Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Billionaire Mason Hawkins’ Top Finance Stocks Are Loews Corporation (L), Aon plc (AON), And Everest Re Group Ltd. (RE)

Page 1 of 2

Southeastern Asset Management is a long-only value equity firm founded by Mason Hawkins in 1975. The investment firm focuses its strategy on in-depth research and a thorough decision-making process. The firm’s analysts quantitatively and qualitatively analyze companies, as they search for strong businesses with deeply discounted prices. Southeastern Asset Management has built a relatively concentrated public equity portfolio with a market value of $14.95 billion as of June 30. By rigorously analyzing the firm’s latest 13F filing with the SEC, we pinpointed its most valuable finance holdings as of June 30. Therefore, in the following article we’ll be discussing Mason Hawkins’ top finance stocks, which include these companies: Loews Corporation (NYSE:L), Aon plc (NYSE:AON), and Everest Re Group Ltd. (NYSE:RE).

01 Mason Hawkins

We track hedge funds and prominent investors because our research has shown that historically their stock picks delivered superior risk-adjusted returns. This is especially true in the small-cap space. The 50 most popular large-cap stocks among hedge funds had a monthly alpha of about 6 basis points per month between 1999 and 2012; however the 15 most popular small-cap stocks delivered a monthly alpha of 80 basis points during the same period. This means investors would have generated 10 percentage points of alpha per year simply by imitating hedge funds’ top 15 small-cap ideas. We have been tracking the performance of these stocks since the end of August 2012 in real time and these stocks beat the market by 60.4 percentage points (118% return vs. S&P 500’s 57.6% gain) over the last 35 months (see the details here).

Mason Hawkins
Mason Hawkins
Southeastern Asset Management

To begin with, Loews Corporation (NYSE:L) was the most valuable finance-related holding of Southeastern Asset Management at the end of the second quarter. The investment firm sold nearly 4.13 million shares of the company during the quarter, trimming its stake to 29.52 million shares valued at $1.14 billion. Loews has underperformed the industry it is operating in, losing nearly 12% year-to-date, whereas the finance sector lost 4.7% over the same period. The commercial property and casualty insurance company recently posted its financial results for the second quarter, reporting a 44% decline in its quarterly profit. Specifically, Loews posted earnings per share (EPS) of $0.46 on revenue of $3.59 billion for the quarter, compared to $0.70 per share on revenue of $3.59 billion reported a year ago. The company’s lower-than-expected results, which have put downward pressure on the stock, were mainly affected by the weak sales at its largest subsidiaries: insurance giant CNA Financial and drilling company Diamond Offshore. From the massive pool of hedge funds that we observe, Boykin Curry’s Eagle Capital Management is among the largest equity holders of Loews Corporation (NYSE:L), holding a 1.96 million-share stake.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!