Bill Ackman’s Portfolio

Bill Ackman - Perishing Square Capital Management Portfolio

Bill Ackman - Perishing Square Capital Management Q4 2024 Portfolio

Perishing Square Capital Management, a hedge fund managed by Bill Ackman, disclosed 10 security holdings in their SEC 13F filing for the fourth quarter of 2024, with a total portfolio value of $12,614,562,000

As of Q4 2024, Bill Ackman’s Pershing Square Capital Management portfolio showcases strategic reallocations across its major holdings. Below is a detailed overview of the top 10 positions and the latest moves since the previous quarter.

1. BABA – Alibaba Group Holdings: 15.54%

2. AMZN – Amazon.com Inc.: 8.82%

3. PDD – Pinduoduo Inc.: 8.04%

4. MSFT – Microsoft Corp.: 6.33%

5. VST – Vistra Corp.: 5.76%

6. JD – JD.com Inc.: 5.61%

7. GOOG – Alphabet Inc. CL C: 5.54%

8. META – Meta Platforms Inc.: 4.44%

9. ORCL – Oracle Corp.: 3.61%

10. FXI – iShares China Large Cap ETF: 3.13%

1. BN – Brookfield Corp.

Portfolio Allocation: 15.89%
Recent Activity: Added 6.59%
Shares Held: 34,893,064
Reported Price: $57.45 per share
Value at Reported Price: $2,004,607,000

Brookfield Corp. remains Ackman’s largest holding, with a 6.59% increase in shares this quarter. As a global asset manager spanning real estate, infrastructure, renewable energy, and private equity, Brookfield provides diversified exposure to multiple sectors. Ackman’s additional investment indicates strong conviction in the company’s growth trajectory and steady cash flow generation.

2. QSR – Restaurant Brands International

Portfolio Allocation: 11.88%
Recent Activity: No change reported
Shares Held: 23,000,914
Reported Price: $65.18 per share
Value at Reported Price: $1,499,200,000

Restaurant Brands International (owner of Burger King, Tim Hortons, and Popeyes) remains a significant part of the portfolio, reflecting Ackman’s ongoing belief in the global fast-food market. While there was no change in shares, QSR’s brand portfolio and international footprint continue to offer stable returns and growth potential.

3. CMG – Chipotle Mexican Grill Inc.

Portfolio Allocation: 11.78%
Recent Activity: Reduced 14.44%
Shares Held: 24,653,533
Reported Price: $60.30 per share
Value at Reported Price: $1,486,608,000

Chipotle saw a notable reduction this quarter, possibly indicating profit-taking after strong performance. Nonetheless, the fast-casual leader remains a core holding, backed by its emphasis on quality ingredients, robust digital platform, and ongoing restaurant expansion.

4. HHH – Howard Hughes Holdings Inc.

Portfolio Allocation: 11.50%
Recent Activity: No change reported
Shares Held: 18,852,064
Reported Price: $76.92 per share
Value at Reported Price: $1,450,101,000

Howard Hughes Holdings, focused on master-planned communities and commercial real estate, holds steady in the portfolio. Ackman’s sustained position underscores his confidence in the company’s long-term value creation, particularly in high-demand real estate markets.

5. GOOG – Alphabet Inc. CL C

Portfolio Allocation: 11.39%
Recent Activity: No change reported
Shares Held: 7,547,582
Reported Price: $190.44 per share
Value at Reported Price: $1,437,362,000

Alphabet’s Class C shares remain a cornerstone of Ackman’s tech exposure. Google’s dominance in online advertising, cloud computing, and AI-driven innovation aligns with Ackman’s preference for companies boasting strong competitive advantages and substantial growth opportunities.

6. NKE – NIKE Inc.

Portfolio Allocation: 11.26%
Recent Activity: Added 15.29%
Shares Held: 18,768,946
Reported Price: $75.67 per share
Value at Reported Price: $1,420,246,000

NIKE’s position increased significantly, reflecting Ackman’s heightened confidence in the sportswear giant’s global brand power. With a focus on product innovation, e-commerce expansion, and robust consumer engagement, NIKE remains a leading name in the athletic apparel sector.

7. HLT – Hilton Worldwide Holdings

Portfolio Allocation: 10.66%
Recent Activity: Reduced 26.18%
Shares Held: 5,440,546
Reported Price: $247.16 per share
Value at Reported Price: $1,344,685,000

Hilton, a long-standing holding, experienced a substantial cut this quarter—possibly reflecting profit-taking after the hospitality industry’s rebound. Still, Ackman’s remaining stake indicates continued belief in Hilton’s global brand recognition and potential for sustained travel demand.

8. CP – Canadian Pacific Kansas City

Portfolio Allocation: 8.54%
Recent Activity: No change reported
Shares Held: 14,877,651
Reported Price: $72.37 per share
Value at Reported Price: $1,076,696,000

Canadian Pacific Kansas City remains Ackman’s primary transportation bet, offering exposure to critical freight routes across North America. The unchanged position signals steady confidence in the railroad operator’s role in facilitating trade and infrastructure development.

9. GOOGL – Alphabet Inc.

Portfolio Allocation: 5.98%
Recent Activity: No change reported
Shares Held: 3,986,488
Reported Price: $189.30 per share
Value at Reported Price: $754,642,000

Ackman also holds Alphabet’s Class A shares, reinforcing his high-conviction stance on the tech giant. The dual-share class investment highlights a broad endorsement of Alphabet’s leadership in digital services and emerging technologies.

10. SEG – Seaport Entertainment Group

Portfolio Allocation: 1.11%
Recent Activity: Added 139.84%
Shares Held: 5,023,780
Reported Price: $27.95 per share
Value at Reported Price: $140,415,000

Seaport Entertainment Group saw a significant increase this quarter, suggesting Ackman sees upside in leisure and entertainment offerings. Though a smaller stake relative to others, this addition signals a willingness to explore consumer discretionary opportunities with growth potential.

Analysis of Bill Ackman’s Q4 2024 Portfolio Strategy

1. Increased Focus on Brookfield and NIKE
Brookfield remains the top holding after further additions, underscoring Ackman’s confidence in diversified real assets. A notable boost in NIKE’s shares signals a robust bet on brand strength and global consumer demand for athletic wear.

2. Strategic Reductions in Hospitality and Fast-Casual
Ackman trimmed both Hilton and Chipotle, possibly capturing gains amid a recovering hospitality sector and a strong run-up in fast-casual dining. Despite the cuts, both remain substantial portfolio components.

3. Maintaining Core Tech Positions
Dual stakes in Alphabet (Class C and Class A) illustrate a continued commitment to high-growth technology. With no changes this quarter, Ackman reaffirms his belief in Alphabet’s market dominance and innovation pipeline.

4. Steady Real Estate and Transportation Exposure
Howard Hughes Holdings and Canadian Pacific Kansas City remain integral to the portfolio, offering diversification across real estate development and essential freight services—sectors poised to benefit from economic expansion.

5. Selective Moves in Entertainment
The sizable increase in Seaport Entertainment Group highlights a willingness to invest in leisure-driven segments. This position complements Ackman’s existing consumer-focused holdings while expanding into new avenues of growth.

Conclusion

Bill Ackman’s Q4 2024 portfolio reflects a balanced approach, blending core positions in diversified assets (Brookfield), brand-driven consumer goods (NIKE), and hospitality/fast-casual names (Hilton, Chipotle) with steady tech exposure (Alphabet). Selective reductions in some high-fliers and increased stakes in Brookfield, NIKE, and Seaport Entertainment Group indicate active capital reallocation aimed at both securing gains and tapping into emerging growth stories. Overall, Ackman’s strategy continues to emphasize iconic brands, essential services, and diversified real assets that can withstand market volatility and capitalize on global economic trends.

Disclaimer:
This analysis is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investing involves risks, including the potential loss of principal. Past performance is not indicative of future results. Investors should conduct their own research or consult a qualified financial advisor before making investment decisions.

Who is Bill Ackman ?

May 11, 1966:

· William Albert Ackman was born in Chappaqua, New York.

1988:

· Ackman graduates from Harvard University with a degree in economics.

1989:

· Ackman joins Goldman Sachs as an investment banker.

1992:

· Ackman leaves Goldman Sachs to start his own hedge fund, Gotham Partners, with $3 million in capital.

2002:

· Gotham Partners loses 40% of its value due to a bad bet on the telecom industry.

2003:

· Ackman launches Pershing Square Capital Management, a hedge fund management company based in New York City.

2007:

· Ackman becomes widely known for his high-profile battle with the management of Target Corporation. He acquires a stake in the company and pushes for changes to maximize shareholder value.

2008:

· During the financial crisis, Ackman bets against the bond insurers MBIA and Ambac, predicting their downfall. This bet ultimately proves successful, earning Ackman’s fund billions of dollars in profits.

2011:

· Ackman takes a significant stake in J.C. Penney and becomes its largest shareholder. He attempts to implement major changes in the company’s strategy and leadership, but his efforts fail, resulting in substantial losses for his fund.

2014:

· Ackman becomes involved in a highly publicized short-selling campaign against Herbalife, a multi-level marketing company. He accuses Herbalife of being a pyramid scheme and places a billion-dollar bet against the company’s stock.

2017:

· Ackman exits his short position on Herbalife, admitting that the campaign was not as successful as he initially anticipated. The bet resulted in significant losses for his fund.

2020:

· Ackman gains attention for his early warning about the severity of the COVID-19 pandemic. In a series of interviews, he expresses his concerns about the virus and calls for a nationwide shutdown.

2020:

· Pershing Square Capital Management launches a special purpose acquisition company (SPAC) called Pershing Square Tontine Holdings (PSTH). The SPAC raises $4 billion, making it the largest-ever IPO of a SPAC at the time.

2021:

· PSTH fails to complete a merger deal within its two-year deadline, resulting in the dissolution of the SPAC. Ackman announces plans to launch a new SPAC in the future.

2022:

· Ackman advocates for Universal Music Group (UMG), a division of Vivendi, to go public. Pershing Square Tontine Holdings II (PSTH II), Ackman’s new SPAC, agrees to merge with UMG, valuing the music label at around $40 billion.

2023:

· The merger between PSTH II and Universal Music Group is completed, and UMG starts trading on the Amsterdam Euronext stock exchange.

Interesting facts

Ackman is known for his activist investing approach, often taking significant stakes in companies and pushing for changes to increase shareholder value.

He has been involved in several high-profile battles with company management and has made large bets on both long and short positions.

Ackman is a prominent philanthropist. In 2016, he signed the Giving Pledge, committing to donate the majority of his wealth to charitable causes.

He is a well-known advocate for education reform and has supported various organizations focused on improving public schools.

Ackman has a background in real estate and initially worked at his father’s company before venturing into the world of finance.

Bill Ackman's Investing Principles

I’m not emotional about investments. Investing is something where you have to be purely rational and not let emotion affect your decision making – just the facts.

Bill Ackman

Investing is a business where you can look very silly for a long period of time before you are proven right.

Bill Ackman

Short-term market and economic prognostication is largely a fool’s errand, we invest according to a strategy that makes the need to rely on short-term market or economic assessments largely irrelevant.

Bill Ackman

I think most investors overdiversify because they’re lazy. They haven’t done enough research into any of their companies. If they’ve got 200 positions, do you think they know what’s going on at any one of those companies at this moment?

Bill Ackman

What the market tells you in the short term is what a certain subset of people believe. That doesn’t mean they’re right.

Bill Ackman

We invest generally in very good companies that have lost their way. And with better management, enormous value can be created.

Bill Ackman

In the investing business you need a high degree of confidence but you also need a high degree of humbleness and you have to balance those two… Humbleness comes from mistakes.

Bill Ackman

If you can’t predict the cash flows, you don’t know what it’s worth. If you don’t know what it’s worth, you can’t invest.

Bill Ackman

If you’re investing for the long-term, you want to invest in businesses that have very little debt.

Bill Ackman

We expect to continue to concentrate the substantial majority of our capital in about 8 to 12 investments, and estimate that our typical holding period will be long-term, typically four or more years.

Bill Ackman

It’s safest to invest in businesses that aren’t controlled. Unless the controlling shareholder is someone that we trust, unless it’s someone that has a great track record for taking care of all the minority investors, it can be a risky proposition to invest in because you’re at the whim of the controlling shareholder.

Bill Ackman