Renowned investment firm, Lee Ainslie, recently disclosed its portfolio updates for the second quarter of 2023, which ended on June 30, 2023. The firm's portfolio contained a total of 393 stocks, with an aggregate value of $4.69 billion. The top holdings for the quarter were CPNG (29.49%), NVDA (4.08%), and AMZN (3.99%).
Top Three Trades of the Quarter
The firm's top three trades for the quarter included new positions in Constellation Brands Inc (NYSE:STZ) and Baxter International Inc (NYSE:BAX), and a reduction in Salesforce Inc (NYSE:CRM).
Constellation Brands Inc (NYSE:STZ)
Lee Ainslie (Trades, Portfolio) established a new position in Constellation Brands Inc, purchasing 592,121 shares. This gave the stock a 3.11% weight in the equity portfolio. The shares were traded at an average price of $233.86 during the quarter. As of August 14, 2023, STZ's price was $267.65, with a market cap of $49.06 billion. The stock has returned 11.28% over the past year. GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 7 out of 10. In terms of valuation, STZ has a price-book ratio of 5.71, a EV-to-Ebitda ratio of 66.98, and a price-sales ratio of 5.42.
Baxter International Inc (NYSE:BAX)
The firm also initiated a new position in Baxter International Inc, acquiring 2,767,081 shares. This gave the stock a 2.69% weight in the equity portfolio. The shares were traded at an average price of $43.5 during the quarter. As of August 14, 2023, BAX's price was $42.81, with a market cap of $21.68 billion. The stock has returned -27.41% over the past year. GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 7 out of 10. In terms of valuation, BAX has a price-book ratio of 3.89, a EV-to-Ebitda ratio of -35.20, and a price-sales ratio of 1.46.
Salesforce Inc (NYSE:CRM)
Lee Ainslie (Trades, Portfolio) reduced their investment in Salesforce Inc by 449,030 shares, impacting the equity portfolio by 2.27%. During the quarter, the stock traded at an average price of $204.06. As of August 14, 2023, CRM's price was $212.06, with a market cap of $206.55 billion. The stock has returned 11.64% over the past year. GuruFocus gives the company a financial strength rating of 7 out of 10 and a profitability rating of 7 out of 10. In terms of valuation, CRM has a price-earnings ratio of 558.05, a price-book ratio of 3.61, a price-earnings-to-growth (PEG) ratio of 20.82, a EV-to-Ebitda ratio of 28.52, and a price-sales ratio of 6.55.
These trades reflect the firm's investment strategy, which is grounded in a rigorous, fundamental bottom-up research process. The firm seeks to identify companies that are undervalued and have strong growth potential. The firm's portfolio updates provide valuable insights into its investment decisions and strategies.
