The Oregon Public Employees Retirement Fund sold a more than a third of its investment in GameStop stock in the third quarter.
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The Oregon Public Employees Retirement Fund recently made some significant changes in its domestic-equities portfolio.
Operf, as the pension is known, cut down its stake in videogame retailer GameStop (ticker: GME), and bought more shares of Covid-19 vaccine maker Moderna (MRNA), auto giant Ford Motor (F), and oil-and-gas explorer Devon Energy (DVN) in the third quarter. Operf disclosed the stock trades, among others, in a form it filed with the Securities and Exchange Commission.
Oregon State Treasury, which manages Operf, didn’t respond to a request for comment. As of Sept. 30, Operf’s total assets stood at $93.5 billion.
Oregon’s treasury sold 7,593 GameStop shares to end September with 11,449 shares. GameStop stock rose more than nine times in price in the first nine months of 2021, propelled by the so-called meme-stock phenomenon, which saw investors promote buying on social media and other platforms. For comparison, the S&P 500 index managed to rise 14.7% in the first nine months of the year. So far in the fourth quarter, however, GameStop stock has slipped 3.2% while the index has risen 5.5%.
GameStop stock sometimes seems to trade independently of quarterly results, and what company management says or doesn’t say. Recently, the SEC found no evidence of market manipulation in GameStop stock and other meme shares, but the agency’s report suggested trades should be settled more quickly.
Operf gained 26,991 more Moderna shares to end September with 139,137 shares. Moderna stock nearly quadrupled in price in the first nine months of 2021, and so far in the fourth quarter shares are about 15% lower.
A mix-and-match booster shot for Covid-19 is about to roll out. Moderna stock had fallen earlier this month after the Food and Drug Administration delayed a decision on the company’s Covid-19 vaccine for adolescents. The man who launched Moderna told Barron’s in a recent interview that he’s already exploring new platforms, including “gene writing.”
Ford stock saw gains earlier this year, surging 61% in the first nine months of the year, and so far in the fourth quarter shares have risen 15%.
We noted last week that at least one observer has seen a significant turnaround at the auto giant. Ford’s sales in China have been outperforming its U.S. sales, and the company has been building electric-vehicle plants to take on Tesla (TSLA).
Oregon’s treasury bought 188,057 more Ford shares in the third quarter to lift its investment to 3.3 million shares. It also bought 39,142 additional Devon shares to end September with 342,973 shares.
Devon stock has rallied with the energy sector this year, more than doubling in price in the first nine months of the year. So far in the fourth quarter, shares have gained 14%.
Devon and its peers continue to offer rich dividend yields, while yields in other sectors are less robust. A recent screen we did showed that Devon stock could see major cash-flow growth. Analysts have been raising price targets.
Inside Scoop is a regular Barron’s feature covering stock transactions by corporate executives and board members—so-called insiders—as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups.
Write to Ed Lin at [email protected] and follow @BarronsEdLin.
