Jeffrey Smith, also known as the most feared man in corporate America, is a legendary investor and activist hedge fund manager who manages Starboard Value. The fund has $6.3 billion in assets under management with a portfolio that has a market value of over $3.43 billion, as of the end of the second quarter. Jeff Smith is famous for taking over companies’ boards and turning them around. In this article, we will take a look at the top technology holdings of Starboard Value.
Altaba Inc (NASDAQ:AABA)
Starboard Value owns over 12.298 million shares of Altaba Inc (NASDAQ:AABA), as of the end of the second quarter. The total worth of these shares is about $670.03 million. Altaba is an investment company that was formed after the buyout of Yahoo by Verizon. Altaba owns 15% stake in Alibaba, and analysts think this stake makes Altaba a tempting stock to buy. Altaba also owns stakes in Yahoo Japan, Excalibur and Hortonworks. Altaba shares are up more than 80% year-to-date. The stock gives exposure to a lot of solid companies. Altaba’s biggest strength is its diversified portfolio.
Marvell Technology Group Ltd.(NASDAQ:MRVL)
Jeff Smith owns 33.72 million shares of Marvell Technology Group Ltd. (NASDAQ:MRVL). The Value of these shares is approximately $557.067 million. In August, Marvell Technology stock soared after the company posted excellent second quarter results. Marvell manufactures fabless semiconductor devices and controllers. The company is operating in an industry which is poised to grow. According to an estimate, RAID (redundant array of inexpensive disks) market will grow by 6% through 2020 amid a rising demand of enterprise storage device. Marvell’s biggest growth catalyst is its SSD business, which is getting a boost as people around the world are starting to install SSDs in their computers instead of mechanical hard drives.
Hewlett Packard Enterprise Co (NYSE:HPE)
Jeffrey Smith bought 6.69 million new shares of Hewlett Packard Enterprise Co (NYSE:HPE) in the second quarter, which shows that the activist investor is bullish on the company. The total value of Starboard’s position in the company is now $174.18 million. Earlier this month, Hewlett Packard Enterprise announced a $2 billion stock buyback for its new fiscal year. The decision came after pressure from activist investors to use the major stockpile of cash HPE is sitting on. HPE recently gave its fiscal 2018 guidance, which fell short of analysts’ expectations. Hewlett Packard is currently undergoing a major reorganization. The company is focusing on cost-cutting, due to which it’s planning to layoff thousands of jobs.
Fortinet Inc (NASDAQ:FTNT)
Starboard Value acquired additional 297,186 shares of Fortinet Inc (NASDAQ:FTNT) in the second quarter, moving into the third quarter with a total of 4.47 million shares of the company. Fortinet is a California-based cybersecurity company. The cybersecurity market has enormous growth potential amid major cyber-attacks and data breaches around the world. Fortinet recently reported better-than-expected third quarter results.