SandRidge Energy Inc. (SD): Billionaire Leon Cooperman’s Small Cap Picks

Cooperman and his team maintained ownership of almost 14 million shares of KKR Financial Holdings LLC (NYSE:KFN), a $1.9 billion market cap investor in various classes of high yield debt- including corporate debt and distressed securities- as well as some equity investments. KKR Financial Holdings LLC (NYSE:KFN) is another high yield stock going by recent dividend policy, with a yield of 7.6%, though this is in turn due to the relative risk of its assets. Cobalt Capital Management, which is managed by Cooperman’s son Wayne Cooperman, was another major holder of the stock.

Acquisition target Mcmoran Exploration Co (NYSE:MMR), which is set to be purchased by large basic materials company Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX), was another of Omega’s favorite stocks. The acquisition- which diversifies Freeport-McMoRan into oil and gas- was criticized by most investors and the stock price suffered a substantial correction as a result. This is partly because the company is paying a large premium for Mcmoran Exploration Co (NYSE:MMR) (which had at one point been part of the same business) and a related oil company, but Cooperman has said that the deal will create shareholder value and he was buying shares of Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) in Q4.

Omega disclosed a position of 3.9 million shares in Atlas Energy LP (NYSE:ATLS), roughly even with what the fund had owned three months earlier. First Eagle Investment Management also owned Atlas Energy, with about 840,000 shares in its portfolio at the end of 2012 (find First Eagle’s favorite stocks). Atlas Energy LP (NYSE:ATLS) is an integrated producer, gatherer, and processor of natural gas, oil, and natural gas liquids with a market capitalization of $2.3 billion. We’d note that the stock price is very sensitive to market conditions, with a beta of 3.1. The dividend yield here is more modest than at Atlas Pipeline Partners, at 2.7%.

Disclosure: I own no shares of any stocks mentioned in this article.

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 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

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

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!