Need to Know: Why hedge-fund manager Bill Ackman says he dumped Berkshire Hathaway but held on to these winners

Ackman said they bought more stock in life sciences and equipment group Agilent A, +1.16%. And they upped a stake of Restaurant Brands International QSR, -0.37% QSR, -0.37%, owner of Tim Hortons, Burger King and Popeye’s, by more than 50%. Pershing Square said as budget-conscious consumers trade down due to the pandemic, they’ll head to cheaper eateries like those.

Pershing is sticking to fast-food chain Chipotle CMG, +0.77% for its “fortress balance sheet” and zero debt. Their stake in home-improvement retailer Lowe’s LOW, +2.13% also rose by just over 50% and Pershing likes that as a longer-term beneficiary from the pandemic. Hilton HLT, +0.63% got some high praise, though investors will need to be patient, for its “resilient business model,” and the fact the company is working hard on technology, such as keyless rooms to bring back its clients.

Then there is Starbucks SBUX, +1.05%, where Pershing completely rebuilt a stake. The coffee giant has seen a huge COVID-19 hit, but will “weather the current storm and emerge even stronger.” Pershing also bought more real-estate development company Howard Hughes HHC, -2.27%, which will face some tough times due to the crisis. On the upside, people still value homeownership now, said Ackman.

The chart

This Goldman Sachs chart shows the recovering, but bumpy trajectory for China consumer activity — includes hotels, movie, theater, retail sales, airline seat miles — post pandemic, versus the U.S., where it is obviously deeply depressed. Is China the shape of things to come?

The tweet

Another man was shot dead amid protests and riots in Minnesota over the death of George Floyd at the hands of police.

Random reads

Americans may be unwittingly throwing away government stimulus checks.

Bird-watching man involved in Central Park altercation over a dog opens up.

Study says up to 80% of COVID-19 infections are asymptomatic.

Need to Know starts early and is updated until the opening bell, but sign up here to get it delivered once to your email box. Be sure to check the Need to Know item. The emailed version will be sent out at about 7:30 a.m. Eastern.

Follow MarketWatch on Twitter, Instagram, Facebook.