Renowned value investor Seth Klarman just reported his first quarter portfolio. He did not buy any new stocks, but added to his positions in Idenix Pharma, NovaGold, Theravance Inc. He reduced his positions in Microsoft Corp, BP Plc. He sold out his position in GenWorth, PDLI Biopharma, Targacept Inc. As of 03/31/2012, The Baupost Group owns 20 stocks with a total value of $3 billion.
We have reported before that Seth Klarman gave up Targacept; sold out this position in our Real Time Picks. Mr. Klarman apparently has given up hope that the company will recover from its stock price collapse.
In understanding how Seth Klarman invests, we can look at his own words. He separates value investors into three categories. The first group buys cigar butt at cheap prices. The second buys high quality companies at low prices. The third buys high quality companies at fair prices. He thinks that Warren Buffett belongs to the third group; he himself belongs to the first group.
These are the details of the buys and sells.
This is the sector weightings of his portfolio:
|Oil & Gas||14.2%|
These are the top 5 holdings of Seth Klarman
- Viasat Inc (VSAT) - 10,499,992 shares, 17.1% of the total portfolio.
- BP Plc (BP) - 9,320,900 shares, 14.2% of the total portfolio. Shares reduced by 22.33%
- Hewlett Packard (HPQ) - 17,250,000 shares, 13.9% of the total portfolio. Shares reduced by 8%
- News Corp Inc-A (NWSA) - 15,041,665 shares, 10.0% of the total portfolio.
- Theravance Inc (THRX) - 14,553,800 shares, 9.6% of the total portfolio. Shares added by 2.3%
Here is the complete portfolio of Seth Klarman. Also check out the Undervalued Stocks, Top Growth Companies, and High Yield stocks of Seth Klarman.