Coatue Management top Q3 moves: cuts Nvidia, exits CRM & UNH, piles into Chinese stocks

Nvidia Corporation building in Taipei, Taiwan. — BING-JHEN HONG

Billionaire investor Philippe Laffont’s Coatue Management had a busy third quarter with several moves across its equity portfolio, including cutting its stake in Nvidia (NASDAQ:NVDA), exiting Salesforce (NYSE:CRM) and UnitedHealth (NYSE:UNH), and piling into Chinese tech majors.

Coatue disclosed the information in its latest 13F filing for the three months ended September 30, 2024, published on Thursday.

Moves in Magnificent 7 Companies

The hedge fund slashed its Nvidia (NVDA) ownership by 26.3% to 10.1M shares in Q3. It also trimmed its position in Facebook-parent Meta Platforms (META) by 11.7% to 3.7M class A shares.

Coatue increased its stake in Google-owner Alphabet’s class A capital stock (GOOG) by 33.2% to 3.7M shares in Q3, and in its class C capital stock (GOOGL) by 7.5% to around 663K shares.

The fund also upped its holdings in tech behemoth Microsoft (MSFT) by 4.1% to 3.9M shares in Q3, and in e-commerce and cloud major Amazon (AMZN) by 4.6% to 11.3M shares.

Additionally, Coatue bumped up its stake in electric vehicle maker Tesla (TSLA) by 32.5% to 2.2M shares in Q3.

Moves in the Chip Space

Aside from its cut in Nvidia (NVDA), Coatue was active in other semiconductor and chip companies as well in the third quarter.

The fund exited Dutch chip giant ASML (ASML), while picking up a new stake of 1.3M shares in chip designer Cadence Design Systems (CDNS).

Speaking of chip designers, Coatue’s position in chip designer Qualcomm (QCOM) was decreased by 76.5% to 1.2M shares in Q3.

In other cuts, its ownership in the world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing (TSM), was reduced by 17.8% to 9.4M American depositary shares. It also trimmed its position in the world’s second-largest maker of personal computer processors, Advanced Micro Devices (AMD), by 32.3% to 4.2M shares.

Finally, Coatue piled into its stake in chipmaker Broadcom (AVGO), raising it to 4.3M shares in Q3 from 283.4K shares in Q2.

Moves in Chinese Companies

Coatue absolutely piled into its position in online retailer JD.com (NASDAQ:JD) in the third quarter, raising it to 8.2M American depositary class A shares from a paltry 24.6K in Q2.

It also significantly increased its holdings in e-commerce major Alibaba (NYSE:BABA) to 2.7M American depositary shares in Q3 from 272.7K in Q2.

The fund’s ownership in PDD (NASDAQ:PDD) – the operator of e-commerce platforms Pinduoduo and Temu – got a huge raise as well, to 2.6M American depositary shares from 307.7K.

Significant Takes and Exits

Coatue picked up stakes in the following companies in Q3: Australian business software firm Atlassian (TEAM), the world’s largest alternative investment firm Blackstone (BX), restaurant chain Chipotle Mexican Grill (CMG), food delivery business DoorDash (DASH), and private equity major KKR (KKR).

Coatue dumped its stakes in the following companies in Q3: cybersecurity firm CrowdStrike (CRWD), solar panel maker First Solar (FSLR), and Dow 30 components Salesforce (CRM) and UnitedHealth (UNH).

Notable Boosts and Trims

The hedge fund increased its stakes in weight-loss drug leaders Eli Lilly (LLY) and Novo Nordisk (NVO). Additionally, it bumped up its positions in General Electric’s energy business spin-out GE Vernova (GEV) and payment technology firm PayPal (PYPL).

The hedge fund cuts its holdings in PC and electronics maker Dell Technologies (DELL), Canadian e-commerce company Shopify (SHOP), and ride-hailing giant Uber (UBER).

Philippe Laffont’s Coatue has deployed total capital of $27B in private investments. According to Forbes, Laffont’s real time net worth is $6.5B.

More on 13F filings

Tags: UNH