Larry Robbins’ Net Worth, Performance and Portfolio
In this article, we will discuss Larry Robbins' net worth, performance and portfolio. If you want to skip the detailed analysis of Robbins’ net worth, performance and investment philosophy, go directly to Top 5 Stocks in Larry Robbins' Portfolio.
Founded in 2000 by billionaire investor Larry Robbins, Glenview Capital Management has evolved to become one of the most successful hedge funds on Wall Street. The hedge fund has often outperformed the overall market with a long/short strategy focused on investments in equity and fixed incomes securities. From January 2001 to December 2010, Glenview Capital, run by Larry Robbins, delivered a 301% return net of fees and expenses. The hedge fund outperformed the average hedge funds and the S&P 500 index in 2010, with a 15.7% return. However, Glenview Capital had a rough year in 2008, when it lost about half of its assets, which were worth $9 billion at the time, and trailed the market. Glenview Capital plunged about 50% in 2008, but it seems to have recovered since then. The fund soared 82.7% in 2009.
Robbins has been a major force behind Glenview Capital management's stellar performance, given his vast experience in the hedge fund industry that spans over two decades. He stands out as a reputable money manager capable of holding positions in high-value sectors and companies. The solid performance stems from the hedge fund's investment strategy, commonly related to growth at a reasonable price (GARP). The strategy focuses on companies with strong growth prospects but highly undervalued. It also focuses on companies in predictable industries with steady and recurring revenue streams. Additionally, Glenview Capital Management stays clear of companies with high leverage, low margins, or those facing regulatory risks. Larry Robbins’ current net worth is $1.9 billion.
Additionally, the hedge fund is not sector specific. It has diversified its holdings into various segments. Some of its biggest investments are in healthcare, with stakes in hospital chains Tenet Healthcare and HCA Healthcare. Glenview has also diversified its holdings into Industrials. Robbins made profitable bets on healthcare stocks in 2012, which he said were boosted by Obamacare. The hedge fund maintained its strong performance in the next years, with an 84% return in 2013. Robbins resumed his investments in health and travel stocks in mid-2020, because these sectors became more relevant due to the pandemic. His long-term healthcare bets paid off in 2021, when his hedge fund gained 10.3%, while his main fund that focused on healthcare rose 21.1% for the year.
Larry Robbins of Glenview Capital
In the race to unlock optimum value from its holdings in divergent sectors, Glenview Capital Management also engages in shareholder activism and influences corporate decisions. It uses its stakes in companies to raise concerns or demand management to unlock shareholder value. It also engages in proxy contests and lawsuits to pressure management into making changes that would benefit shareholders.
Glenview Capital's 13F portfolio value increased to $4.56 billion in Q1 2023, from $4.51 billion in the previous quarter. The fund bought 15 stocks, increased its stakes in 21 stocks, exited 14 stocks, and trimmed its positions in 18 equities. Healthcare stocks were Robbins' preferred choice, accounting for 29.06% of the portfolio, while information technology stood second and represented 20.62% of his portfolio in the first quarter of 2023. Some of the fund's biggest holdings are Alphabet Inc. (NASDAQ:GOOG), Amazon.com, Inc. (NASDAQ:AMZN), and Uber Technologies, Inc. (NYSE:UBER). Considering these economic outlooks, we present our list of top 10 stocks in Larry Robbins' Glenview Capital portfolio.
Our Methodology
We selected the stocks in this article based on Glenview Capital's 13F filings for the first quarter of 2023. We ranked them by their weight in Glenview Capital's portfolio. To help the readers understand these stocks better, we also included the analyst estimates, financial reports, and performance of each company. We used Insider Monkey's Q1 2023 database of 943 elite hedge funds to measure the hedge fund sentiment for each stock.
10. Hca Healthcare Inc. (NYSE:HCA)
Number of Hedge Fund Holders:65
Percentage of Glenview Capital’s Portfolio:2.61%
Hca Healthcare Inc. (NYSE:HCA) is a provider of healthcare services in the United States operating through general and acute care hospitals that offer medical and surgical services. It offers inpatient care, intensive care cardiac care, laboratory services, radiology, and respiratory therapy, among other services.
The stock has been trending up over the past nine months and is up by more than 20% year to date. Hca Healthcare Inc. (NYSE:HCA)'s price target was increased to $325 from $305 by Mizuho analyst Ann Hynes on July 11, who maintained a ‘Buy’ rating on the stock.
According to the 13F filings for the first quarter of 2023, the Larry Robbins stock portfolio had 452,227 shares of Hca Healthcare Inc. (NYSE:HCA), worth $119.24 million and representing 2.61% of the total holdings.
According to the Insider Monkey database, 65 hedge funds held stakes in Hca Healthcare Inc. (NYSE:HCA), with a combined value of $2.79 billion in Q1 2023. The most notable shareholder in Hca Healthcare Inc. (NYSE:HCA) is Harris Associates, with 4.94 million shares worth $1.30 billion.
Hca Healthcare Inc. (NYSE:HCA) is among the stocks that Larry Robbins holds in his portfolio, along with Alphabet Inc. (NASDAQ:GOOG), Amazon.com, Inc. (NASDAQ:AMZN), and Uber Technologies, Inc. (NYSE:UBER).
Renaissance Investment Management commented on HCA Healthcare, Inc. (NYSE:HCA) in its fourth quarter 2022 investor letter:
“Lastly, HCA Healthcare, Inc. (NYSE:HCA) was another contributor. The company is seeing solid improvements in surgical volumes and overall healthcare usage. Meanwhile, labor expenses, which have weighed heavily on operating margins, appear to be reversing as extra headcount brought on to accommodate spikes in patient volumes due to COVID is finally subsiding.”
9. Alight Inc (NYSE:ALIT)
Number of Hedge Fund Holders:41
Percentage of Glenview Capital’s Portfolio:2.85%
Alight Inc (NYSE:ALIT) is a provider of cloud-based integrated digital human capital and business solutions. Its solutions enable employees to enrich their health, wealth, and well-being while allowing organizations to achieve high-performance culture. Based on 5 buy ratings, 0 hold ratings and 0 sell ratings, Alight Inc (NYSE:ALIT) has a consensus rating of 'Strong Buy.'
The stock has gained about 13% year to date, benefiting from stellar first-quarter results. Earnings came in at $0.13 a share, beating consensus estimates of $0.12 a share, as revenues increased to $831 million from $725 million delivered a year ago same quarter.
Based on the 13F filings for Q1 2023, Larry Robbins' stock portfolio included 14.14 million shares of Alight Inc (NYSE:ALIT), valued at $130.27 million, accounting for 2.85% of the overall holdings.
As of the end of the first quarter, there were 41 hedge funds in Insider Monkey’s database that held stakes in Alight Inc (NYSE:ALIT), compared to 40 funds in the previous quarter. Bob Peck and Andy Raab’s, FPR Partners with 33.08 million shares, is the biggest stakeholder in the company.
In its Q1 2023 investor letter, Polen Capital provided the following statement regarding Alight, Inc. (NYSE:ALIT):
“New additions to the portfolio included Alight, Inc. (NYSE:ALIT) and DocGo. Alight is a leading cloud-based provider of employee engagement tools and solutions for workplace benefits, payroll, administration, and wealth services. Alight was founded 25 years ago, and, in keeping with the flywheel, has a long history of consistently growing recurring revenue. Over the past several years, Alight has deployed capital towards several value-add acquisitions and towards developing a technology platform for what they call “business process as a service” or “BPaaS”. This has only furthered Alight’s unique positioning and opened up significant growth opportunities.To give a sense for their scale, they serve 15% of the US workforce and their solutions can be found in 50% of Fortune 500 companies. Alight’s human capital BPaaS solutions combine Software as a Service (“SaaS”) capabilities, artificial intelligence, automation, and data analytics to deliver superior outcomes for employees and employers across a comprehensive portfolio of services. We expect Alight to drive consistent growth on the back of upsell/cross-sell opportunities with existing clients, as well as from new customer wins, international expansion and M&A.”
8. US Foods Holding Corp (NYSE:USFD)
Number of Hedge Fund Holders:41
Percentage of Glenview Capital’s Portfolio:2.91%
US Foods Holding Corp (NYSE:USFD) markets and distributes fresh frozen, and dry food products across the United States. Its biggest clients are multi-unit restaurants and hospitals, nursing homes, hotels, and motels. The company has been making waves following the acquisition of renowned food service distributor Renzi Food Services. The acquisition is poised to open up new opportunities for expansions and growth in central upstate New York.
The stock is up by more than 28% year to date as it continues to trade in a strong uptrend. In Q1 2023, Glenview Capital reduced its stake in US Foods Holding Corp (NYSE:USFD) by 7%, holding 3.59 million shares worth approximately $132.68 million, representing 2.91% of the total 13F securities. Morgan Stanley raised its rating on US Foods from ‘Equal Weight’ to ‘Overweight’ and increased its price target from $46 to $54 on June 20.
At the end of the first quarter of 2023, 41 hedge funds in the database of Insider Monkey held stakes worth $1.73 billion in US Foods Holding Corp (NYSE:USFD), the same as in the previous quarter, worth $1.81 billion. Among these hedge funds, Scott Ferguson’s Sachem Head Capital is the company’s most notable stakeholder, with 18.93 million shares worth $699.4 million.
7. Valvoline Inc (NYSE:VVV)
Number of Hedge Fund Holders:31
Percentage of Glenview Capital’s Portfolio:2.91%
Valvoline Inc (NYSE:VVV) has carved a niche in offering automotive services through retail stores across the US and Canada. It offers cabin air filters, battery replacement, and tire rotation servos to various vehicles. While the stock has been extremely volatile in 2023, it is up by more than 10% for the year.
During Q1 2023, the hedge fund increased its investment in Valvoline Inc (NYSE:VVV) by 9%, retaining a total of 3.8 million shares valued at around $132.88 million, equivalent to 2.91% of all 13F securities. On June 23, Valvoline Inc (NYSE:VVV) received an ‘Overweight’ rating and a $43 price target from Stephens analyst Daniel Imbro.
In the first quarter of 2023, 31 hedge funds had stakes worth $915.9 million in Valvoline Inc (NYSE:VVV). In addition, Andreas Halvorsen’s Viking Global held 7.39 million shares of Valvoline Inc (NYSE:VVV) shares, valued at $258.5 million, making it the company’s most significant stakeholder.
Ave Maria made the following comment about Valvoline Inc. (NYSE:VVV) in its Q3 2022 investor letter:
“Following the divestiture of its Global Products business, Valvoline Inc. (NYSE:VVV) will be a pure play instant oil change business. The remaining business is highly cash generative and earns exceptional returns on invested capital, all while rapidly growing its same-store sales and unit count.”
6. McKesson Corp (NYSE:MCK)
Number of Hedge Fund Holders:60
Percentage of Glenview Capital’s Portfolio:4.99%
McKesson Corp (NYSE:MCK) is a provider of healthcare services in the United States and internationally. It operates under four segments: Pharmaceutical, Prescription Technology Solutions (Rates), Medical-Surgical Solutions, and International. While the company is best known for its tight margins, it has grown revenues for 10 consecutive years. It has also strengthened its footprint by distributing nearly a third of all pharmaceuticals in the US.
McKesson shares are up by more than 9% for the year as the company continues to increase its oncology and biopharma products and services to strengthen its revenue streams. Glenview Capital holds 639,937 shares in McKesson Corp (NYSE:MCK), which is worth over $227.85 million, representing 4.99% of its portfolio.
Hedge funds tracked by Insider Monkey having stakes in McKesson Corp (NYSE:MCK) increased to 60 in Q1, 2023 from 54 in the preceding quarter. These stakes hold a consolidated value of $3.92 billion. Andreas Halvorsen’s Viking Global is a significant shareholder in the company, with 3.21 million shares valued at $1.41 billion.
Mizuho analyst Ann Hynes maintained a ‘Neutral’ rating on McKesson Corp (NYSE:MCK) and increased the firm's price target from $390 to $427 on July 11.
Larry Robbins has McKesson Corp (NYSE:MCK) in his portfolio, along with Alphabet Inc. (NASDAQ:GOOG), Amazon.com, Inc. (NASDAQ:AMZN), and Uber Technologies, Inc. (NYSE:UBER).
In its first quarter 2023 investor letter, ClearBridge Investments made a comment about McKesson Corporation (NYSE:MCK):
“We also initiated a new position in McKesson Corporation (NYSE:MCK), the leading distributor of pharmaceuticals to retail drug stores, physicians’ offices and hospitals in the U.S. McKesson also has the largest specialty drug and oncology business in the U.S., which is the fastest-growing, highest-margin segment of drug distribution. A stable, cash-flow generative business, the company competes in a stable oligopoly with two other major distributors and, in addition to drug distribution, it is a significant provider of technology and transaction processing to drug stores, commercialization services to drug manufacturers, and basic supplies to physician offices. We expect at least low double-digit earnings growth from a combination of operating earnings, accretive acquisitions and share repurchases.”
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Disclosure: None. Larry Robbins Net Worth, Performance and Portfolio is originally published on Insider Monkey.