Third Point lists Meta, Amazon among Q1 winners, starts position in Advance Auto

In its Q1 investor letter, a copy of which was obtained by The Fly, Third Point stated: “During the First Quarter, Third Point returned 7.8% in the flagship Offshore Fund. The top five winners for the quarter were Meta Platforms (META), Vistra (VST), Amazon.com (AMZN), Bath & Body Works (BBWI) and Microsoft (MSFT). The top five losers for the quarter, excluding hedges, were Pacific Gas & Electric (PCG), DuPont de Nemours (DD), Humana (HUM), Marvell Technology (MRVL) and a Short Position… During the quarter, we added to our TSMC (TSM) investment, which we initiated in May of last year. TSMC is coming off its worst year since the Global Financial Crisis, and in the years to come we see a combination of cyclical recovery plus structural growth in AI demand fueling substantial earnings growth for the company… We initiated a position in Advance Auto Parts (AAP) in Q4 2023 at an attractive entry point, after the third consecutive guidance cut of the year overshadowed new CEO Shane O’Kelly’s strategic plans to course correct the business… While Advance has significantly underperformed peers across key KPIs over the past several years, our work suggests that many of these shortcomings aren’t structural.”