Third Avenue Management

Third Avenue Management

Last Update: 05-12-2016
Related: Martin Whitman

Number of Stocks: 114
Number of New Stocks: 12

Total Value: $2,600 Mil
Q/Q Turnover: 8%

Countries: USA
Details: Top Buys | Top Sales | Top Holdings  Embed:

Third Avenue Management Watch

  • First Eagle Investment Boosts Stake in American Express

    First Eagle Investment (Trades, Portfolio) is an independent firm with approximately $94 billion in assets under management. During the first quarter the fund bought shares in many stocks:


    The fund increased its stake in Weyerhaeuser Co. (WY) by136.62% with an impact of 1.64% on the portfolio.

      


  • 3 Stocks Warren Buffett Should Buy

    Chip Rewey, portfolio manager of Third Avenue's flagship Value Fund and Small-Cap Fund, laid out three stock ideas that he said Warren Buffett (Trades, Portfolio) should be interested in, while speaking at GuruFocus' Value Conference Friday.


    The first is Comerica (NYSE:CMA), a bank headquartered in Texas and currently trading at 18x earnings. Rewey said Comerica has strong credit worthiness, one of the most important attributes for any bank. Comerica had an outstanding underwriting record, even during the financial crisis of 2007 and 2008. Investor fears of the volatility of the energy book has pushed the price down, creating more opportunity to invest. The bank traded down slightly over the past year by 5%.

      


  • Third Avenue Buys Ralph Lauren, Boosts Baxalta

    Martin Whitman (Trades, Portfolio) is founder and former portfolio manager of the Third Avenue Value Fund. Chip Rewey now manages the fund after Whitman stepped down from active management duties. During the first quarter of the year, the fund bought many stocks and the following are the most heavily weighted.


    Third Avenue acquired 229,973 shares in Harman International Industries Inc. (HAR) with an impact of 1.45% on the portfolio.

      


  • Third Avenue Sheds 489,500 Shares of Symantec

    Martin Whitman is a Bronx native who has more than 67 years of investment experience. Whitman graduated from Syracuse University and spent the next 25 years split between working as a security analyst and an investment banker for Sears.


    Then in 1974, he founded M.J. Whitman LLC, a full service brokerage. Sixteen years later, he founded Third Avenue Funds, which he ran until 2012 when Robert "Chip" Rewey took over active duties. Rewey now oversees the Value Fund and four others at Third Avenue. Rewey attributes much of his investment philosophies from learning from his predecessor. He learned Whitman's investment style of maintaining a concentrated portfolio that focuses on company's financial strength. This creates a margin of safety to ensure that the company can weather the storm in times of adversity when obstacles arise that are outside of the company's control.

      


  • Third Avenue Value Sells NVIDIA, Cavco

    Martin Whitman (Trades, Portfolio) is the founder of the Third Avenue Value Fund (TAVFX), which is now managed by Chip Rewey. The fund sold many stocks during the first quarter including the following.


    The fund reduced its stake in Cavco Industries Inc. (CVCO) by 30.57% and the deal had an impact of -2.46% on the portfolio.

      


  • Third Avenue Value Buys 2 Stocks With Short-Term Struggles

    Third Avenue Management (Trades, Portfolio)’s flagship fund, the Third Avenue Value Fund, is led by Chip Rewey and remains dedicated to its principles in value investing after founder Martin Whitman (Trades, Portfolio) stepped down from portfolio management in 2012.


    Year to date, the fund is up 0.04% through March 29. During the first quarter of fiscal 2016 ended Jan. 31, the fund added two new holdings to the portfolio.

      


  • Third Avenue Small-Cap Fund's 1st Quarter 2016 Shareholder Letter

    Dear Fellow Shareholders,


    We are pleased to provide you with the Third Avenue Small-Cap Value Fund’s (the “Fund”) report for the quarter ended January 31, 2016.

      


  • Third Avenue Value Fund 1st Quarter 2016 Letter

    Dear Fellow Shareholders,


    We are pleased to provide you with the Third Avenue Value Fund’s (the “Fund”) report for the quarter ended January 31, 2016.

      


  • Third Avenue Reduces Position in Weyerhaeuser in 4th Quarter

    Most of Third Avenue Management (Trades, Portfolio)’s largest fourth-quarter transactions were reductions of existing stakes. Third Avenue acquired five new stakes in the quarter, but most had modest impacts on the portfolio.


    Third Avenue trimmed its stake in Weyerhaeuser Co. (NYSE:WY), a Federal Way, Washington-based real estate investment trust, by nearly 23%. Third Avenue sold 2,660,082 shares for an average price of $30.26 per share. The transaction had a -1.98% impact on Third Avenue’s portfolio.

      


  • Third Avenue Value Fund Trims Stake in NVIDIA

    Legendary guru Martin Whitman has more than 67 years of experience in the investment industry. A Bronx native, Whitman began his career shortly after graduating from Syracuse University with a degree in business administration in 1949. Whitman seized an opportunity to begin his career working as a security analyst for Shearson Hammill. After gaining valuable experience, Whitman took advantage of another opportunity and began working as an investment banker for the owners of the Sears Roebuck fortune, the Rosenwald family who actively managed Sears' department stores in the early 1900s.


    In 1990, he founded Third Avenue Management, whose portfolio owns about 130 stocks.

      


  • Third Avenue Buys Baxter Spin-Off

    Guru Martin Whitman is the founder of Third Avenue Management (Trades, Portfolio). Whitman was born in the Bronx, where he grew up. He went on to graduate from Syracuse University with a degree in business administration. Whitman also has a master's in economics from the The New School.


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  • Berkshire Hathaway, Wells Fargo, China Mobile, Novartis, Bank of America Reach 52-Week Lows

    According to GuruFocus list of 52-week lows, these Guru stocks have reached their 52-week lows.


    Berkshire Hathaway Inc. reached the 52-week low of $193,900

      


  • What Third Avenue Management Thinks Market Has Over-Punished

    With volatility and enthusiasm for growth stocks marking the year-end market, long-term investors Third Avenue Management (Trades, Portfolio) spotted some compelling areas facing temporary setbacks to invest in and gave their trading details in their fourth quarter portfolio update Tuesday.

    Third Avenue Management (Trades, Portfolio), a firm chaired by value investing pioneer, Marty Whitman, largely ignores macroeconomic whims in favor of buying companies based on their estimate of the worth of the enterprise. The managers also embrace growth as long as it means growth of book value at double-digit rates. They don’t fall for short-term catalysts, buybacks and short-term earnings boosts that draw many investors in the current environment.  


  • Third Avenue Value Fund Sells Nearly Half of Stake in POSCO

    Although Martin Whitman (Trades, Portfolio) has a reputation for being a “buy and hold” investor, many of Third Avenue Value Fund's largest transactions in the fourth quarter, which ended Oct. 31, 2015, were reductions.


    The fund’s most significant fourth-quarter transaction was the reduction, by more than 48%, of the stake in POSCO (NYSE:PKX), a Pohang, South Korea-based steelmaking company. Third Avenue sold 572,600 shares for an average price of $39.14 per share. The deal had a -1.41% impact on the portfolio.

      


  • Third Avenue Cuts Stake in Powell, BlackRock

    Third Avenue Management (Trades, Portfolio) reduced its position in many stocks during the third quarter. Some of the largest reductions were in Powell Industries Inc. (POWL), BlackRock Credit All Inc Trust IV. (BTZ) and Allscripts Healthcare Solutions Inc.


    Third Avenue Management (Trades, Portfolio), led by its founder and chairman, Martin Whitman (Trades, Portfolio), are balance sheet value investors.

      


  • Third Avenue Management's Annual Report

    Dear Fellow Shareholders:


    At Third Avenue Management (Trades, Portfolio), companies, the securities they issue, and their managements and/or control groups are appraised from three different angles:

      


  • Third Avenue International Value Fund Commentary - Part 3

    Investment Activity


    In the following section we will discuss the Fund’s investment activity. Five new securities were purchased during the quarter including Cosan Ltd, discussed above. Four of the new securities were first purchased on August 24th during that day’s market calamity. We also sold three positions: Otsuka Corp., discussed above in paragraphs covering Japan, and two long-held U.K. companies, Segro plc and Vodafone plc.

      


  • Third Avenue International Value Fund Commentary - Part 2

    Investment hyperbole seems to have a way of marking cyclical turns as a strong contra-indicator. I don’t recall reading the obituary but I assume the “commodity super-cycle” has been declared dead. If one is to believe newspapers and most sell-side research, commodities have now entered into a period of “lower for longer”. In reality, the commodity super-cycle never existed in the first place outside of media hyperbole.


    In 2011 with industrial commodity and oil and gas prices far above current price levels, Bobby Tudor would have told us that this time is not different, that we were simply at a point in the cycle where the locus of supply and demand dictates a high price level, which in turn will incentivize investment to increase production of various commodities to the extent that resources are available to do so. In the case of crude oil, we saw an incredible supply response in large part from North American shale production followed by the end of Saudi Arabia’s graciousness in accommodating the world’s growing crude production by continuously shrinking its own production to balance the market.

      


  • Third Avenue International Value Fund Commentary - Part 1

    Dear Fellow Shareholder,


    Value Investing & Cyclicality

      


  • Third Avenue Real Estate Value Fund Commentary - Part 2

    “Superforecasting”


    "Superforecasting," by Philip E. Tetlock and Dan Gardner, is a recently published book that studies the idea of whether certain individuals can be better at predicting measurable outcomes, and if so, how they go about achieving those superior results. Through Tetlock and Gardner’s years of studies they seemed to be able to identify a small sub-set of individuals that made markedly more accurate predictions across a wide range of fields than so called experts in those respective areas. And not just over the short-term but over a number of years. To summarize the book, the “superforecasters” weren’t always ones with the highest IQ scores, but instead individuals that followed a very similar process of predicting outcomes whereby they would: (i) gather a wide range of information on a subject with a preference for comparing contrasting views; (ii) use that information to make probability weighted predictions or forecasts; and then (iii) continuously reassess that forecast as new information became available, either supporting or disproving the original prediction as well as incorporating other views. Frankly the process outlined in the book is not dissimilar from the one utilized by the Third Avenue Real Estate team when analyzing investment opportunities, investing in securities, and managing the Fund. To wit, we engage in deep-dive fundamental research, utilize those findings to derive risk-adjusted return expectations, and then concentrate the Fund’s capital around those top ideas while adjusting the portfolio as return expectations change either through changes in price or the incorporation of additional information.

      


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