Lone Pine Capital made new bets on some high-performing power producers and one big streaming company in the first quarter, a new Securities and Exchange Commission filing showed. Lone Pine, founded by Stephen Mandel in 1997, added a $446.7 million position in Vistra Corp. and a $161.9 million stake in Constellation Energy in the first quarter. Vistra shares have more than doubled already in 2024, soaring 141% through Thursday, while Constellation, the largest owner of nuclear power plants in the U.S., has advanced 85%. Both stocks have benefited from intense artificial intelligence-related electricity demand. The Greenwich, Connecticut-based hedge fund also built a stake in Spotify worth more than $445 million at the end of March, according to the filing. The stock is up more than 59% this year. Lone Pine also added new positions in drug and medical supplies distributor McKesson and mobile tech company AppLovin , worth about $368 million and $300 million, respectively. The new additions came as Lone Pine significantly cut its holdings in three big tech companies: Meta Platforms, Taiwan Semiconductor and Amazon . The hedge fund slightly raised its stake in Microsoft, meanwhile. Mandel slashed his holding in Meta by more than 25% in the first quarter, when the stock soared 37%. Meta tumbled 11% in April, almost all of which came when the Mark Zuckerberg-led platform gave a lighter forecast in its first-quarter earnings report. Still, the Instagram and Facebook parent amounts to roughly 8% of the hedge fund’s entire portfolio, making it Mandel’s largest holding, according to InsiderScore. Microsoft is Lone Pine’s third-largest position, trailing Taiwan Semiconductor, which Lone Pine reduced by 11%. Amazon is the fourth-largest holding, even after the hedge fund cut its stake in the e-commerce retailer by about 18%. One company that saw a sizeable increase was tobacco maker Philip Morris International . Mandel more than doubled his stake in the stock, which is up 7% this year. The hedge fund completely exited positions in UnitedHealth Group and GE Aerospace , which began trading in its current form in April after spinning off its GE Vernova power business. Mandel, who is not involved in day-to-day management at the firm, is one of the so-called “Tiger Cubs” mentored by legendary hedge fund pioneer Julian Robertson.
