Lee Ainslie Is Betting On Castlight Health, Inc. (CSLT); Kenneth Mario Garschina Ups Stake In Babcock & Wilcox Co (BWC)
Lee Ainslie, the manager of Maverick Capital, is betting on Castlight Health, Inc. (NYSE:CSLT). According to a recent Form 4 filing with the Securities and Exchange Commission, the fund has acquired 450,000 shares in one transaction at the price of $16 apiece. In another filing, Kenneth Mario Garschina‘s fund has also revealed a recent move: Mason Capital Management has decreased its stake in Babcock & Wilcox Co (NYSE:BWC). According to the Form 4 filing, 1.1 million shares were disposed of at a price of $32.80, leaving Mason Capital with approximately 10.8 million shares.
Castlight Health, Inc. (NYSE:CSLT) is a provider of cloud-based software services to enterprises in the United States and has recently gone public. The trading started of March 14 and 12,765,000 shares were offered at $16 apiece. The initial public offering included 1.66 million shares that were issued as options for underwriters. The company has announced that the options were exercised in full. In the first day of trading, the stock has skyrocketed to a price of $41.95 and has been falling ever since. The shares are currently trading at a price of $27.27, giving the company a market cap of $2.36 billion.
Lee Ainslie is also betting big on Zoetis Inc (NYSE:ZTS). According to Maverick’s latest 13 F report, the fund has increased its holding of Class A Zoetis shares by 2021% to 7.63 million shares valued at $249 million. Another notable change is the addition of 2.29 million shares of Citrix Systems, Inc. (NASDAQ:CTXS), taking Maverick’s position to 4.85 million shares reportedly worth $307 million. Ainslie’s top holding is eBay Inc(NASDAQ:EBAY), a position he has created during the fourth quarter of 2013. Maverick owns 5.72 million shares valued at $314 million.
A producer of nuclear components for the energy industry, Babcock & Wilcox Co (NYSE:BWC) has a market cap of $3.64 billion and pays an annual dividend of $0.36 per share, which represents a yield of 1.1%. The stock is traded at a trailing Price to Earnings (P/E) ratio of 10.xx, half the industry average of 21.40. So far this year, the stock has been trending sideways in the $32-$35 channel and has been edging closer to the all time high of $36 per share that was achieved in 2011. For the three months ending December 31, 2013, Babcock & Wilcox posted revenues of $802 million and earnings per share (EPS) of $1.55. Analysts expect the company to register revenues of $716 million and EPS of $0.44 for the current quarter.
Michael Blitzer is also bullish on this stock and has increased his fund’s holding by 29% during the previous quarter. In its latest 13F filing, Kingstown Capital Management has reported the ownership of 1.8 million shares valued at $61.5 million. Jeffrey Smith is also optimistic about the prospects of Babcock & Wilcox Co (NYSE:BWC). During the fourth quarter of 2013, his fund, Starboard Value LP, has increased its stake by 191% to 2.4 million shares valued at $82 million. David Einhorn is also keeping an eye on this stock, with his fund, Greenlight Capital, holding 3.9 million shares worth approximately $136 million.
Kenneth Mario Garschina has high hopes for Vodafone Group Plc (ADR) (NASDAQ:VOD) as Mason Capital reported a 171% increase in its holding for the fourth quarter of 2013. The fund holds 13.8 million shares reportedly worth $543 million and is Garschina’s second biggest equity position. Another important change is the 27% increase in the holding of Anadarko Petroleum Corporation (NYSE:APC). As a result, Mason Capital now holds 3.67 million shares valued at $291 million. Garschina’s top stock pick is Energy Transfer Equity LP (NYSE:ETE) a position he slightly trimmed last quarter to 6.92 million shares worth $565 million.