One Stock Superinvestors Are Dumping: Is It Time to Sell?

As part of the weekly research here at The Acquirer’s Multiple we’re always interested in superinvestors who hold the same stocks that appear in our Acquirer’s Multiple Stock Screeners, based on their latest 13F’s. Investors such as Warren Buffett, Joel Greenblatt, Carl Icahn, Prem Watsa, Jeremy Grantham, Seth Klarman, Ray Dalio, and Howard Marks.

While doing this research we’ve also uncovered a number of stocks that superinvestors have sold, or reduced in their portfolios, according to their latest 13F’s. So we’re now providing a new weekly feature article called ‘One Stock Superinvestors Are Selling’. This week we’ll take a look at:

Oracle Corp (ORCL)

Oracle is a leading provider of enterprise software and cloud solutions, specializing in database management systems, enterprise resource planning (ERP), and customer relationship management (CRM) software. The company has aggressively expanded into cloud infrastructure (Oracle Cloud Infrastructure, or OCI) to compete with rivals like Amazon Web Services (AWS) and Microsoft Azure. Oracle’s business model relies heavily on recurring revenue from software licenses, cloud subscriptions, and support services, serving large corporations and government entities worldwide.

A quick look at the price chart below for the company shows us that the stock is up 11.10% in the past twelve months.

Source: Google Finance

Superinvestors who reduced, or sold out of the company’s stock, according to their latest 13Fs, include:

(Remaining shares)

Jean-Marie Eveillard – 12,276,950

David Tepper – 1,400,000

Wally Weitz – 207,575

Ken Griffin – 175,223

Donald Yacktman – 172,652

Joel Greenblatt – 85,096

John Rogers – 41,763