Prem Watsa's Worst Performing Stocks

Fairfax Financial Holdings Limited is a holding company whose corporate objective is to achieve a high rate of return on invested capital and build long term shareholder value. The company has been under Prem Watsa (Trades, Portfolio)'s management since September 1985.

According to GuruFocus' All-In-One screener, the following are stocks that the investor traded bought during Q1 2015 whose price is declining.

During Q1 2015 he increased his stake by 66.67% of MBIA Inc (MBI) and since then, the stock has dropped by 35.90%. The Company, together with its consolidated subsidiaries, operates financial guarantee insurance business and is a provider of asset management and advisory services business. These activities are managed through three business segments: United States public finance insurance; structured finance and international insurance; and advisory services.

The price of the stock has dropped by 27% during the last 5 years, 40% since the beginning of the year and 41% during the last 12 months. The current price is -45.82% from its 52-week high and +16.82% from its 52-week low.

The company has a profitability and growth rating of 5/10 with positive returns (ROE 9.99%, ROA 2.37%).

Chuck Royce (Trades, Portfolio) is the main guru holding MBI with 5,089,153 shares, amounting to 2.80% of shares outstanding, or 0.18% of total assets of his portfolio. Prem Watsa (Trades, Portfolio) holds 0.03% of outstanding shares that is 0.03% of his total assets.

He bought 8,000 shares of Atwood Oceanics Inc (ATW) and since then, the stock has dropped by 21.80%. The Company is an offshore drilling contractor, engaged in drilling and completion of exploratory and developmental oil and gas wells. It owns 13 mobile offshore drilling units located in the U.S. Gulf of Mexico, the Mediterranean Sea, offshore West Africa, offshore Southeast Asia and offshore Australia, is constructing three ultra-deepwater drillships.

The price of the stock has dropped by 19% during the last 5 years, 23% since the beginning of the year and 56% during the last 12 months. The current price is -56.73% from its 52-week high and +1.37% from its 52-week low.

The company has a profitability and growth rating of 7/10 with positive returns (ROE 13.89%, ROA 8.11%) that are outperforming the 87% of the Global Oil & Gas Drilling industry.

First Pacific Advisors (Trades, Portfolio) is the main guru holding ATW with 2,671,500 shares, amounting to 4.13% of shares outstanding, or 0.62% of total assets of its portfolio. Prem Watsa (Trades, Portfolio) holds less than 0.01% of outstanding shares, or 0.02% of his total assets.

Watsa increased his stake inBlackBerry Ltd (BBRY) by 0.10% and since then, the stock has dropped by 13.70%. The Company through the development of integrated hardware, software and services that support multiple wireless network standards, provides platforms and solutions for seamless access to information, including email, voice, instant messaging, short message service, internet and intranet-based applications and browsing.

The price of the stock has dropped by 86% during the last 5 years, 29% since the beginning of the year and 23% during the last 12 months. The current price is -39.19% from its 52-week high and +0.92% from its 52-week low.

The company has a profitability and growth rating of 4/10 with negative returns (ROE -6.85%, ROA -3.66%) that are outperforming the 76% of the Global Communication Equipment industry.

PRIMECAP Management (Trades, Portfolio) is the main guru holding BBRY with 63,971,557 shares, amounting to 12.08% of shares outstanding, or 0.56% of total assets of its portfolio. Prem Watsa (Trades, Portfolio) is the second main holder, with 8.82% of outstanding shares that is the 29.33% of his total assets.

He increased his stake in Patterson-UTI Energy Inc (PTEN) by 108.33% and since then, the stock has dropped by 12.50%.The company is a provider of contract services to the North American oil and natural gas industry and operates in three industry segments namely contract drilling services, pressure pumping services and oil and natural gas exploration and production.

The price of the stock has risen by 6% during the last 5 years, has declined by 1% since the beginning of the year and 54% during the last 12 months. The current price is -57.04% from its 52-week high and +13.30% from its 52-week low.

The company has a profitability and growth rating of 7/10 with positive returns (ROE 4.79%, ROA 2.71%) that are outperforming the 67% of the Global Oil & Gas Drilling industry.

Kahn Brothers (Trades, Portfolio) is the main guru holding PTEN with 979,823 shares, amounting to 0.67% of shares outstanding, or 3.11% of total assets of the portfolio. Prem Watsa (Trades, Portfolio) holds 0.02% of outstanding shares that is 0.03% of his total assets.

He bought 3,157 shares ofHelmerich & Payne Inc (HP) and since then, the stock has dropped by 11.90%.

The Company is engaged in contract drilling of oil and gas wells for others and in the ownership, development and operation of commercial real estates. Its International Land segment operated in six international locations: Ecuador, Colombia, Argentina, Tunisia, Bahrain and United Arab Emirates.

The price of the stock has risen by 45% during the last 5 years, has declined by 11% since the beginning of the year and 48% during the last 12 months. The current price is -49.37% from its 52-week high and +10.70% from its 52-week low.

The company has a profitability and growth rating of 8/10 with positive returns (ROE 14.67%, ROA 10.48%) that are outperforming the 94% of the Global Oil & Gas Drilling industry.

First Pacific Advisors (Trades, Portfolio) is the main guru holding HP with 1,255,535 shares, amounting to 1.17% of shares outstanding, or 0.71% of total assets of its portfolio. Prem Watsa (Trades, Portfolio) holds less than 0.01% of outstanding shares that is 0.02% of his total assets.

Summary:

All the above stocks are giving negative returns to the investor, and the prices have been dropping for many years. It means that when the investor bought these shares, he was aware of the current downward trend. Only HP started a downward trend during the last weeks.