Story
Pershing Square Reinvests in Netflix, Adds Five New Holdings
Summary
Bill Ackman's hedge fund disclosed a new 4.9% stake in Netflix, marking a return after a significant 2022 loss, and revealed new positions in Visa, Mastercard, and others in its latest semiannual report.
Bill Ackman’s Pershing Square has re-established a position in Netflix and initiated stakes in five other companies, according to a semiannual report released Wednesday. The move marks a significant return to the streaming giant after the hedge fund sold its previous stake at a substantial loss in 2022.
New Portfolio Additions
The disclosures were made in the firm's first semiannual report since its U.S. entity began trading on the New York Stock Exchange in late April. In addition to Netflix, Pershing Square revealed new holdings in several financial and healthcare companies.
The new positions disclosed include:
- Netflix Inc. (NFLX)
- Visa Inc. (V)
- Mastercard Inc. (MA)
- S&P Global Inc. (SPGI)
- Intercontinental Exchange Inc. (ICE)
- Alcon AG (ALC)
The firm noted that its stakes in Intercontinental Exchange and Alcon were acquired after the reporting period ended on June 30.
A Renewed Bet on Netflix
AdThe most notable addition is Netflix, where Pershing Square held 3.15 million shares, accounting for 4.9% of its portfolio as of June 30. This investment follows a short-lived foray in early 2022, when the fund invested over $1 billion before exiting months later for a loss exceeding $400 million after Netflix reported its first subscriber decline in a decade.
In its latest report, Pershing Square expressed renewed confidence, stating that “Netflix has since effectively won the streaming wars.” The firm cited expectations for double-digit revenue growth and expanding margins, adding that it views the company’s current valuation as a “substantial discount.”
Broader Portfolio Snapshot
The new investments join a concentrated portfolio of large-cap companies. Microsoft remains Pershing Square’s largest holding at 12.4% of the portfolio, followed by Uber Technologies at 12.0%. Meta Platforms is its third-largest holding.
Pershing Square also reported that net returns on its portfolio were 0.6% from its U.S. listing date in late April through August 11.
Read next
More on Stocks
ExxonMobil in Advanced Talks for Venezuela Return, Eyeing Former Orinoco Project
The U.S. oil major is reportedly negotiating a return to the Petromonagas heavy oil project, a significant reversal nearly two decades after its assets were nationalized by the Venezuelan government.
US House Passes Bill Targeting Data Center Power Grid Costs
The U.S. House of Representatives has advanced the Ratepayer Protection Act, the first legislation of its kind aimed at making large power users like data centers bear the costs of new electricity infrastructure.
New Zealand's Q2 GDP Growth Exceeds Forecasts but Remains Tepid at 0.2%
New Zealand's economy grew 0.2% in the second quarter, topping analyst and central bank forecasts, according to official data. However, the pace of expansion remains slow amid persistent economic headwinds and recent interest rate hikes.
Snap Partners With Salesforce, Nvidia to Target Enterprise Market With AR Glasses
Snap Inc. has announced strategic partnerships with Salesforce, Nvidia, and Amazon Web Services to integrate enterprise-grade AI and software tools into its Specs augmented-reality glasses, signaling a major push into the corporate market.