Ric Dillon and Diamond Hill Capital’s Stock Picks for 2013

Page 1 of 2

Diamond Hill Capital, a fund managed by Ric Dillon and his team, has filed their 13F for the end of December. 13F filings disclose many of a fund’s long equity positions at the end of the quarter- meaning that while these stock picks are a little bit out of date, they are quite comprehensive and since they are filed at regular intervals they can be compared over time. Investors can then learn which stocks a fund manager likes and treat it as a free recommendation- review the stock further and buy it if they find that their own research agrees. Here are five of Diamond Hill’s largest stock holdings as of the beginning of 2013 (find more stocks the fund reported owning):

The fund’s top pick as of the beginning of January was Hartford Financial Services Group Inc (NYSE:HIG), with Diamond Hill adding about 1 million shares to its portfolio during the fourth quarter of 2012. Hartford is a property and casualty insurance company with a market cap of nearly $11 billion. That valuation places it at 8 times earnings estimates for this year and at about half the book value of its equity; between those two value metrics, we think it would be worthwhile learning more about the company. Billionaire John Paulson’s Paulson & Co. cut its stake in Hartford during the third quarter of 2012 but still closed September with almost 20 million shares in its portfolio (see Paulson’s stock picks).

Hartford logoDiamond Hill sold some shares of Occidental Petroleum Corporation (NYSE:OXY) but the oil and gas company remained one of the fund’s largest holdings. While the 2013 earnings multiple of 11 may seem low, it is actually relatively high compared to many other oil majors such as BP plc (NYSE:BP) and Chevron Corporation (NYSE:CVX). Net income at Occidental was down 22% in Q3 2012 versus a year earlier. D.E. Shaw, a large hedge fund managed by billionaire David Shaw, was another major shareholder at the end of September (check out D.E. Shaw’s favorite stocks).

Three more of Diamond Hill’s stock picks, including two megabanks:

Page 1 of 2
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 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

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

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!