Omega Advisors, the New York-based hedge fund, run by Leon Cooperman, was founded in 1991. The hedge fund has given an average annual return of 13.3 percent since its inception.
Its CEO, Leon Cooperman, worked with Goldman Sachs for 25 years before starting the hedge fund. Cooperman’s investment strategy is a combination of his macro view and fundamental evaluation. At the end of its second quarter on June 30, Omega Advisors held 78 U.S. stocks and had $6 billion in assets. Omega Advisors uses a value approach to investing.
New Purchases
During the second quarter, Omega purchased 4,632,837 shares of Kinder Morgan Inc (NYSE:KMI), at an average price of $34.47.
Leon Cooperman also initiated holdings in Atlas Energy LP (NYSE:ATLS), by purchasing 3,805,737 shares at the average price of $34.4. Atlas Energy LP (NYSE:ATLS) now contributes 2.6 percent of his total portfolio. Omega has another new holding in Express Scripts Holding Co, in which the hedge fund purchased 1,790,500 shares at $54.44 per share. The company is now owned by Medco Health Solutions Inc. (NYSE:MHS), so Cooperman likes owns MHS and bought Express as a special situation play.
The other two important purchases in April-June quarter were Watson Pharmaceuticals, Inc. (NYSE:WPI) and Humana Inc (NYSE:HUM) Leon Cooperman bought 938,300 shares of Watson Pharmaceuticals, Inc. (NYSE:WPI) at $70.59. He acquired 751,200 shares of Humana Inc (NYSE:HUM) at $81.94 per share.
Added Stocks
Apart from five new purchases, Omega Advisors increased its stake in four companies. It increased its holding in American International Group, Inc. (NYSE:AIG) by 213.1 percent, and the estimated average purchase price was $31.13. As of June 30, Omega held 4,586,900 shares in American International Group, Inc. (NYSE:AIG).
In Sirius XM Radio Inc(NASDAQ:SIRI) Radio, Leon Cooperman increased his holding by 1348.82%, and by the end of the second quarter he owned 58,532,503 shares in the company. Omega added to its holdings in the The Western Union Company(NYSE:WU) Company, increasing by 194.62 percent, thus now it owns 4,343,713 shares in The Western Union Company(NYSE:WU) Company. In Mcmoran Exploration Co (NYSE:MMR), Leon Cooperman owns 7,133,800 shares, an increase of 135.22 percent as of June 30, according to the SEC filing.
Reduced Holdings
During the three month period, Omega reduced its holding in The McGraw-Hill Companies, Inc. (NYSE:MHP) by 66.14 percent, and now it holds 865,300 shares in The McGraw-Hill Companies, Inc. (NYSE:MHP). The hedge fund also sold 1.43 million shares of JPMorgan Chase & Co. (NYSE:JPM), at an average price of $38.39, to bring down its holding in JPMorgan Chase & Co. (NYSE:JPM) by 64.39 percent. However, it still holds 790,764 shares inJPMorgan Chase & Co. (NYSE:JPM).
Leon Cooperman sold 1.31 million shares of Citigroup during the quarter. The money manager reduced his stake in CVS Caremark Corporation (NYSE:CVS)
by 68.42%. He sold the CVS Caremark Corporation (NYSE:CVS) shares at an average price of $38.39.
Exited Positions
Cooperman sold out his entire stake in Anadarko Petroleum Corporation (NYSE:APC), Seagate Technology PLC (NASDAQ:STX), Verisign, Inc. (NASDAQ:VRSN), and SPDR Gold Trust (NYSE:GLD). The hedge fund also sold its entire 6.5 million shares in Bank of America Corp (NYSE:BAC).
