Market-beating investor Bill Miller placed a big bet on a software name in the second quarter, while the bitcoin bull also added a stake in crypto exchange Coinbase . Miller Value Partners built a $130 million stake in Splunk in the second quarter, making it one of the biggest holdings, according to a regulatory filing. The software company has underperformed in 2021 with a 16% loss as industry competition heats up, but some analysts believe Splunk could retake market share. UBS upgraded Splunk last week to buy from neutral, citing promising discussions with customers. This stock pick seems out of character for the big value investor. However, Miller has been betting big on growth and has made a fortune from being an early investor in Amazon and bitcoin. As the end of June, Miller owned $138 worth of Amazon common stock, and the investor is also a big holder of bullish call options of the e-commerce giant. The investor also bought $30 million worth of Coinbase shares in the second quarter. Miller has been a longtime bitcoin bull as he started buying the cryptocurrency around $200 to $300 apiece. Miller once managed the Legg Mason Capital Management Value Trust, which beat the S & P 500 for 15 straight years from 1991 to 2005. However, the fund suffered massive losses during the financial crisis, which dented Miller's track record and led to a huge client exodus. Now at Miller Value Partners, Miller co-manages the Miller Opportunity Trust (LMNOX) , which has about $2.6 billion in assets under management. The fund is up about 10% this year after a near 29% return in 2020. Its five-year and 10-year returns rank in the top percentile for its category, according to Morningstar.
Scott Mlyn | CNBC
Market-beating investor Bill Miller placed a big bet on a software name in the second quarter, while the bitcoin bull also added a stake in crypto exchange Coinbase.
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