Here Are 7 Out Of Favor Stocks In Third Point’s Portfolio

in INVESTING IDEAS by

Here are the stocks in Daniel Loeb’s portfolio which have traded lower over the last month. Investors may want to take a closer look at the names below.


Third Point’s Recent Price Pull-Back Stocks

To find stocks in the firm’s portfolio that may be unpopular at the moment and trading at cheap valuations, I ranked the firm’s holdings by price pullbacks. The ranking table below lists the stocks in Third Point’s portfolio by stock price performance over the last 30 days.

Third Point Recent Price Pull-Back Stocks
Ticker Name Price 1-mo Ago Current Price % Change 1-mo
SUPV GRUPO SUPERVIELLE S A $18.77 $14.44 -23.1%
GRBK GREEN BRICK PARTNERS INC $11.70 $9.10 -22.2%
PAM PAMPA ENERGIA S A $53.40 $43.76 -18.1%
WYNN WYNN RESORTS LTD $193.88 $170.48 -12.1%
GGAL GRUPO FINANCIERO GALICIA S A $45.85 $40.97 -10.6%
DOV DOVER CORP $78.64 $73.42 -6.6%
MPC MARATHON PETE CORP $78.49 $73.56 -6.3%

Grupo Supervielle S.A. (NYSE: SUPV) stock price has fallen by -23.1% over the last month. It may be worth taking a closer look at the stock, especially after this recent decline.

The next largest stock decline in Daniel Loeb’s portfolio is Green Brick Partners, Inc. (NASDAQ: GRBK) which has seen its share price fall by -22.2% over the last month. Other notable holdings with a recent pull-back include Pampa Energia S.A. (NYSE: PAM), Wynn Resorts, Limited (NASDAQ: WYNN), Grupo Financiero Galicia S.A. (NASDAQ: GGAL), Dover Corporation(NYSE: DOV) and Marathon Petroleum Corporation (NYSE: MPC).


Why Follow Daniel Loeb’s Portfolio?

Daniel Loeb has made a name for himself generating impressive, and consistent, returns over the last two decades. In the process he has amassed a fortune of $3.2 billion, putting him at number 240 on the Forbes 400 list.

Loeb founded Third Point in 1995 that now runs two hedge funds. He started the company with $3.3 million from family and friends, in office space borrowed from David Tepper’s Appaloosa Capital. The Third Point Offshore Limited fund has generated annual returns of 15.8% since inception (1996) while the Ultra Limited fund has generated returns of 23.7% since its inception in 1997. This compares favorably to the S&P500 which has averaged less than 8% per year since 1997.

His investment style involves shareholder activism meaning he invites controversy. Loeb, therefore, finds himself in the media often and is not afraid to get into public arguments with those he disagrees with. Warren Buffett, George Clooney, the CEOs of Sony and Yahoo, and fellow activist investor Bill Ackman have all found themselves on the receiving end of his verbal attacks.

Managers with more than $100 million in qualifying assets under management are required to disclose their holdings to the SEC each quarter via 13F filings. Qualifying assets include long positions in U.S. equities and ADRs, call/put options, and convertible debt securities. Shorts, cash positions, foreign investments and other assets are not included. It is important to note that these filings are due 45 days after the quarter end date. Therefore, Third Point’s holdings above represent positions held as of March 31st and not necessarily reflective of the fund’s current stock holdings.

However, most can agree that with thousands of stocks traded on U.S. exchanges, doing thorough research on each one is nearly impossible for smaller investors. Leveraging the resources of the largest hedge funds on Wall Street can be a powerful way to narrow down the list.

The ideas section of finbox.io tracks top investors and trending investment themes. You can get the latest data on the holdings discussed above at the Third Point page.

As of this writing, I did not hold a position in any of the aforementioned securities and this is not a buy or sell recommendation on any security mentioned.

Expertise: financial modeling, mergers & acquisitions. Andy is also a founder at finbox.io, where he’s focused on building tools that make it faster and easier for investors to do investment research. Andy’s background is in investment banking where he led the analysis on over 50 board advisory engagements involving mergers and acquisitions, fairness opinions and solvency opinions. Some of his board advisory highlights: - Sears Holdings Corp.’s $620 mm spin-off via rights offering of Sears Outlet, Hometown Stores and Sears Hardware Stores. - Cerberus Capital Management’s $3.3 bn acquisition of SUPERVALU Inc.’s New Albertsons, Inc. assets. Andy can be reached at andy@finbox.io or at +1 (516) 778-6257.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.