Stanley Druckenmiller, the former money manager for George Soros, has one of the best track records in Wall Street. He has rarely had a negative year and has become a billionaire with a net worth of over $6.9 billion, according to Forbes and $9.9 billion, according to Bloomberg.
At Duquesne Capital, he averaged annual returns of over 30% until he closed it in 2010 and returned funds to clients. Today, he still runs Duquesne but as a family office.
Data by Whale Wisdom places his total assets in the fund at about $3 billion. So, here are some of the best stocks owned by Druckenmiller.
Kinder Morgan | KMI
Kinder Morgan is one of the biggest players in the energy industry in the United States, but unlike ExxonMobil, Chevron, and Marathon, it is not a household name.
That’s because the company operates as a Master Limited Partnership (MLP), where it gathers, transports, and processes crude oil and natural gas. It owns over 79,000 miles of pipelines and 139 terminals.
Kinder Morgan stock has jumped by over 26% in the last 12 months, giving it a market cap of over $46 billion. It has moved to an all-time high even as the price of crude oil and natural gas has dropped.
This performance is because, as a transporter, the company makes money in transport contracts. This also explains why other MLP companies like Enterprise Product Partners and Williams have done well this year.
The most recent financial results showed that Kinder Morgan’s revenue rose to over $3.57 billion in the second quarter from $3.46 billion a year earlier while its net profit fell slightly to over $575 million. Stan Druckenmiller owns 6.75 million Kinder Morgan shares worth over $134 million.
Teck Resources | TECK
Stan Druckenmiller owns over 1.45 million shares in Teck Resources, one of the biggest mining companies in Canada.
Teck is a top copper producer, and most recently, it sold its coal business to Glencore, one of the biggest mining firms globally.
Teck is a highly-beloved mining company whose stock has risen by 140% in the last five years, giving it a market cap of over $22 billion.
It is seen as a good investment for two main reasons. First, it owns vast copper resources, which will become highly valuable as demand continues rising. Most analysts believe that copper will remain in a supply deficit over time as countries change their energy mix.
Second, Teck Resources is often seen as a good acquisition target, especially if the family that controls it are open to a sale. Glencore attempted to buy it in 2023 and failed and there are rumours that Rio Tinto will place a bid.
Philip Morris | PM
Druckenmiller owns 889k shares in Philip Morris International worth over $90 million. Philip Morris and other tobacco companies like Altria and British American Tobacco have done well this year, with most of them outperforming the broader market.
Philip Morris shares have jumped by over 34% in the last 12 months and by 34.75% this year alone. It has a dividend yield of about 4%.
This growth is mostly because of its strong dividend of about 4% and the fact that it has been undervalued for a while. The company has a forward P/E ratio of 19, lower than the S&P 500 index average 21.
Philip Morris’ business has been doing well, with the most recent results showing that its revenue rose to over $9.46 billion in the second quarter from $8.9 billion a year earlier. Its quarterly profit also jumped to over $2.4 billion.
Coherent Corp | COHR
Coherent Corp, a company worth over $10 billion, is another big part of Druckenmiller’s portfolio. He owns over 3.59 million shares worth over $260 million, a trade that has been highly profitable since the stock has jumped by over 115% in the last 12 months.
Coherent is up by 62% this year because it is seen as a top artificial intelligence company. It manufactures communication components like pump lasers, photodetectors, integrated circuits, and optical materials.
Coherent’s revenue rose from $1.2 billion in the second quarter of 2023 to over $1.3 billion last quarter. It also narrowed its net loss to $47 million from $178 million.
Seagate Technology | STX
Seagate Technology is another company in the Duquesne Family Office portfolio. It is a leading American company that manufactures data storage solutions that are found in most computers.
Seagate, like Coherent, is seen as a good artificial intelligence play, which explains why the stock has jumped by about 60% in the last 12 months and 85% in the past five years. This rally has brought its market cap to over $20 billion. Seagate Technologies is a relatively cheap company with a price-to-earnings ratio of 15.
The other top names in Stanley Druckenmiller’s portfolio are Microsoft, Woodward, Zoominfo, Flutter Entertainment, and Mercadolibre.
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