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Third Avenue Management Update

August 31, 2013 | About:
Sally Jones

Sally Jones

49 followers
Founded by veteran value investor Martin Whitman in 1968, Third Avenue Management is an asset management firm that uses a disciplined value approach. At present, Third Avenue Management has around $ 11.1 billion in assets under management. Third Avenue specializes in global and domestic equities, debt instruments, and special situations.

The updated portfolio of Third Avenue Management lists 145 stocks, 18 of them new, a total value at $5.09 billion, and a quarter-over-quarter turnover of 8%. The portfolio is currently weighted with top three sectors: financial services at 20.5%, basic materials at 15% and technology at 14.5%.

Third Avenue Management made numerous trades in the second quarter. Here are the high-impact reduction highlights:

Forest City Enterprises Inc. (FCE.A): Reduced

Impacts Portfolio: -1.2%

Current Shares: 10,515,220

Up 19% over 12 months, Forest City Enterprises Inc. has a market cap of $3.5 billion; its shares were traded at around $17.89 with a P/E ratio of 2981.80 and a P/B of 2.20.

Founded in 1920, Forest City Enterprises Inc. has been publicly traded since 1960. The company is engaged in the ownership, development, management and acquisition of commercial and residential real estate properties in 27 states and the District of Columbia.

Guru Action: As of June 30, 2013, Third Avenue Management reduced its position by 24.96%, selling 3,497,331 shares at an average price of $18.47, for a loss of 3.1%.

The firm has averaged a gain of 129% on 5,509,094 shares bought at an average price of $7.8 per share. On shares sold, the firm averaged a gain of 21% on 17,742,352 shares sold at an average price of $14.8 per share.

Track historical pricing, revenue and net income:

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AVX Corporation (AVX): Reduced

Impacts Portfolio: -0.47%

Current Shares: 2,070,892

Up 25% over 12 months, AVX Corporation has a market cap of $2.17 billion; its shares were traded at around $12.84 with a P/E ratio of 21.70.

AVX Corporation is a worldwide manufacturer and supplier of passive electronic components and related products.

Guru Action: As of June 30, 2013, Third Avenue Management reduced its position by 49.48%, selling 2,028,180 shares at an average price of $11.72, for a gain of 9.6%.

The firm has averaged a gain of 13% on 581,890 shares bought at an average price of $11.41 per share. On shares sold, the firm averaged a loss of 1% on 12,052,841 shares sold at an average price of $12.93 per share.

Track historical pricing, revenue and net income:

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Broadridge Financial Solutions (BR): Reduced

Impacts Portfolio: -0.46%

Current Shares: 822,683

Up 24% over 12 months, Broadridge Financial Solutions has a market cap of $3.54 billion; its shares were traded at around $29.75 with a P/E ratio of 17.50.

Broadridge Financial Solutions Inc. is a global provider of investor communication, securities processing, and clearing and outsourcing solutions to the financial services industry.

Guru Action: As of June 30, 2013, Third Avenue Management reduced its position by 53.86%, selling 960,378 shares at an average price of $25.72, for a gain of 15.7%.

The firm has averaged a gain of 34% on 2,203,038 shares bought at an average price of $22.17 per share. On shares sold, the firm averaged a gain of 19% on 1,380,355 shares sold at an average price of $24.97 per share.

Track historical pricing, revenue and net income:

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Teleflex Inc. (TFX): Reduced

Impacts Portfolio: -0.44%

Current Shares: 486,168

Up 16% over 12 months, Teleflex Inc. has a market cap of $3.17 billion; its shares were traded at around $77.08 with a P/E ratio of 27.00.

Incorporated in 1943, Teleflex Inc. is a global provider of medical technology products that enhance clinical benefits, improve safety and reduce procedural costs.

Guru Action: As of June 30, 2013, Third Avenue Management reduced its position by 36.69%, selling 281,806 shares at an average price of $80.21, for a loss of 3.9%.

The firm has averaged a gain of 32% on 870,976 shares bought at an average price of $58.52 per share. On shares sold, the firm averaged a loss of 0% on 384,808 shares sold at an average price of $77.35 per share.

Track historical pricing, revenue and net income:

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Third Avenue's chairman and portfolio manager, Martin Whitman, has a track-record of 50 years in helping investors can find underpriced securities in companies with strong balance sheets. He is also an adept control investor who has led the rehabilitations of Nabors Industries and Covanta Energy among others. David M. Barse has been the CEO of Third Avenue Management LLC for two decades.

Have an inside look at Martin Whitman's Third Avenue Value Fund.



Here is the complete portfolio of Martin Whitman.

Be sure to read:

1. Martin Whitman's Undervalued Stocks

2. Martin Whitman's Top Growth Companies

3. Martin Whitman's High Yield stocks

4. Stocks that Martin Whitman keeps buying

Use the GuruFocus Value Screen to find 52-Week Lows and discover potentially deep value stocks held by billionaire Guru investors.

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About the author:

Sally Jones
Sally Jones writes about Real Time Picks. She says, "I truly enjoy watching the Gurus in realtime and telling their story."

Rating: 4.0/5 (3 votes)

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