Lucas Capital Management’s Top Picks From The Latest 13F: Dorchester Minerals LP (DMLP), Whiting Petroleum Corp (WLL) & Others

Hedge funds and Institutional Investors are now filing their new 13F filings, disclosing their equity portfolios as at the end of Dec 31, 2013.  Scientific studies have found that retail investors, who are known to rely on the strategies which big hedge funds activities follow, are successful by nearly 18 percentage points in a year. However, the study also noted that, the success rate was achieved when the small investor remained invested in the strategy over a longer period.  In this piece we will focus on Lucas Capital Management, led by Russell Lucas.

In 13F filing Lucas Capital Management, disclosed its portfolio’s total value of $299.68 million, for the period ending Dec 31, 2013. The numbers show a flat growth, in comparison to the previous quarter equity portfolio of $293.13 million.We have, therefore, selected the five largest holdings – in terms of value – that Russell Lucas has held in his equity portfolio, at the end of last year.

Out of the top-five largest value holdings, the first on the list is Dorchester Minerals LP (NASDAQ:DMLP). Lucas Management has purchased some more shares during the fourth quarter, increasing the position to 530,767 shares, from the previous amount of 526,907 shares. The value of the stake increased to $13.79 million, from $12.59 million at the end of the third quarter.

During the fourth quarter of 2013, Dorchester distributed cash in the amount of $0.47 per common share, slightly up from $0.46 per share in the previous quarter.

Whiting Petroleum Corp (NYSE:WLL)

Second of the top-five companies on Lucas Management’s list includes Whiting Petroleum Corp (NYSE:WLL). The fund trimmed the position to nearly 173,600 shares, during the fourth quarter, from 186,100 million held earlier, the current value amounting to $10.74 million.

In December, Whiting Petroleum Corp (NYSE:WLL) offered to exchange all of its outstanding unregistered 5.750% Senior Notes due 2021, issued in September, for newer registered 5.750% Senior Notes, also due 2021. In September, 5.750% Senior Notes due 2021 were issued against the average principal amount of $800 million, as these were valid as per the Exchange Offer.

Whiting Petroleum Corp’s (NYSE:WLL) saw a total of 8.533 million barrels of oil/natural gas liquids (NGLs) production, of which 87%  were represented by crude products. Production increased by 12% to 92,750 BOE/d over the third quarter of 2012. Net Income in the third quarter was $204.1 million, a jump of 146% from $82.9 million in the third quarter of 2012.

Third on our top-five list is Pioneer Natural Resources (NYSE:PXD) with 55,100 shares, valued at $10.14 million, the stake being initiated in the fourth quarter of 2013. 

Recently, the company reported a production of 173 thousand barrels oil equivalent per day in the fourth quarter. The production was 6 MBOEPD lower than its estimated production, of which 5 MBOEPD of curtailment was attributed to severe winter weather in Texas. All the affected wells have now returned to their normal production. The remaining 1 MBOEPD of curtailment was due to facility freeze-ups in Pioneer’s Eagle Ford Shale, which has also returned to normal production.

Of the hedge funds we track, John H. Scully’s Spo Advisory Corp is the largest shareholder with 4.52 million shares in its equity portfolio.

Lucas Capital Management’s fourth-largest holding is Denbury Resources Inc. (NYSE:DNR) with a $7.72 million stake. The fund holds 469,594 shares, which is nearly double the quantity of 215,194 shares it held at the end of September.

Denbury Resources Inc. (NYSE:DNR)  initiated a share repurchase program, back in 2011, and, at the beginning of January, the Board approved to increase the amount by another $250 million, raising the previous value of $1.16 billion. Meanwhile, it had around $422 million worth of shares authorized to buy back by the end of last year. Denbury has spent $740 million for acquiring roughly 48 million common shares, at an average cost of $15.55 per share.

Other hedge funds, which held Denbury Resources Inc. (NYSE:DNR) shares in the latest round of 13F filings, include Mak Capital One, managed by Michael Kaufman, with an ownership of 2.51 million shares, followed by Wayne Cooperman’s Cobalt Capital Management, holding 1.10 million shares.

Lucas Management’s fifth most valuable holding is represented by Energy Transfer Equity, L.P. (NYSE:ETE). The stake was trimmed to  85,840 shares valued at $7.02 million, from 109,960 shares held at the end of the third quarter.

Energy Transfer Equity, L.P. (NYSE:ETE) has split its Partnership’s outstanding common units in two-for-one. Following the split, the Partnership has approximately 560 million ETE common units outstanding.

Mason Capital Management, led by Kenneth Mario Garschina is the largest shareholder of all the hedge funds we track, which holds 7.50 million shares, with a reported value of $492.95 million.

Disclosure: none

Recommended Readings:

Michael Novogratz and Insiders Are Bullish About These 4 Stocks

Leon Cooperman Talks Emerging Markets, 2014 Market Prediction

Luxor Capital Group Reveales New Position in BJ’s Restaurants, Inc. (BJRI)

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

6 Ways to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

The 10 Best Selling Items on Etsy

Top 10 Things to Do in Tokyo, the Greatest City in the World

10 Mistakes on Social Media that Can Harm You and Will Probably Get You Canned

The 10 Best Cities to Find Jobs in 2014

The 10 Most Controversial Songs Of All Time to Hit (and get Banned from) the Airwaves

The 20 Biggest IPOs in US History

The 10 Best Places to Visit in Mexico that Are Beautiful and Safe

7 Bad Habits that Age You Beyond Your Years

The 40 Best Fortune Cookie Sayings That Will Leave You Bemused, Befuddled, or Beguiled

10 Foods to Eat Before a Workout to Make Every Drop of Sweat Count

The 5 Best Documentaries On Netflix You Must See

The Most Heartwarming and Inspirational Story Of This Halloween Season, It Will Make You Cry and Jump For Joy

10 Best Party Songs of All Time to Bring the House Down With

5 New World Order Conspiracy Theories that Will Strangle the World

The 10 Highest Rated Movies of 2014

The 10 Largest Container Shipping Companies in the World

The 10 Largest Armies in the World: Who Should We Be Afraid Of?

Best Warren Buffett Quotes on Money You Need to Hear

The 10 Highest Suicide Rates by Profession

The 20 Most Underrated Movies of All Time

The 10 Fastest Growing Companies in America

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!