By: Manisha Sethi Jul. 02, 2018

On May 15, 2018, Boardman Bay Capital Management LLC reported SEC 13F filings for the first quarter of 2018. Per its Boardman Bay’s report, the value of its portfolio is $117.87 million, which indicates a 67% increase over its value in the previous quarter. The top 10 holdings constitute 43.2% of the portfolio value. The firm holds 60,000 shares of PowerShares QQQ Trust - Unit Series 1--its single largest holding. Technology stocks account for 88.42% of the firm’s  investments, while the rest is distributed across industrials, consumer cyclicals, financials, and telecommunications sectors. Located in New York, Boardman Bay Capital Management is a private firm founded in 2012 by William Graves. The firm manages both domestic and offshore funds through a master feeder structure, focusing on global technology, media, and telecom (TMT) sectors.

Raltin analyzed the new purchases of Boardman Bay Capital Management from Q1 2014 to Q1 2018 and calculated their annual internal rate of return. Of the investor’s 199 new purchases, 111 stocks have outperformed the S&P 500, while 88 have underperformed the S&P 500. 62 or 31.16 % of its new buys have outperformed index by more than 20%, whereas 41 new stocks have underperformed by more than 20%. A detailed description of Raltin’s methodology is given here. The table below shows the number of new purchases and their performance as against S&P 500.

S&P outperformance categoryNumber of new stock purchasesTotal new purchases (%)
>20%6231.16
10-20%3015.08
0-10%199.55
-10-0%2814.07
-20 to -10%199.55
<-20%4120.6
Total Stocks199

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Boardman Bay Capital Management bought 27 new stocks in the recent quarter. Alphabet Inc. Class A (GOOGL) from the communications sector and Qualcomm Inc. (QCOM) from the information technology sector  constitute 4.11% and 2.95% of the company’s portfolio. The table below lists the top 20 new buys of the investor along with the number of shares and their holding value.

StocksNumber of sharesHolding value ($1,000)
Alphabet Inc. Class A (GOOGL)4,6694,842
Qualcomm Inc. (QCOM)62,7503,477
Microsoft Corp. (MSFT)33,2163,032
Ultra Clean Holdings, Inc. (UCTT)137,1002,639
Nutanix, Inc. (NTNX)49,5242,432
II-VI Inc. (IIVI)48,2642,023
Lam Research Corp. (LRCX)9,8452,000
Inphi Corp (IPHI)61,6821,890
AT&T Inc. (T)51,7261,844
Yandex NV (YNDX)37,4181,476
Synnex Corp (SNX)10,0001,184
CyrusOne Inc. (CONE)19,500999
Gray Television Inc. (GTN)74,599947
NeoPhotonics Corp (NPTN)124,911904
Talend SA ADR (TLND)17,842859
Viavi Solutions Inc. (VIAV)86,300839
Hortonworks Inc. (HDP)39,535805
Salesforce.com Inc. (CRM)5,000582
Yext Inc. (YEXT)40,000506
Box Inc Class A (BOX)22,500462

The following table shows the portfolio value of the fund for 5 quarters starting from Q1 2017 to Q1 2016, along with the top holdings in each quarter that outperformed the S&P 500. It is clear that almost all top holdings outperformed the S&P 500 be more than 50%.

PeriodTotal portfolio value ($Mn)Top holdings (ticker, % of IRR difference from S&P 500)
Q1 2017118.14Enphase Energy, Inc. (ENPH, 223.02), Square, Inc. (SQ, 173.88), Etsy, Inc. (ETSY, 153.01)
Q4 201645.57LendingTree, Inc. (TREE, 217.59), Shopify Inc. (SHOP, 116.71), Take-Two Interactive Software, Inc. (TTWO, 103.77)
Q3 201655.48Universal Display Corp. (OLED, 116.46), Tower Semiconductor Ltd. (TSEM, 86.77), Advanced Micro Devices, Inc. (AMD, 68.63)
Q2 201659.62Take-Two Interactive Software, Inc. (TTWO, 78.08), Applied Materials, Inc. (AMAT, 56.91), Tesla Motors, Inc. (TSLA, 54.92)
Q1 2016109.9Micron Technology, Inc. (MU, 161.32), Quad/Graphics, Inc. (QUAD, 80.35), RingCentral, Inc. (RNG, 64.98)