We break down the stocks Polen Capital bought, sold, and held in Q1 2024, including their holdings at the end of the quarter. All data sourced from Polen Capital's 13F filed on May 10, 2024.
Who is Polen Capital?
Polen Capital is a global investment management firm founded in 1979, specializing in high-conviction growth strategies across large-cap, small-cap, and emerging markets portfolios. Known for its disciplined approach and low turnover, Polen has established a strong track record of outperformance over multiple market cycles. The firm's investment philosophy centers on identifying businesses with sustainable competitive advantages, superior financial strength, and proven management teams that can deliver consistent, above-average earnings growth.
Polencapital.com
Wikipedia on Polen Capital
Portfolio Changes in Q1 2024
New positions
Polen Capital established four new positions during Q1 2024, with the largest being KB Financial (KB) at $4.2 million, followed by Copa Holdings (CPA) at $1.5 million, Freeport McMoRan (FCX) at $489,000, and NetEase (NTES) at $414,000.
Bought
Polen Capital made significant additions to several existing holdings, most notably executing a massive 8,826% increase in Paycom (PAYC) from 16,397 to 1.5 million shares, while also substantially increasing positions in Nike (NKE) by 3.6 million shares, Abbott (ABT) by 2.7 million shares, Zoetis (ZTS) by 2.0 million shares, Thermo Fisher (TMO) by 1.2 million shares, and Visa (V) by 1.1 million shares.
Sold
Polen Capital completely liquidated seven positions including Illumina (ILMN) worth $81 million, Autohome (ATHM), Taiwan Semiconductor (TSM), and several ETF holdings, while dramatically reducing stakes in PayPal (PYPL) by 99.7% and Floor & Decor (FND) by 92.7%, and moderately trimming positions in Adobe (ADBE) and ServiceNow (NOW).
New Investments in Q1 2024
| Ticker | Company | Weight | Change | Value |
|---|---|---|---|---|
| KB | KB Financial | 64.2% | NEW | $4.23M |
| CPA | Copa Holdings | 22.1% | NEW | $1.46M |
| FCX | Freeport McMoRan | 7.4% | NEW | $489.48K |
| NTES | NetEase | 6.3% | NEW | $413.88K |
KB Financial KB
Polen Capital bought $4.23M of KB Financial in Q1 2024. KB Financial Group KB reported strong Q1 2025 performance with net profit surging 62.9% YoY to KRW1.6973 trillion, driven by improved banking profits and non-interest income. The group's ROE jumped to 13.04%, reflecting enhanced capital efficiency, while maintaining a competitive CIR of 35.3%. Recent shareholder-friendly moves including a KRW3.53 trillion share buyback and dividend increases signal confidence in capital adequacy and value creation.
- Q1 2025 net profit increased 62.9% YoY to KRW1.6973 trillion.
- ROE improved 4.91 percentage points YoY to 13.04%, driven by record operating profit of KRW4.6 trillion.
- Announced KRW3.53 trillion share buyback and increased dividends, with CET1 ratio remaining robust at 13.65%.
Copa Holdings CPA
Polen Capital bought $1.46M of Copa Holdings in Q1 2024. Copa Holdings (CPA) reported solid Q1 2025 results with $176.8 million net profit (+2.2% YoY) and $899.2 million revenues that beat estimates, driven by an 8.7% increase in onboard passengers offset by a 9.1% yield decline. The company maintained strong operational efficiency with 86.4% load factor and 23.8% operating margin, while expanding capacity by 9.5% YoY. Recent fleet expansion with six Boeing 737 MAX-8 orders and a $1.61/share dividend approval position it for strategic growth.
- EPS of $4.28 beat estimates by 13.5% and grew 2.2% YoY.
- Operating margin of 23.8% remains industry-leading despite 0.4pp YoY contraction.
- $1.3 billion cash reserve (39% of LTM revenues) and 0.5x debt/EBITDA ratio provide financial flexibility.
Freeport McMoRan FCX
Polen Capital bought $489.48K of Freeport McMoRan in Q1 2024. Freeport-McMoRan delivered strong Q1 2025 results with $0.24 EPS beating estimates and $5.73B revenue exceeding expectations, driven by robust copper demand. Operational progress includes resumed Indonesian exports and advanced smelter construction, though gold shipment delays temporarily increased costs. The stock rose 5.2% post-earnings as investors rewarded its strategic positioning in global electrification trends.
- Q1 2025 copper sales met guidance at 850M pounds, while gold sales fell 100K ounces short due to shipment timing.
- Consolidated unit net cash costs rose 5% above guidance to $2.15/lb copper, primarily from deferred gold credits.
- New Indonesian smelter (mid-2025 start) and precious metals refinery ramp-up position the company for 11.4% revenue growth YoY.
NetEase NTES
Polen Capital bought $413.88K of NetEase in Q1 2024. NetEase reported strong Q1 2025 results with 7.4% YoY revenue growth to RMB28.8 billion ($4.0B), driven by a 12.1% surge in gaming revenues. While core gaming performance remains robust, other segments like Youdao and Cloud Music saw declines. The company demonstrated improved efficiency with 14.4% lower operating expenses and RMB10.3B net income ($1.4B).
- Gaming revenue grew 12.1% YoY to RMB24.0B ($3.3B) in Q1 2025.
- Declared quarterly dividend of $0.1350 per share following strong cash flow.
- Operating margin expanded to 35.8% from 31.8% YoY due to cost optimization.
Holdings at the end of Q1 2024
| Ticker | Company | Weight | Change | Value |
|---|---|---|---|---|
| AMZN | Amazon | 29.7% | Trimmed (-5%) | $6.21B |
| GOOG | Alphabet | 13.2% | Trimmed (-4%) | $2.75B |
| V | Visa | 11.2% | Added (+15%) | $2.34B |
| NOW | ServiceNow | 9.7% | Trimmed (-30%) | $2.03B |
| TMO | Thermo Fisher | 9.1% | Added (+60%) | $1.89B |
| ABT | Abbott | 8.8% | Added (+20%) | $1.83B |
| ADBE | Adobe | 6.8% | Trimmed (-32%) | $1.43B |
| ZTS | Zoetis | 5.7% | Added (+41%) | $1.19B |
| NKE | Nike | 4.3% | Added (+60%) | $890.14M |
| PAYC | Paycom | 1.4% | Added (+9172%) | $302.55M |
| Forum Energy Technologies | 0.1% | Trimmed (-5%) | $23.63M | |
| KB | KB Financial | 0.0% | NEW | $4.23M |
| PYPL | PayPal | 0.0% | Trimmed (-100%) | $3.31M |
| VONG | Russell 1000 Growth | 0.0% | $2.88M | |
| FND | Floor & Decor | 0.0% | Trimmed (-100%) | $2.03M |
| CPA | Copa Holdings | 0.0% | NEW | $1.46M |
| SKIL | Skillsoft | 0.0% | $703.71K | |
| FCX | Freeport McMoRan | 0.0% | NEW | $489.48K |
| NTES | NetEase | 0.0% | NEW | $413.88K |
| KARO | Karooooo | 0.0% | $231.81K | |
| ILMN | Illumina | 0.0% | Exited | $0 |
| ATHM | Autohome | 0.0% | Exited | $0 |
| TSM | Taiwan Semiconductor | 0.0% | Exited | $0 |
| VUG | Vanguard Growth | 0.0% | Exited | $0 |
| TPLC | Timothy Plan | 0.0% | Exited | $0 |
| TPIF | Timothy Plan International | 0.0% | Exited | $0 |
| SPY | S&P 500 | 0.0% | Exited | $0 |
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