Goodhaven Buys Dell, Era, Staples: Dumps Jefferies, Morgan Stanley

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Goodhaven Capital Management’s 13f filing with the Securities and Exchange Commission (SEC) for the first quarter of 2013 showed that the market value of its total stockholdings increased from approximately $257.49 million to more than $346.62 million.

GoodHaven Logo

Larry Pitkowsky and Keith Trauner, former analysts, portfolio managers, and executives of Fairhome Capital Management established Goodhaven Capital Management in 2011. To demonstrate their commitment in generating high returns from the equities they recommend to their clients, Pitkowsky and Trauner use the tagline, “Our Money with Yours,” wherein they invest their personal net worth in the same stocks invested for their clients.

During the first quarter, the investment advisory firm purchased six new stocks, boosted its stockholdings in 14 companies, reduced its stake in one stock, and dumped its entire position in five equities. Goodhaven’s top 10 stockholdings account for 75.84 percent of its portfolio.

Goodhaven’s Top Five Stockholdings

Goodhaven’s five largest stockholdings in the first quarter of 2013 include Hewlett-Packard Company (NYSE:HPQ), which represents 16.22 percent of its portfolio, Spectrum Brands Holdings, Inc. (NYSE:SPB) at 11.45 percent, Leucadia National Corp. (NYSE:LUK) 10.18 percent, Walter Investment Management Corp (NYSE:WAC) 8.14 percent, and Microsoft Corporation (NASDAQ:MSFT) 7.14 percent.

Major New Positions

The six new equities bought by Goodhaven in the March quarter include 160,000 shares of Dell Inc. (NASDAQ:DELL) worth more than $2.2 million, 66,768 shares of Era Group Inc (NYSE:ERA) worth  over $1.4 million, and 1,072,230 shares of Staples, Inc (NASDAQ:SPLS) with approximately $14.38 million market value.

Goodhaven also purchased 70,000 shares of ProShares UltraShort Europe ETF (NYSEARCA:EPV) worth more than $1.7 million, and 52,727 shares of PowerShares DB 3X Inverse Govt Bond Futures ETN (NYSEARCA:JGBD) worth $928,523. It also acquired 35,200 shares of PowerShares DB Inverse Japanese Govt Bond Futures ETN (NYSEARCA:JGBS) with $672,727 market value.

Increased Positions

The investment advisory firm boosted its stake in Barrick Gold Corporation (NYSE:ABR) by 230,000 shares, Hewlett-Packard & Company (NYSE:HPQ) by 198,376 shares, Microsoft Corporation (NASDAQ:MSFT) by 170,720 shares, Sprint Nextel Corporation (NYSE:S) by 317,050 shares, and Leucadia National Corp (NYSE:LUK) by more than 1 million shares.

Goodhaven also increased its stockholdings in Sears Holdings Corp (NASDAQ:SHLD) by 41,200 shares, EXCO Resources by 391,300 shares, and Walter Investment Management Corp (NYSE:WAC) by 129,780 shares among others.

Sold out Stockholdings

Goodhaven sold out its entire stockholdings in Ace Limited (NYSE:ACE), American International Group Inc (NYSE:AIG), Jefferies Group LLC (NYSE:JEF), Morgan Stanley (NYSE:MS), and Quanex Building Products Corporation (NYSE:NX).

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