Mason Hawkins

Mason Hawkins

Last Update: 02-14-2018

Number of Stocks: 31
Number of New Stocks: 6

Total Value: $8,077 Mil
Q/Q Turnover: 29%

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

Mason Hawkins' s Profile & Performance

Profile

Mason Hawkins has been Chairman and Chief Executive Officer Southeastern Asset Management since 1975, and he and his partners manage the Longleaf Partners Funds. Mr. Hawkins attended the University of Florida where he earned a B.A. in Finance, and the University of Georgia where he earned an M.B.A. in Finance.

Web Page:http://www.longleafpartners.com/

Investing Philosophy

Mason Hawkins and his partners are value investors. When evaluating potential investments, they look for three things, "good business, good people, and a good price." Like many successful gurus, he and his partners seek to achieve superior long-term performance by acquiring equity securities in understandable business with strong balance sheets, run by capable management, and trading at less than intrinsic value. Typically, they only invest in companies trading at 60% or less of intrinsic value appraised by looking at the current value of a company's assets and liabilities and also by looking the present value of future cash flows (DCF).They sell stocks when the stocks reach their intrinsic worth. Mason Hawkins believes it is important to have a portfolio concentrated in only the best investment ideas, and the firm generally holds fewer than 25 stocks in each portfolio.

Historical Allocation of Stock, Bonds, Cash

Total Holding History

Performance of Longleaf Partners Fund

YearReturn (%)S&P500 (%)Excess Gain (%)
201620.7211.968.8
2015-18.81.38-20.2
20144.9213.69-8.8
3-Year Cumulative2.8 (0.9%/year)29 (8.9%/year)-26.2 (-8%/year)
201332.1232.39-0.3
201216.53160.5
5-Year Cumulative58.3 (9.6%/year)98.2 (14.7%/year)-39.9 (-5.1%/year)
2011-2.852.11-5.0
201017.8915.062.8
200953.626.4627.1
2008-50.6-37-13.6
2007-0.45.49-5.9
10-Year Cumulative37.1 (3.2%/year)95.7 (6.9%/year)-58.6 (-3.7%/year)
200621.615.795.8
20053.64.91-1.3
20047.110.88-3.8
200334.828.686.1
2002-8.3-22.113.8
15-Year Cumulative128.6 (5.7%/year)164.2 (6.7%/year)-35.6 (-1%/year)
200110.3-11.8922.2
200020.6-9.129.7
19992.221.04-18.8
199814.328.58-14.3
199728.333.36-5.1
20-Year Cumulative355.7 (7.9%/year)339.2 (7.7%/year)16.5 (0.2%/year)
19962122.96-2.0
199527.537.58-10.1
199491.327.7
199322.210.0812.1
199220.57.6212.9
25-Year Cumulative1028.4 (10.2%/year)791.8 (9.1%/year)236.6 (1.1%/year)
199139.230.478.7
1990-16.4-3.1-13.3
198923.331.69-8.4
198835.216.6118.6

Top Ranked Articles

With Oil Prices Cratering, Value Gurus Bet the Most on These Energy Stocks Pricing recovery remains ambiguous
Mason Hawkins (Trades, Portfolio) sold Chesapeake Energy (NYSE:CHK) and Prem Watsa (Trades, Portfolio) reduced Exco Resources (XCO) in the last week, stocks crushed by oil prices that continue to languish at their lowest prices since spring of 2016. For investors hanging on for something to change in energy, certain stocks hold more attraction than others. Read more...
Longleaf Partners Comments on Chesapeake Energy Guru stock highlight
Chesapeake Energy (NYSE:CHK) (-15%; -0.70%), one of the largest U.S. producers of natural gas, oil, and natural gas liquids, was the largest detractor in the quarter. At the macro level, declines in oil and gas prices pressured the stock. We use the futures strip for both commodities in our appraisal of Chesapeake, even though they are currently trading below the global energy industry’s long run marginal costs. CEO Doug Lawler further improved the company’s financial strength and flexibility, closing two Haynesville deals and reporting another solid operational quarter. We believe he and his team will continue to execute additional asset sales and maintain both operating and capital expense discipline. Read more...
Longleaf Partners Comments on DuPont Guru stock highlight
In addition to selling Ralph Lauren, we also exited DuPont (NYSE:DFT) in the quarter. We earned a 60% gain in DuPont when price reached our appraisal. We bought the stock in August 2015 when questions surrounded both the business quality and management, but we believed the board, which was under shareholder pressure, would address the company’s leadership, cost structure, and capital allocation to help the conglomerate focus on its more dominant, growing segments. The businesses performed solidly, and the arrival of CEO Ed Breen with his cost cutting plans and smart merger with Dow turned the investment into a success. We will continue to watch the company and its spinoffs going forward. Read more...
Longleaf Partners Comments on CNH Industrial Guru stock highlight
CNH Industrial (NYSE:CNHI) (+11%; +0.61%), the maker of agricultural equipment, commercial vehicles and construction equipment, was another contributor in the quarter. The company once again reported higher pricing in the core agricultural equipment segment at a time of down units. We applaud CEO Rich Tobin for good cost controls, as margins came in better than we expected. There are early signs that the agricultural market is stabilizing after years of decline. When demand for equipment turns, the company’s strong incremental margins will be working in our favor. We believe that management and the board are open to further rationalizing the company’s assets, as our vested partners, large owner John Elkann and Chairman Sergio Marchionne, have done at other investments in the past. Read more...
Southeastern Asset Management Says Watsa's Fairfax Was 'Deeply Discounted' Earlier in Year Stock remains down 5% for the year
In a letter released Friday, Mason Hawkin’s Southeastern Asset Management said it believed Prem Watsa (Trades, Portfolio)’s Canadian insurer Fairfax Financial (TSX:FFH) was “deeply discounted” as the price tumbled earlier in the year. Read more...
» More Mason Hawkins Articles

Commentaries and Stories

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Funds 4th Quarter Shareholder Letter Review of holdings and markets Mason Hawkins - Longleaf Partners Funds 4th Quarter Shareholder Letter
For a second consecutive year, all four Longleaf Partners Funds delivered solid absolute results in 2017, with the Longleaf Partners, Longleaf Partners International and Longleaf Partners Global Funds exceeding our annual absolute goal of inflation plus 10%. The Global Fund also outperformed its benchmark index for the year. As is normally the case with our concentrated portfolios, business fundamentals at our companies largely accounted for performance. Our absolute returns were particularly notable in a market environment where stocks others call “growth” outperformed stocks categorized as “value” by over 1200 basis points (bps) in the U.S. and 700 bps elsewhere. Information Technology (IT) was a meaningful part of growth’s momentum as the sector far outpaced all others. This impacted our relative returns, as did our high cash balance in all four Funds throughout the year. More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on CenturyLink Guru stock highlight
CenturyLink (NYSE:CTL) (formerly Level 3) (-10%,-1.12%, -5%,-0.52%), the global fiber and integrated communications network company, was the Fund’s largest holding and declined during the year and fourth quarter, even though the stock rallied over 22% from its November low after CTL’s purchase of Level 3 closed. Throughout, our investment case grew more compelling. The merger of Level 3’s fiber network with Qwest’s assets that CTL had previously acquired created a uniquely competitive global fiber network that has particular strengths in the higher margin, growing Enterprise segment. Level 3’s CEO Jeff Storey becoming President and COO and eventual CEO of CTL and Sunit Patel maintaining the CFO position in the combined company were critical to our support for the deal. Their leadership makes us confident that CTL management will be able to drive mid single-digit Enterprise revenue growth at high contribution margins, cut costs substantially and deliver the projected $1 billion in deal synergies, much of which will be created by moving traffic onto the company’s combined network from third parties. Despite CTL’s stronger positioning, the stock price fell, in part because More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on Chesapeake Energy Guru stock highlight
Chesapeake Energy (NYSE:CHK) (-44%,-2.07%,-8%,-0.17%), one of the largest U.S. producers of natural gas and oil, was one of the Fund’s few detractors in 2017 during a tough market for closing energy asset sales. Overshadowing strong operational performance by CEO Doug Lawler and his management team, domestic gas oversupply weighed down strip prices. Chesapeake made progress delineating some of its newer plays, but the market continued to underestimate the company’s ability to sell meaningful assets, as it has done multiple times in the past. More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on United Technologies Guru stock highlight
United Technologies (NYSE:UTX) (+19%,+0.95%,+11%,+0.53%), the industrial conglomerate, reported gains across its segments, putting it among the Fund’s top contributors in the fourth quarter. Pratt & Whitney won large Delta and Dassault contracts for its new geared turbofan engine – business that will pay off for decades with lucrative servicing revenues. The company’s proposed acquisition of Rockwell Collins should boost its strong competitive position in fitting out and servicing the growing aerospace industry. Carrier benefitted from its leading position in air conditioning systems and ought to gain from digital Smart Home technological improvements over the next several decades. Otis Elevator, one of the most ubiquitous companies in the world’s cities, showed solid organic growth. CEO Greg Hayes has positioned each part of United Technologies for long-term performance and the ability to stand-alone as separate companies in the future. Although we sold shares as the stock’s discount decreased, the Fund kept a full position that reflected our longer term confidence in management and value growth. More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on CONSOL Energy Guru stock highlight
CONSOL Energy (NYSE:CEIX) (+7%,+0.49%,+16%,+0.94%), the former natural gas and coal company based in Appalachia, was a contributor to the Fund’s fourth quarter results. The company completed the long-awaited spin-off of its coal assets from its natural gas reserves, undrilled acreage, and pipelines — a move we had encouraged to enable others to fully appreciate the values of each business. The gas company now trades as CNX Resources Corporation (CNX), while the coal pure-play business retained the CONSOL Energy name. Our CNX appraisal assumes gas prices at today’s depressed strip, yet the stock price implies much less value for its undrilled resources and midstream assets than comparable peers receive. The company reduced commodity risk by hedging the majority of next year’s production above $3/mcf. CONSOL’s Pennsylvania Mining Complex is the low-cost coal producer in the eastern U.S. Both companies announced large buybacks to address their undervalued post-spin prices. We believe our management partners will continue to take action to gain value recognition at both companies. In spite of rampant coal divestment by institutional More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on CK Asset Guru stock highlight
CK Asset (HKSE:01113) (+46%,+2.08%,+6%+0.33%), the Hong Kong based asset holding company, was one of the top contributors for the fourth quarter and year. The company achieved strong volumes of residential property sales in both Hong Kong and mainland China, and in the first half of 2017, sold the highest volume of residential property in Hong Kong. Rather than pay elevated prices for land, CK Asset (CKA) diverted sales proceeds to value accretive share buybacks at prices substantially below our appraisal. CKA spent HK$6.9 billion to buy over 3.3% of its shares, making it one of the top three repurchasers on the Hong Kong stock exchange for the year. To mitigate the cyclical nature of cash flows associated with property development, CKA diversified into stable infrastructure type assets around the globe, including gas pipeline and electric distribution company DUET in Australia, building equipment services provider Reliance Home Comfort in Canada, and fully integrated sub-metering company Ista International GmbH in Germany. To reflect this strategy, the company changed its name from Cheung Kong Property to CK Asset. In November, More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on Alphabet Guru stock highlight
Alphabet (NASDAQ:GOOGL) (+36%,+2.23%,+10%,+0.56%), the diversified internet company with strong positions worldwide in search (Google), video (YouTube), mobile (Android), and more, was among the largest Fund contributors for the fourth quarter and the year. As the discount to intrinsic worth closed, we trimmed, although the Fund maintained a full position because of the company’s strong value growth. Revenues in the U.S. and Europe grew in excess of 20% and over 30% around the rest of the world as the search moat widened. Google still has significant opportunities to expand its share of advertisers’ total spend beyond its current level. The company made significant progress towards monetizing the fifth of the world’s population who watch YouTube every month by improving advertising interactions and separating brands from the site’s worst content after a minor scandal. Despite the stock’s outperformance during our almost three years of ownership, frightening “FAANG” (Facebook, Apple, Amazon, Netflix, Google) hype and frothy IT valuations, Alphabet still sells below our conservative appraisal, which does not give credit More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on CNH Industrial Guru stock highlight
CNH Industrial (NYSE:CNHI) (+57%,+2.49%,+12%,+0.55%), the maker of Case and New Holland agriculture equipment (Ag) and Iveco trucks (CV), helped the Fund’s fourth quarter and full year results. After declining for three years, Ag staged a turnaround with Q3 sales growing 12% year-over-year and operating profit margin expanding by 130 basis points. Accordingly, fiscal year 2017 sales and earnings guidance saw meaningful upgrades. The Ag cycle in the U.S. seems to have hit an inflection point in 2017 after peaking in 2013. CNHI management successfully balanced channel inventory while taking costs out during the decline. When U.S. Ag volumes (especially for high horsepower tractors and combines) recover from the current trough levels, the operating leverage on incremental sales will be highly margin accretive. In addition, CNHI was upgraded to an investment grade rating by S&P and Fitch, an important milestone that should allow the company to tap the commercial paper market, lower interest expense, extend the debt maturity profile and potentially release over $1 billion of excess capital in time, which our management partners More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on FedEx Guru stock highlight
FedEx (NYSE:FDX) (+35%, +2.66%,+11%,+0.75%), the world-leading transportation and logistics company, added to the Fund’s strong fourth quarter and 2017 results. Express margins jumped to the company’s long-held goal of double-digit levels due to strong pricing and utilization of lower cost passenger plane space. Ground yield and volumes were strong, and margins seem to have finally bottomed after recent years of rapid expansion and investment. FedEx moved quickly to integrate acquired TNT into its global network as it deftly handled the effects of a significant TNT cyberattack. CEO Fred Smith continued to think far ahead and prioritize the business’s long-term competitive position, reinvesting most earnings into high-return expansions and improvements. We trimmed the Fund’s stake as the discount to intrinsic worth shrunk. More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on Wynn Resorts Guru stock highlight
Wynn Resorts (NASDAQ:WYNN) (+98%, +4.21%, +14%, +0.44%), the U.S. and Macau gaming company, was the largest contributor to the Fund’s 2017 performance with strong earnings growth in Macau and Las Vegas. Industry gross gaming revenues (GGR) in Macau accelerated in the second half of 2017 well beyond full year GGR growth expectations. With major infrastructure projects moving closer to completion, mass visits and spending increasing, and VIPs returning, concerns about potential over-supply from significant capacity additions in Macau turned into confidence that additional hotel and gaming properties will be well absorbed by the market. Steve Wynn continued to create future value with the Boston resort expected to open in 2019, new development around the Las Vegas golf course, and the chance to pursue casino development in Japan. After the stock more than tripled from its lows two years ago and moved closer to our assessment of the company’s value, we reduced the Fund’s position. More...

  • Currently 5.00/5

Rating: 5.0/5 (4 votes)

Longleaf Partners Fund 4th Quarter Commentary Review of holdings and markets Mason Hawkins - Longleaf Partners Fund 4th Quarter Commentary
Longleaf Partners Fund delivered a strong absolute return of 15.51% in 2017 and 3.62% in the fourth quarter, exceeding our annual goal of inflation plus 10% for both periods and for the second consecutive year. Our discipline, which requires a material margin of safety between stock price and intrinsic worth, kept the Fund with high cash levels and out of most of the Information Technology (IT) sector that powered the index’s 6.65% return in the quarter and 21.83% for the year. Cash, which faced no risk of capital loss, and the Fund’s limited IT exposure accounted for almost all of the shortfall versus the index. The long-running bull market became more reminiscent of the late 1990s as IT dominated and started to leave other high quality companies with attractive discounts. More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Southeastern Asset Management Divests 70% of Deltic Timber in Late November Guru real-time pick highlight Mason Hawkins - Southeastern Asset Management Divests 70% Of Deltic Timber In Late November
Mason Hawkins (Trades, Portfolio) Southeastern Asset Management disclosed Dec. 11 that it divested 70% of its stake in Deltic Timber Corp. (NYSE:DEL) on Nov. 30. More...

MASON HAWKINS


  • Currently 4.00/5

Rating: 4.0/5 (1 vote)

Southeastern Asset Management Connects With CenturyLink Firm takes stake in telecom company Mason Hawkins - Southeastern Asset Management Connects With CenturyLink
Mason Hawkins' (Trades, Portfolio) Southeastern Asset Management disclosed this week it established a 6.7% stake in CenturyLink Inc. (NYSE:CTL) on Dec. 8. More...

MASON HAWKINS, SOUTHEASTERN ASSET MANAGEMENT,CENTURYLINK, BUY


  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on EXOR Guru stock highlight
Other examples of multi-industry complexity and change in focus include EXOR2,4 and Graham Holdings3. Ten years ago, many viewed EXOR (MIL:XO) as a way to own Fiat, a car company with limited models and distribution. But Chairman and CEO John Elkann and Vice Chairman Sergio Marchionne successfully split Fiat into its better recognized parts of Ferrari, Fiat Chrysler Automobiles, and CNH Industrial. Last year, the purchase of PartnerRe made it the largest part of EXOR’s value, thereby requiring reinsurance industry knowledge to properly analyze the company. Our generalist team could quickly incorporate the value of this significant acquisition into our EXOR case given the analysts’ coverage of previous reinsurance investments such as Everest Re, Odyssey RE within Fairfax, and Berkshire Reinsurance within Berkshire Hathaway. To appraise Graham Holdings, formerly The Washington Post, knowledge of the newspaper and cable industries (the two largest parts that the company sold and spun out, respectively) is of limited help in determining the value for the remaining More...

  • Currently 4.00/5

Rating: 4.0/5 (1 vote)

Southeastern Asset Management Says Watsa's Fairfax Was 'Deeply Discounted' Earlier in Year Stock remains down 5% for the year Prem Watsa, Mason Hawkins - Southeastern Asset Management Says Watsa's Fairfax Was 'Deeply Discounted' Earlier In Year
In a letter released Friday, Mason Hawkin’s Southeastern Asset Management said it believed Prem Watsa (Trades, Portfolio)’s Canadian insurer Fairfax Financial (TSX:FFH) was “deeply discounted” as the price tumbled earlier in the year. More...

  • Currently 5.00/5

Rating: 5.0/5 (2 votes)

Longleaf Partners 3rd Quarter Shareholder Letter Discussion of markets and investments Mason Hawkins - Longleaf Partners 3rd Quarter Shareholder Letter
In the third quarter, we compounded our shareholders’ capital across all four Longleaf Partners Funds. Performance gains, however, were somewhat muted by the larger-than-normal cash held across the Funds. Markets outside of the U.S. led year-to-date returns throughout 2017, but U.S. small cap stocks beat both U.S. large cap and non-U.S. markets in the third quarter following the September small cap rally associated with prospective corporate tax cuts. Longleaf International Fund outperformed EAFE. In the Longleaf Partners, Longleaf Partners Small-Cap, and Longleaf Partners Global Funds, which underperformed their relevant indices, our largest holding, Level 3 Communications (LVLT),1,2,3 was the primary source followed by the cash headwind. LVLT will become a more normal weight when CenturyLink (NYSE:CTL) closes its purchase of LVLT, paying cash for approximately half of the acquisition. In the quarter, LVLT’s price reflected concerns about final deal approvals and a potential CTL dividend cut post-deal. We anticipate that the deal will close, the prospective cash flow will easily cover the dividend, and the new CTL will be the preeminent global fiber network solutions company with More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Can Mason Hawkins Get Back to Beating the Benchmark? Legendary investor had serious losses in 2008 and 2015, but the last year and a half may signal better times ahead Mason Hawkins - Can Mason Hawkins Get Back To Beating The Benchmark?
More...

GURUS, MASON HAWKINS, LONGLEAF FUNDS, SOUTHEASTERN ASSET MANAGEMENT, VALUE INVESTING, MUTUAL FUNDS, INTERNATIONAL, GLOBAL, LONG-TERM CAPITAL GROWTH, CONVICTION PORTFOLIO, FUNDAMENTAL RESEARCH, LONG TI


  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on STADA Arzneimittel Guru stock highlight
We exited STADA Arzneimittel (XTER:SAZ), the German maker of numerous over-the-counter medicine brands as well as generic drugs. Price reached our appraisal when the Board of Directors recommended a purchase offer from a private equity consortium. This investment is a good example of the difference that good partners make. For 20 years STADA was a serial underperformer with entrenched management poorly allocating capital and running the company as a personal fiefdom. We followed the company and liked its strong brands and discounted price but could not get comfortable with the people. In 2016, a German activist group got involved and changed management and most of the board. We started our position in November of 2016; private equity obviously was seeing the same opportunity. The company’s new board and executives oversaw a disciplined, rational process that resulted in a good sale price and a nearly 50% gain for the Fund in less than 6 months. We also sold our stake in Genting Singapore, the casino company with a duopoly in Singapore and controlled by Genting Berhad. The stock reached our appraisal as the company reported a strong quarter. Hold-adjusted earnings before interest, More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on Fairfax Financial Guru stock highlight
We bought one new company which is undisclosed as we hope to build a more meaningful stake. We increased the Fund’s position in Fairfax Financial (TSX:FFH), a Canadian based insurance and reinsurance operator that we began buying in the first quarter. The Fund previously owned the company for over a decade with a successful outcome. CEO and Founder Prem Watsa (Trades, Portfolio) has continued to increase Fairfax’s value since we sold the stock in 2012. Fairfax is underwriting more successfully than when we previously owned it, is about to complete a value-accretive merger with Allied World, and still has the investing prowess of Watsa and his team. Because the merger is on the come and Watsa is holding a large amount of cash that is not producing significant income, near-term reported earnings per share are well below the company’s long run earnings power. We are excited to partner with Watsa at Fairfax again. From More...

  • Currently 0.00/5

Rating: 0.0/5 (0 votes)

Longleaf Partners Comments on OCI Guru stock highlight
OCI (XAMS:OCI) (+14%; +0.83%), the global nitrogen fertilizer and methanol producer, contributed positively to results in the quarter. Improved prices and volumes for related commodities led to greatly increased cash flow year-over-year. The company’s Iowa fertilizer plant began operating in April, which showed the market that this formerly non-earning asset is now about to produce significant earnings. OCI also made progress bringing its new methanol plant (“Natgasoline”) closer to its fourth quarter completion date. Late in the quarter, OCI’s stock price responded positively to rumors of private equity interest in the company. We are confident that our proven, aligned partner, Chairman Nassef Sawiris, will navigate any strategic outcome in a way that maximizes shareholder value. More...

Add Notes, Comments

If you want to ask a question or report a bug, please create a support ticket.

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK