market folly

Chase Coleman's hedge fund firm Tiger Global has filed a 13G with the SEC regarding its position in TransDigm Group (TDG).  Per the filing, Tiger Global now owns 7.7% of TDG with 4 million shares.

This is a noticeable increase from the 2.45 million shares the hedge fund owned at the end of the first quarter.  The filing was made due to activity on May 18th.

While this second quarter activity is notable, it's also worth pointing out that Tiger Global boosted its TDG position back in the first quarter by 492% as they previously owned a small position.  Simply put, they've been acquiring a lot of TDG shares over the past five months. 

TDG shares were hit in Q1 by a short seller report questioning the company's pricing practices.  As detailed in the brand new issue of our Hedge Fund Wisdom newsletter, numerous hedge funds bought TDG shares in Q1.

Per Google Finance, TransDigm Group is "a designer, producer and supplier of engineered aircraft components for use on commercial and military aircraft in service. The Company operates through three segments: Power & Control, Airframe and Non-aviation. The Power & Control segment includes operations that primarily develop, produce and market systems and components that provide power to or control power of the aircraft utilizing electronic, fluid, power and mechanical motion control technologies. The Airframe segment includes operations that primarily develop and market systems and components that are used in non-power airframe applications utilizing airframe and cabin structure technologies. The Non-aviation segment includes operations that primarily develop, produce and market products for non-aviation markets. Its product offerings include mechanical/electro-mechanical actuators and controls, engineered latching and locking devices, and seat belts and safety restraints."

To view the rest of Tiger Global's portfolio, check out the just released issue of our premium newsletter.