Thursday, 26 November 2015
Last updated 15 hours ago
Jun 18 2012 | 1:25pm ET
Appaloosa Management chief David Tepper’s recent airline purchases have taken off.
The distressed investing specialist invested in both US Airways Group (up 135.1% year to date) and Delta Airlines (up 27% YTD) in the first quarter.
Tepper added 7,419,026 US Airways shares in the first quarter at an average of $7.40, according to MSN Money, bringing his total holding of 10,657,243. The stock began rallying in late January, as the company announced it Q4 2011 earnings (a net profit of $21 million) and a possible takeover of the bankrupt American Airlines holding company, AMR.
As for Delta, Tepper bought 6,740,189 shares in Q1 2012 at an average price of $9.80 per share after selling off his stake in Q4 2011. MSN said Tepper took unusual steps to hedge fuel costs in Q2 by buying a refinery, which could save the company up to $300 million annually.
Delta Airlines also began rallying early in 2012, announcing GAAP fourth-quarter 2011 net income of $425 million (compared to $19 million in Q4 2010). Its net income for 2011 was $1.2 billion, excluding special items.
Oct 21 2015 | 10:41am ET
One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…