All eyes will be on the shares of Apple on Wednesday morning
after the most popular hedge fund holding reported fiscal
first-quarter revenues and earnings that were much better than
analysts were expecting. It also reported especially strong
results for the iPhone, the Mac computer and its services
"We’re thrilled to report that our holiday
quarter results generated Apple’s highest
quarterly revenue ever, and broke multiple records along the
way," said chief executive officer Tim Cook in a press release.
"We sold more iPhones than ever before and set all-time revenue
records for iPhone, Services, Mac and Apple Watch." At the end
of the third quarter, 234 hedge funds held a position in
Apple, more than any other stock. The stock jumped nearly 3
percent in after-hours trading.
Meanwhile, Facebook, the second most popular hedge fund
stock, reports earnings on Wednesday.
Another high-profile recent start-up is shutting down.
Raveneur Investment Group, launched by Mark Black in September
2014, is closing its distressed securities firm, according to a
Reuters report. It launched with $350
million from Blackstone Group and PAAMCO. The wire service says
the two investors pulled out their money last year after
Raveneur posted losses. It also lost money in its first year
and gained just 1.6 percent in 2015. Black earlier worked at
Tricadia Capital Management and
Eton Park Capital Management.
Pershing Square Capital Management boosted its stake in
Monzelez International to 6.4 percent of the total. This
appears to make the activist hedge fund firm the largest
shareholder. However, we will know better in two weeks, when
fourth-quarter stock holdings are disclosed by all firms.
"We continue to believe that the opportunity for
productivity improvements and margin expansion at Mondelez is
significant even beyond 2018," Pershing Square told investors
in its January 26 presentation. It said at the time Mondelez
accounted for 16 percent of its capital.
Valeant Pharmaceuticals International, another major
Pershing Square investment, rebounded sharply, gaining 3.4
percent to $13.78. It is still down for the year.