George Soros is one of the most successful investors in history. His Soros Fund Management currently manages $7.6 billion in assets, and Soros himself has an estimated net worth of $6.7 billion after donating more than $32 billion to philanthropic causes. Soros formerly managed the Quantum Fund, which generated an average annual return of 30% over a 30-year period from 1970 to 2000. Soros also famously made a $1 billion profit in a single day in 1992 by short selling the British pound.
Splunk Inc. (SPLK)
Splunk is a big data company that provides operational intelligence by collecting and indexing large quantities of data. In September 2023, Cisco Systems Inc. (CSCO) announced a $28 billion acquisition of Splunk priced at $157 per share. Soros must see the stock’s discount to its buyout price as an arbitrage opportunity because his fund purchased more than 1 million shares of Splunk stock in the fourth quarter, increasing his stake by nearly 175% and making Splunk the Soros Fund’s largest single stock holding. Soros holds more than 1.5 million shares of Splunk worth about $245.5 million.
Portfolio weight: 3.1%
AerCap Holdings NV (AER)
AerCap leases aircraft to airlines around the world. AerCap was a brand new position for Soros in the first quarter of 2023, and the billionaire investor purchased more than 611,000 shares of AER stock in the fourth quarter. Soros’ fund now holds more than 2.4 million shares of AerCap stock worth about $194.4 million. The stock is attractively valued, trading at just 7.4 times forward earnings. AerCap also launched a new $500 million share buyback program last July that should help support the stock. AerCap shares are up 35% since the beginning of 2023.
Portfolio weight: 2.4%
Google and YouTube parent company Alphabet may not be the high-growth stock it once was, but it is extremely profitable and reasonably valued at a forward earnings multiple of 21.8. Soros first invested in Alphabet back in the first quarter of 2017. Since that time, the stock has more than tripled in value and outpaced the S&P 500 by more than 100%. In the fourth quarter, Soros cut his Alphabet stake by selling 185,000 shares. Soros Fund Management now holds 1.2 million GOOGL shares worth about $174 million, making it the fund’s third largest stock holding.
Portfolio weight: 2.2%
Novo Nordisk A/S (NVO)
Novo Nordisk is a Denmark-based pharmaceutical company that specializes in insulin and diabetes care. In August 2023, Novo reported that its weight loss drug Wegovy reduces the risk of heart attack, stroke or heart-related death in patients with cardiovascular disease. It’s likely no coincidence that Soros acquired a brand new stake in Novo Nordisk in the same quarter the cardiovascular study results were released. The markets for obesity, diabetes and cardiovascular disease are massive. Soros Fund Management bought 29,000 shares of NVO stock in the fourth quarter, bringing its stake up to $189.3 million.
Portfolio weight: 2.1%
Liberty Broadband Corp. (LBRDK)
Liberty Broadband is a cable, broadband and mobile technology company and is the parent of Charter Communications. Soros first invested in Liberty Broadband in the second quarter of 2016, and he paid an average estimated price of around $57.45. So far, the stock has generated minimal gains for Soros and is currently trading at about $60. Nevertheless, Soros remains patient with Liberty Broadband and made no adjustment to his position in the fourth quarter. His fund owns nearly 1.4 million shares of Liberty Broadband worth about $83.9 million, representing a roughly 0.8% stake in the company.
Portfolio weight: 1.4%
CRH PLC (CRH)
CRH is a diversified building materials company that produces products such as cement, aggregates, asphalt and ready-mix concrete. In September 2023, the Irish company transitioned its primary stock listing from the London Stock Exchange to the New York Stock Exchange, a move which makes sense given North America represents about 75% of the company’s earnings. Soros took a brand new stake of more than 2 million shares of CRH stock in the third quarter, but sold more than 610,000 shares in the fourth quarter. Soros Fund Management still holds more than 1.4 million shares of CRH stock worth about $110.8 million.
Portfolio weight: 1.3%
American Equity Investment Life Holding Co. (AEL)
American Equity Investment Life sells fixed-index and fixed-rate annuity products with a focus on commercial, agricultural and residential mortgage loans. In July 2023, Brookfield Asset Management Ltd. (BAM) announced a $4.3 billion buyout of American Equity. American Equity investors will receive $38.85 in cash plus 0.49707 shares of Brookfield stock per share of American Equity. At Feb. 15 prices, that deal makes each share of American Equity worth $59.31, yet the stock closed at $55.38 on Feb. 15. Soros holds more than 1.6 million shares of American Equity worth about $90.7 million.
Portfolio weight: 1.2%
