Insight into Prem Watsa (Trades, Portfolio)'s Q4 2023 13F Filing Reveals Strategic Adjustments
Prem Watsa (Trades, Portfolio), renowned for his conservative value investment philosophy and the founder of Fairfax Financial, has made notable changes to his investment portfolio in the fourth quarter of 2023. Watsa, often compared to Warren Buffett (Trades, Portfolio), is known for his strategic use of insurance float to fuel his investments. His latest 13F filing provides a window into the adjustments made during a period of market fluctuations and economic uncertainty.
Summary of New Buy
Prem Watsa (Trades, Portfolio)'s portfolio welcomed a new entrant in the fourth quarter:
- Franco-Nevada Corp (FNV, Financial) was the standout addition with 13,800 shares, representing 0.1% of the portfolio and a total value of $1.53 million.
Key Position Increases
Watsa's investment strategy included bolstering positions in existing holdings:
- Orla Mining Ltd (ORLA, Financial) saw a substantial increase of 6,588,541 shares, bringing the total to 37,697,191 shares. This move represents a 21.18% increase in share count and a 1.45% impact on the current portfolio, with a total value of $121.79 million.
- Canadian Pacific Kansas City Ltd (CP, Financial) also experienced growth with an additional 4,100 shares, resulting in a 27.33% increase in share count and a total value of $1.52 million.
Summary of Sold Out
The quarter also saw Watsa exiting positions in several companies:
- Activision Blizzard Inc (ATVI, Financial) was completely dissolved, with 27,800 shares liquidated, impacting the portfolio by -0.17%.
- Liberty TripAdvisor Holdings Inc (LTRPA, Financial) also saw a complete exit with 1,650,000 shares sold, causing a -0.05% impact on the portfolio.
Key Position Reduces
Reductions were made in several key holdings:
- Intel Corp (INTC, Financial) was reduced by 562,500 shares, leading to a -74.75% decrease in shares and a -1.3% impact on the portfolio. The stock traded at an average price of $40.62 during the quarter and has seen a 13.33% return over the past 3 months and a -13.78% year-to-date performance.
- Alphabet Inc (GOOGL, Financial) saw a reduction of 60,000 shares, amounting to a -17.93% decrease and a -0.51% impact on the portfolio. The stock's average trading price was $134.36 during the quarter, with a 9.87% return over the past 3 months and a 3.89% year-to-date return.
Portfolio Overview
As of the fourth quarter of 2023, Prem Watsa (Trades, Portfolio)'s portfolio is composed of 57 stocks. The top holdings are 24.46% in Occidental Petroleum Corp (OXY, Financial), 22.72% in Micron Technology Inc (MU, Financial), 11.26% in BlackBerry Ltd (BB, Financial), 11.22% in Kennedy-Wilson Holdings Inc (KW, Financial), and 8.29% in Orla Mining Ltd (ORLA, Financial). The investments are predominantly concentrated across 11 industries, showcasing a diverse yet focused approach to sector allocation.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
