Pershing Square Tontine Holdings differs from other blank check companies in its payout structure. Each unit consists of one share of common stock, one-ninth of a redeemable warrant that is exercisable at $23 and two-ninths of a warrant that is exercisable at $23, provided it is not redeemed in connection with a proposed business combination.

The unique payout structure is intended to encourage investors to seek long-term profits and stay invested throughout the process of acquisition or combination according to CNBC.

Micron Technology

Klarman established a new holding in Micron Technology for the first time since 2016. He purchased 5.22 million shares, which traded for an average price of $48.39 during the quarter. The purchase had an overall impact of 2.66% on the portfolio and GuruFocus estimates the total gain of the holding at 87.73% over its lifetime. Micron historically focused on providing dynamic random-access memory (DRAM) for PCs and servers. The company then expanded into the NAND flash memory market. It increased its DRAM scale with the purchase of Elpida in mid-2013 and Inotera in December 2016.

As of Nov. 16, the stock was trading at $61.09 with a market cap of $68.01 billion. According to the GF Value Line, the stock is trading at a modestly overvalued level.

GuruFocus gives the company a financial strength rating of 7 out of 10, a profitability rank of 9 out of 10 and a valuation rank of 3 out of 10. There is one severe warning sign issued for assets growing faster than revenue. The return on invested capital is outweighed by the weighted average cost of capital, yet the company maintains an Altman Z-Score of 4.35, implying a strong financial position.

Applied Materials

Klarman's portfolio also saw another first-time addition with Applied Materials. The guru purchased 2.30 million shares, which traded for an average price of $61.75 during the quarter. Overall, the purchase had a 1.49% impact on the portfolio and GuruFocus estimates that Klarman has already gained 19.37% on the holding.

Applied Materials is one of the world's largest suppliers of semiconductor manufacturing equipment, providing materials and engineering solutions to help make nearly every chip in the world. The company's systems are used in nearly every major process step with the exception of lithography. Key tools include those for chemical and physical vapor deposition, etching, chemical mechanical polishing, wafer- and reticle-inspection, critical dimension measurement and defect-inspection scanning electron microscopes.

Nov. 16 saw the stock trading at $73.76 with a market cap of $67.35 billion. The GF Value Line shows that the stock is trading at a modestly overvalued level.

GuruFocus gives the stock a financial strength rating of 7 out of 10, a profitability rank of 9 out of 10 and a valuation rank of 3 out of 10. The strong profitability rank comes in part due to high levels of cash flow that more than support dividend payouts.

Healthpeak Properties

The guru added a new holding in Healthpeak Properties with the purchase of 4 million shares during the third quarter. The shares traded at an average price of $27.43 during the quarter. The purchase had an impact of 1.18% on Klarman's portfolio and GuruFocus estimates the total gain of the holding at 10.75% since it was added.

Healthpeak is a fully-integrated real estate investment trust that invests in assets serving the health care industry. It owns a diversified portfolio of over 650 in-place properties spread across senior housing, medical office, life science, hospital and skilled nursing/post-acute care.

On Nov. 16, the stock was trading at $30.40 with a market cap of $16.34 billion. The GF Value Line suggests that the company is trading at fair value.

GuruFocus gives the company a financial strength rating of 3 out of 10, a profitability rank of 6 out of 10 and a valuation rank of 5 out of 10. There are currently six severe warning signs, including declining gross margin percentage and an Altman Z-Score of 1.21 placing the company in the distress column with bankruptcy a possibility in the next two years. A cash-to-debt ratio of 0.03 ranks the company lower than 72.87% of the industry and reflects the severe warning sign for extremely low interest coverage.

Liberty SiriusXM Group

Klarman also jumped back into Liberty SiriusXM after selling out of the holding in the second quarter. He purchased 2.92 million shares, which traded at an average price of $35.04 during the quarter. Overall, the purchase had an impact of 1.05% on the portfolio and GuruFocus estimates the total gain of the holding at 11.39%.

Liberty SiriusXM Group through its subsidiary holding is engaged in providing a subscription-based satellite radio service. It transmits music, sports, entertainment, comedy, talk, news, traffic and weather channels, as well as infotainment services. The company distributes its satellite radio through automakers and rental car companies, as well as through its retail locations and website.

On Nov. 16, the stock was trading at $42.39 with a market cap of $16.20 billion. The GF Value Line shows that the stock is trading at a modestly undervalued level.

GuruFocus gives the company a financial strength rating of 3 out of 10 and a profitability rank of 7 out of 10. There are currently three severe warning signs issued for poor financial strength, increasing long-term debt and an Altman Z-Score of 0.83 placing the company in the distress column. Despite high levels of debt, the company has managed to slightly increase cash flows year over year.

Disclosure: Author owns no stocks mentioned.

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This article first appeared on GuruFocus.