Hound Partners, LLC Q3 2022 vs. Q4 2022 13F Holdings Comparison

Investment in stock market can be a challenging task, and tracking the market movements is even more daunting. Nevertheless, the filing of Form 13F by institutional investment managers can help investors to get an insight into the current portfolios of such managers. Form 13F is a quarterly report that provides a snapshot of the institutional investment manager’s assets and investments. Hound Partners LLC is one of such institutional investment managers that filed the Form 13F for Q3 2022 and Q4 2022, and in this article, we shall be making a comparison of their holdings to get an understanding of the changes that occurred in the period.

HCA HEALTHCARE INC

Hound Partners, LLC's shares in HCA HEALTHCARE INC decreased from 303,157 in Q3 2022 to 242,568 in Q4 2022. The value of their holdings also rose from $55,717,000 to $58,206,000, indicating an increase of 4.5%. HCA Healthcare is a company that provides health care services and aims to fill the gap in health care for the growing needs of the population. The decrease in shares that Hound Partners LLC sees in this stock indicates that they may be looking at divestment opportunities to other greater yielding stocks.

INVESCO QQQ TR

In Q4 2022, Hound Partners, LLC made no investment in INVESCO QQQ TR, whereas they held 0 shares in Q3 2022. INVESCO QQQ TR is an exchange-traded fund that aims to track the NASDAQ-100 Index. This decrease in holdings is not an indication of a sell-off of shares but only suggests that the company is focusing more on other investment opportunities in the technology sector.

FRESHWORKS INC

Hound Partners LLC held 3,140,512 shares of Freshworks Inc in Q3 2022, which decreased to 2,709,059 shares in Q4 2022. It should be noted that the value of holdings reduced from $40,732,000 in Q3 2022 to $39,850,000 in Q4 2022, which indicates a decrease of 2.2%, possibly as a result of general market volatility. Freshworks is a company that provides customer engagement software. The decrease in holdings by Hound Partners LLC in this company may be due to the company's performance in Q4.

MICROSOFT CORP

The shares in Microsoft Corp held by Hound Partners LLC decreased in Q4 2022 from 230,948 shares in Q3 2022 to 166,134 shares in Q4 2022. The value of their investments in the stock decreased by 25.9%, from $53,788,000 in Q3 2022 to $39,842,000 in Q4 2022. The decrease could be due to several reasons, including that the company's needs are now directed towards other holdings.

BIO RAD LABS INC

Hound Partners LLC's shares in BIO RAD LABS INC increased from 53,407 in Q3 2022 to 88,354 in Q4 2022, which indicates an increase of 66.8%. Additionally, the value of their investments increased from $22,278,000 in Q3 2022 to $37,151,000 in Q4 2022. This increase implies that Hound Partners LLC is positive on the growth potential of BIO RAD LABS INC and could lead to profitability if the company performs as expected.

Conclusion

Hedge funds and other institutional investors that invest money in the stock market often use the information obtained from 13F filings to make investment decisions for their portfolio. In the 13F filings by Hound Partners, LLC, one can observe the changes in their holdings and investment portfolio. This article has provided an analysis of some of the stocks held by the company, based on the Q3 2022 and Q4 2022 13F filings. While the information provided in the article cannot be used to make investment decisions, it can help investors to understand the company's thought process with regards to the purchase and sale of shares in the noted companies.