General Motors Company (GM), Taiwan Semiconductor Mfg. Co. Ltd. (TSM): The Legendary Richard Driehaus Is Bullish Here

Richard Driehaus is a legendary hedge fund manager with the motto: “Everyone wants to be rich, but few want to work for it.” The manager and founder of Driehaus Capital, Richar Driehaus entered the world of stocks at the age of just 13. Recently, Driehaus Capital filed its 13F form with the Securities and Exchange Commission, disclosing all of its equities as of the end of the second quarter.

Why should we pay attention to 13F filings of a hedge fund? The answer is simple: this gives us the possibility to see the hedge fund’s sentiment, which can lead to market-beating opportunities. As follows, let’s take a look at the top picks in terms of stake Richard Driehausvalue from the latest 13F filing of Driehaus Capital. Highlights from the list include LyondellBasell Industries NV (NYSE:LYB), Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM) and New Oriental Education & Tech Grp (ADR) (NYSE:EDU).

LyondellBasell Industries NV (NYSE:LYB) was a new company in Driehaus Capital’s equity portfolio. As of the end of the second quarter of 2013, Driehaus Capital disclosed ownership of over 540,000 shares of LyondellBasell Industries NV (NYSE:LYB), the value of the stake amounting $35.8 million. With this acquisition, Richard Driehaus joined Andreas Halvorsen of Viking Global, the manager of Millennium Management, Israel Englander, and Donald Chiboucis of Columbus Circle Investment among other “hedgies” that are bullish on LyondellBasell.

The next two positions from our list include Taiwan Semiconductor Mfg. Co. Ltd. (ADR) (NYSE:TSM) and New Oriental Education & Tech Grp (ADR) (NYSE:EDU), represented in Driehaus’ equity portfolio by 1.8 million and 1.4 million shares respectively. The hedge fund’s position in Taiwan Semiconductor increased by over 200,000 shares over the quarter, while New Oriental represents a new position. The value of the stakes amounts to $32.5 million and $31.4 million respectively. The stock of Taiwan Semiconductor has returned -7% since the beginning of the year, while New Oriental’s YTD return amounts to more than 18%.

In General Motors Company (NYSE:GM), Driehaus’ stake is valued at $24.9 million, and includes 746,845 shares. The stake remained unchanged since the end of the first quarter, with its value increasing from the previous value of $20.8 million. GM shares sport a year-to-date return above 21%, and a forward P/E of 7.8x with a PEG slightly above 0.7. There’s still obvious value here.

In fifth is CONN’S, Inc. (NASDAQ:CONN), in which the hedge fund disclosed a stake containing almost 416,000 shares. The value of the stake amounts to $21.5 million, up from the first-quarter value of $11.4 million, when Driehaus’ stake included 317,313 shares. Trading with a forward P.E of 12.4x, the stock of CONN’S, Inc. (NASDAQ:CONN) more than doubled since the beginning of the year, with its YTD return amounting to about 117%.

In total, the equity portfolio of Driehaus Capital includes over 400 positions and its market value amounts to about $2.82 billion, above the previous quarter’s value of $2.36 billion.

Recommended reading: Francis Chou’s Favorite Stocks Include Overstock.com, Inc. (OSTK) and Dell Inc. (DELL)

Disclosure: none

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

The 20 Biggest Contracts in MLB History

The 7 Worst Blown Calls in Sports History

7 Free Ways to Advertise Your Business Online

The 18 Best R&B Songs of the 90’s

The 10 Most Dangerous States to be a Cop

Subscribe

Enter your email:

Delivered by FeedBurner

X

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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!