company (NYSE:GE) stock and raised the price target to $177 from $156.
As of the fourth quarter of 2021, Insider Monkey's database indicated that 92 hedge funds held stakes in General Electric Company (NYSE:GE), totaling $12.2 billion. This reflects an increase from the previous quarter, where 76 hedge funds held stakes valued at $10.3 billion.
8. News Corporation (NASDAQ:NWS)
Number of Hedge Fund Investors: 17
Duquesne Capital’s Q4 2023 Investment Value: $99.3 million
News Corporation (NASDAQ:NWS), commonly known as News Corp, is a major American mass media and publishing company headquartered in Midtown Manhattan, New York City. It was established on June 28, 2013, through the spin-off of the media assets of the original News Corporation, which became 21st Century Fox.
The Dow Jones segment of the media conglomerate, home to renowned financial publications including The Wall Street Journal, Barron's, and MarketWatch, generated $584 million in revenue for the December quarter. This marked a 4% increase from the same quarter in 2022, driven by heightened demand for the segment's bundled subscription offerings.
During 2023’s fourth quarter, 17 out of the 933 hedge funds surveyed by Insider Monkey were News Corporation (NASDAQ:NWS)’s shareholders. The firm’s largest hedge fund shareholder is Donald Yacktman’s Yacktman Asset Management through its $410 million stake.
7. Vertiv Holdings Co (NYSE:VRT)
Number of Hedge Fund Investors: 75
Duquesne Capital’s Q4 2023 Investment Value: $111.1 million
Vertiv Holdings Co (NYSE:VRT), an American multinational corporation, specializes in providing critical infrastructure and services for data centers, communication networks, and commercial and industrial environments. On February 21, the company released its fourth-quarter results. Adjusted earnings per share for the period were reported at $0.56, exceeding estimates by $0.03. However, revenue for the quarter saw a 12.7% year-over-year increase, reaching $1.87 billion, falling short of estimates by $0.03.
As of Q4 2023, Vistra Corp. (NYSE:VST) was one of the top picks in Stanley Druckenmiller's portfolio. A total of 75 elite hedge funds tracked by Insider Monkey held its shares, valued at $3.1 billion.
ClearBridge SMID Cap Growth Strategy stated the following regarding Vertiv Holdings Co (NYSE:VRT) in its fourth quarter 2023 investor letter:
“Within IT, AI trends continue to positively impact order trends at data center and technology hardware companies to the benefit of companies like Monolithic Power Systems, our top-performing holding during the quarter. Enthusiasm supplying power management for Nvidia’s AI GPUs supported both strong 2023 performance and a robust future outlook. This strong demand also translated into positive performance for industrials holding Vertiv Holdings Co (NYSE:VRT), a leader in power and thermal management and related tools and systems used by data centers. However, we continue to monitor the sustainability of such trends, as well as their valuations, on a case-by-case basis. As a result, we trimmed the position size of both of these investments, following strong stock performance.”
6. Seagate Technology Holdings PLC (NASDAQ:STX)
Number of Hedge Fund Investors: 38
Duquesne Capital’s Q4 2023 Investment Value: $180.65 million
Seagate Technology Holdings PLC (NASDAQ:STX) is an American data storage company with roots tracing back to 1978 when it was established as Shugart Technology, officially commencing operations in 1979. Since 2010, the company has been headquartered in Dublin, Ireland, while maintaining operational headquarters in Fremont, California, United States.
In late January, Seagate Technology Holdings PLC (NASDAQ:STX) projected its third-quarter revenue in line with analysts' expectations, signaling optimism amid the ongoing recovery in the personal computer (PC) and cloud markets. This recovery is anticipated to drive demand for Seagate's data storage products. With the introduction of artificial intelligence-powered PCs this year and a gradually stabilizing economy, there is anticipation that the post-pandemic slump experienced by data-storage solution providers will come to an end. Seagate forecasts revenue for the quarter ending March 31 to be around $1.65 billion, plus or minus $150 million, aligning closely with analysts' estimates of $1.64 billion.
Duquesne Capital still retains Seagate Technology Holdings PLC (NASDAQ:STX) in its portfolio, holding approximately 2.1 million shares, as per its latest 13F filing. Overall, 38 hedge funds held positions in the company as of the quarter.
Seagate Technology Holdings PLC (NASDAQ:STX) joins the ranks of NVIDIA Corporation (NASDAQ:NVDA), Microsoft Corporation (NASDAQ:MSFT) and Eli Lilly and Company (NYSE:LLY) as one of Stanley Druckemiller's top stock picks.
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Disclosure: None. Billionaire Stanley Druckenmiller's Top 12 Stock Picks is originally published on Insider Monkey.
