Monish Pabrai, managing partner of Pabrai Investments reported six stock holdings worth $240, 562,000 during the second quarter of the fiscal year ending in June 30.
Gates Capital Management's ECF Value Funds have a fantastic track record. The funds (full-name Excess Cash Flow Value Funds), which invest in an event-driven equity and credit strategy, have produced a 12.6% annualised return over the past 26 years. The funds added 7.7% overall in the second half of 2022, outperforming the 3.4% return for Read More
The value hedge fund has 66.28 percent investments in the financials sector. Pabrai Investments also invested 18.34 percent, 7.77 percent, and 7.62 percent in the consumer discretionary, energy and materials sectors respectively.
Pabrai Investments current stock holdings in the financials sector include Bank of America Corp. (NYSE:BAK) 25.51 percent or 7,502,000 shares at $8.81 per share; Citi Group (NYSE:C) 20.60 percent or 1,807,510 share at ~$27.41 per share; and Goldman Sachs Group (NYSE:GS) 20.17 percent increase or 506,130 shares at ~$95.86 per share.
In the consumer discretionary sector, the company holds 2,237,000 shares of General Motors (NYSE:GM). Pabrai Investments bought its stakes in the car manufacturing company during the second quarter of 2012 at ~$19.72 per share.
During the second quarter of the current year, the hedge fund also bought its stakes in the energy sector after acquiring 1,005,000 shares of Chesapeake Energy Corp. (NYSE:CHK) at ~$18.60 per share. Dan Loeb, Mason Hawkins, and Carl Icahn are three other value investors with large stakes in the company.
The value fund also holds 1,840,100 shares of Horsehead Holding Corp. (Nasdaq:ZINC) at ~$9.96 per share, which represents the materials sector.
Pabrai Investments sold out its entire investments in Terex Corporation (NYSE:TEX) 2,214, 460 shares; Potash Corp. of Saskatchewan (NYSE:POT) 793,000 shares; Capital Source Inc. (NYSE:CSE) 2,162,900 shares and Pinnacle Airlines Corp. (OTC:PNCLQ) 1,964,185 shares.
The hedge fund suffered large losses from an airline stock. During the second quarter of 2007, Pabrai bought 1,378,538 shares of Pinnacle Airlines for more than $17 per share. He bought more shares of Pinnacle Airlines Corp. (OTC:PNCLQ) when its value started to decline. Pabrai investments started selling its shares in the airline company during the third quarter of 2009.
The hedge fund lost approximately 97.6 percent of its investments in the stock after the company filed for bankruptcy in April 2012. At that time, Pinnacle Airlines Corp. (OTC:PNCLQ) shares declined to 43 cents per share.