Investing in the Future: Palestra Capital Management's Q3 vs Q4 2022 13F Holdings Comparison

The end of another quarter is upon us and investors and analysts are eagerly anticipating the release of 13F filings. For those unfamiliar, the 13F is a form that all institutional investment managers with over $100 million in assets under management must file with the Securities and Exchange Commission (SEC) within 45 days of the end of each quarter. These reports provide valuable insights into the activities of these big players in the market, including which stocks they're buying, selling, or holding.

One of the funds that has recently filed their 13Fs is Palestra Capital Management LLC, a New York City-based hedge fund. In this post, we'll be taking a closer look at their Q3 vs Q4 2022 holdings to see how they've been managing their portfolio moving into the new year.

Microsoft (MSFT)

Palestra reduced their holdings in Microsoft by 9.2% from Q3 to Q4 2022, selling off 99,862 shares. While the tech giant has experienced significant growth over the past year, some analysts have expressed concerns about the company's high valuation, and it seems this sentiment may have factored into Palestra's decision to trim their position.

Alphabet Inc (GOOGL)

Similarly to Microsoft, Palestra sold a portion of their Alphabet Inc holdings in Q4 2022, reducing their position by 10%. However, Alphabet's stock price has been more volatile than Microsoft's, with a number of factors potentially contributing to the sell-off, such as concerns around increased government scrutiny of tech companies or misspending on research and development.

Visa Inc (V)

VISA Inc was one of Palestra's largest holdings, and they opted to cut their position by 13.6% in Q4 2022, selling off 111,634 shares. The payment processing company has seen huge gains over the past year, with more consumers focusing on e-commerce options due to the pandemic.

Meta Platforms Inc (META)

In a surprising move, Palestra added Meta Platforms Inc (formerly known as Facebook) to its holdings in Q4 2022, scooping up 1.1M shares. While the social media giant has faced significant regulatory and reputational issues in the past, the company has also experienced strong growth, particularly with the advent of the "metaverse".

Workday Inc (WDAY)

Palestra trimmed their holdings in Workday by 25.0% in Q4 2022, selling off 256,329 shares. This may be related to the fact that Workday's stock has struggled in recent years, leading some investors to doubt the company's ability to grow and compete in the industry.

Union Pacific Corp (UNP)

Palestra sold off a significant amount of shares in Union Pacific Corp in Q4 2022, cutting their position by over 35%. This may be due to the fact that the stock has been struggling over the past year or so, leading some investors to question the company's performance and prospects moving forward.

Conclusion

While Palestra's Q3 vs Q4 2022 13F filings reveal some interesting insights into the fund's activities, it's important to note that these reports only tell part of the story. There could be a number of reasons why the hedge fund chose to buy, hold or sell certain positions, and there may be changes in the future. Nonetheless, keeping tabs on the holdings of institutional investors can be a helpful tool for individual traders and investors looking to make strategic moves in the market.