Established back in April 1997, Rima Senvest Management boasts an annualized return of 20% per year and has currently been on a wave, racking up a return of approximately 80% for 2013. The fund’s managers, Richard Mashaal and Brian Gonick, have set the goal of picking stocks that would double or triple in value over a period of one to three years. Although Rima Senvest’s volatility is 2.5 times higher than the market volatility, its returns are 5 times larger, according to Barron’s citing of BarclayHedge, a hedge fund data tracker. Approximately 37% of the fund’s equity portfolio consists of technology stocks, followed by financial (19%) and health care stocks (18%). The market value of the portfolio is estimated at 1.14 billion, slightly down from the 1.28 billion at the end of the first quarter. In this article, Rima Senvest’s top 3 stock holdings will be analyzed.
Top dog
Immersion Corporation (NASDAQ:IMMR) is Mashaal and Gonick’s new top holding, with Rima Senvest Management reporting no change to the position during the second quarter. According to the fund’s latest 13F filing, it continues to hold 5.41 million shares valued at approximately $68.8 million. Spencer M. Waxman thinks Immersion Corporation (NASDAQ:IMMR) is poised to go higher and has boosted his fund’s stake in the company by 24% during the same period of time. His fund, Shannon River Fund Management, holds 2.67 million shares valued at roughly $34 million. Chuck Royce is also keeping an eye on Immersion Corporation (NASDAQ:IMMR), with his fund, Royce & Associates, owning 805,600 shares worth $10.2 million.
Mashaal and Gonick are also heavily invested in Howard Hughes Corp (NYSE:HHC), but have decided to reduce their exposure to the stock. Rima Senvest has decreased its stake by 31% during Q2 and now holds approximately 414,200 shares worth in excess of $65.3 million. Howard Hughes Corp (NYSE:HHC) can also be found in the portfolio of the famous activist investor Bill Ackman. His fund, Pershing Square, owns approximately 3.57 million shares valued at $563 million. Murray Stahl, the manager of Horizon Asset Management, has also decided to trim his stake in Howard Hughes Corp (NYSE:HHC), leaving his fund with 5.36 million shares valued at $847 million.
Another important investment is Radware Ltd. (NASDAQ:RDWR), which accounts for 5.45% of Rima Senvest’s equity portfolio. During the previous quarter, Mashaal and Gonick have cut their exposure by 12% leaving their fund with roughly 3.7 million shares valued at $62.5 million. In its latest 13F filing, Cadian Capital, run by Eric Bannasch, has reported a 19% decrease in its holding of Radware Ltd. (NASDAQ:RDWR) to 2.93 million shares worth $49.5 million. James Dinan and his fund, York Capital Management, have also trimmed their investment in Radware Ltd. (NASDAQ:RDWR) and now hold 718,338 shares worth $12.1 million.
Disclosure: none.
