Prem Watsa Fairfax Financial Holdings
Prem Watsa is the founder and chairman of Fairfax Financial Holdings, a Canada-based insurance and investment company frequently compared to a Berkshire-style model. Fairfax combines underwriting operations with a value-oriented investment portfolio managed with a long-term horizon. Watsa is known for contrarian positioning, careful attention to insurance float, and candid annual letters.
Top Buys
| Rank | Stock | Value |
|---|---|---|
| 1 |
CTB
Cooper Tire & Rubber Co.
CTB
|
+$2.04M |
| 2 |
RFP
Resolute Forest Products Inc.
RFP
|
+$1.2M |
| 3 |
Stride
LRN
|
+$1.06M |
| 4 |
RUE
RUE21 INC COM STK (DE)
RUE
|
+$869K |
| 5 |
ONXX
ONYX PHARMACEUTICALS INC
ONXX
|
+$570K |
Top Sells
| Rank | Stock | Value |
|---|---|---|
| 1 |
Johnson & Johnson
JNJ
|
+$267M |
| 2 |
LVLT
Level 3 Communications Inc
LVLT
|
+$255M |
| 3 |
DELL
DELL INC
DELL
|
+$115M |
| 4 |
US Bancorp
USB
|
+$107M |
| 5 |
Wells Fargo
WFC
|
+$53.5M |
Sector Composition
| Rank | Sector | Weight |
|---|---|---|
| 1 | Technology | 25.77% |
| 2 | Materials | 24.15% |
| 3 | Energy | 16.53% |
| 4 | Healthcare | 16.46% |
| 5 | Consumer Discretionary | 6.05% |
| Name | Market Value | Portfolio Weight | Shares or Principal |
Change in Stake | Capital Flow | |
|---|---|---|---|---|---|---|
26
Merck
MRK
$376B
| $571K | 0.04% |
12,576
| – | – |
|
|
ONXX
27
DELISTED
ONYX PHARMACEUTICALS INC
ONXX
| $561K | 0.04% |
+4,500
| New | +$570K |
|
|
SPRD
28
DELISTED
SPREADTRUM COMMUNICATIONS INC ADS (CAYMAN ISLANDS)
SPRD
| $502K | 0.03% |
+16,500
| New | +$488K |
|
|
HOLX
29
DELISTED
Hologic
HOLX
| $413K | 0.03% |
20,000
| – | – |
|
30
Patterson-UTI
PTEN
$4.71B
| $406K | 0.03% |
19,000
| – | – |
|
31
SLM Corp
SLM
$4.97B
| $374K | 0.02% |
41,970
-13,990
| -25% | -$122K |
|
32
MBIA
MBI
$250M
| $307K | 0.02% |
30,000
| – | – |
|
33
New Oriental
EDU
$8.88B
| $276K | 0.02% |
11,100
| – | – |
|
|
UPL
34
DELISTED
Ultra Petroleum Corp. Common Stock
UPL
| $276K | 0.02% |
13,400
| – | – |
|
|
NTP
35
DELISTED
Nam Tai Property Inc.
NTP
| $272K | 0.02% |
35,000
| – | – |
|
|
STL
36
DELISTED
Sterling Bancorp
STL
| $272K | 0.02% |
25,000
| – | – |
|
|
AIFU
37
AIFU Inc
AIFU
$110M
| $231K | 0.01% |
113
| – | – |
|
38
IBM
IBM
$222B
| $222K | 0.01% |
1,255
| – | – |
|
39
NewMarket
NEU
$8.62B
| $216K | 0.01% |
+750
| New | +$208K |
|
40
BP
BP
$115B
| $210K | 0.01% |
+6,113
| New | +$210K |
|
41
HP
HPQ
$27.2B
| – | – |
-20,699
| Closed | -$233K |
|
42
Ryanair
RYAAY
$28.9B
| – | – |
-462,881
| Closed | -$9.77M |
|
43
Walmart Inc
WMT
$825B
| – | – |
-660,000
| Closed | -$16.4M |
|
|
LVLT
44
DELISTED
Level 3 Communications Inc
LVLT
| – | – |
-12,071,803
| Closed | -$255M |
|
|
CITZ
45
DELISTED
CFS BANCORP INC
CITZ
| – | – |
-10,000
| Closed | -$107K |
|
Similar funds
Prem Watsa's Q3 2013 Portfolio in Review
As of Q3 2013, Prem Watsa held 47 positions worth $1.6B, down 36% from $2.48B the previous quarter. Its ten largest holdings account for 97% of the portfolio.
Prem Watsa withdrew a net $916M in Q3 2013, closing 5 positions and reducing 5 holdings. Its most notable exit was Level 3 Communications Inc, an estimated $255M position sold in full.
By sector, the portfolio is most concentrated in Technology at 26% of assets, up from 22% a quarter earlier, followed by Materials and Energy.
Against the trend, Prem Watsa opened a new position in Stride worth $1.02M.
- Prem Watsa's largest Q3 2013 buy was Stride: 33,133 shares worth $1.02M.
- Prem Watsa added most to Cooper Tire & Rubber Co. in Q3 2013, an estimated $2.04M increase.
- Prem Watsa's biggest Q3 2013 reduction was Johnson & Johnson, cutting an estimated $267M.
- Prem Watsa fully exited Level 3 Communications Inc in Q3 2013, selling an estimated $255M.
- Prem Watsa's ten largest holdings make up 97% of its $1.6B portfolio in Q3 2013.
- Prem Watsa opened 6 new positions and closed 5 in Q3 2013.
- Prem Watsa's portfolio value fell 36% quarter-over-quarter to $1.6B.
Based on Fairfax Financial Holdings's 13F filing for Q3 2013, filed 14 Nov 2013.