AltaRock Partners is a highly concentrated investment firm founded by Mark Massey and Scott Bradford, both Harvard MBA graduates with distinguished investment backgrounds. Massey previously worked at Seth Klarman's Baupost Group, while Bradford gained experience at Fiduciary Management Associates. The firm maintains an extremely focused portfolio typically comprising fewer than ten holdings with a combined value of approximately $4.8 billion. AltaRock's investment philosophy centers on identifying exceptional businesses with durable competitive advantages and holding them for the long term.
New positions: AltaRock Partners initiated a new position in Hilton Worldwide Holdings Inc. (HLT), purchasing 91,328 shares valued at $22.6 million in Q4 2024.
Bought: The firm increased its stake in Alphabet Inc. (GOOGL) by adding 146,896 shares, bringing the total position to 3.48 million shares worth $658.9 million, representing a 19.17% return from the previous quarter.
Sold: AltaRock Partners reduced several holdings, including cutting Visa Inc. (V) by 243,471 shares, Amazon.com, Inc. (AMZN) by 124,000 shares, Moody's Corporation (MCO) by 115,714 shares, while nearly eliminating its Fair Isaac Corporation (FICO) position with a 98% reduction (from 34,652 to just 670 shares); smaller reductions were made in TransDigm Group Incorporated (TDG), Microsoft Corporation (MSFT), and Mastercard Incorporated (MA).
Website: www.altarockpartners.com
Holdings on December 31, 2024
| Ticker | Company | Weight | Change | Value | Q4 Return |
|---|---|---|---|---|---|
| TDG | TransDigm Group Incorporated | 25.7% | Trimmed | $1,268,045,437 | -15.24% |
| AMZN | Amazon.com, Inc. | 23.4% | Trimmed | $1,158,010,625 | +15.04% |
| MSFT | Microsoft Corporation | 16.1% | Trimmed | $797,326,682 | -4.23% |
| GOOGL | Alphabet Inc. | 13.3% | Added | $658,915,629 | +19.17% |
| MCO | Moody's Corporation | 9.1% | Trimmed | $450,129,900 | -11.08% |
| MA | Mastercard Incorporated | 6.2% | Trimmed | $308,703,769 | +0.83% |
| V | Visa Inc. | 5.6% | Trimmed | $276,507,188 | -10.08% |
| HLT | Hilton Worldwide Holdings Inc. | 0.5% | New | $22,572,628 | |
| CHTR | Charter Communications, Inc. | 0.0% | $2,065,189 | +5.77% | |
| FICO | Fair Isaac Corporation | 0.0% | Liquidated | $1,333,923 | -98.02% |
New Positions
Hilton Worldwide Holdings Inc. HLT
Mark Massey and Scott Bradford bought 91,328 shares of Hilton Worldwide Holdings Inc. in Q4 2024. Hilton Worldwide Holdings Inc. has demonstrated resilient financial performance over the last 12 months, with 2024 net income reaching $1,539 million and 2025 Q1 adjusted EBITDA of $795 million despite macroeconomic headwinds. The company achieved 2.5% year-over-year RevPAR growth in Q1 2025, supported by strong group demand and urban market recovery. Hilton maintains aggressive expansion with a 7% increase in development pipeline to 503,400 rooms and $3.3 billion in projected 2025 capital returns through share repurchases and dividends.
- Adjusted EPS grew 12.4% year-over-year in Q1 2025 ($1.72 vs $1.53).
- System-wide RevPAR increased 2.5% in Q1 2025, driven by 6%+ growth in group demand.
- $927 million returned to shareholders in Q1 2025, with full-year capital return projected at $3.3 billion.
