Billionaire Leon Cooperman and Insiders Love These Five Stocks

In Ashland Inc (NYSE:ASH), insiders own over 17% of the company, while Cooperman’s fund increased its stake by 32% during the second quarter to 1.08 million shares. As of October 16, Omega’s stake in Ashland Inc amasses 2.3% of its portfolio and the firm is likely to maintain its bullish stance since it projects a growth rate of 15% for the next three-to-five years. At a forward P/E of 11.8, estimates by the investor suggest the stock is cheap, especially assuming that the specialty chemicals company lives up to its growth expectations. Overall, 38 funds from our database held stakes equal to around 9% of the company’s common stock at the end of June. Mario Gabelli, another value investor like Cooperman, is also bullish on Ashland Inc (NYSE:ASH). Gabelli disclosed holding 140,200 shares through Gabelli Funds and 99,483 shares through GAMCO Investors as of the end of June.

Sirius XM Holdings Inc. (NASDAQ:SIRI) ranks on the tenth spot in Omega’s portfolio as of October 16, but it is the company in this article in which insiders own the most shares. According to Thomson Reuters data, insiders hold nearly 60% of Sirius’ float. Meanwhile, Omega reported ownership of 47.54 million shares of Sirius XM Holdings as of June 30, down by 14% on the quarter, while at the conference call, it revealed that the stake represented 2.2% of its current portfolio assets. According to the investor, Sirius XM Holdings Inc.’s stock sports a 2016 forward P/E of 13.2, which is higher than many of his other top picks, but the projected growth rate of 17% is also one of the greatest. Aside from Cooperman, four other billionaire investors were bullish on Sirius XM Holdings Inc. (NASDAQ:SIRI) heading into the third quarter, including John Griffin, who held 54.90 million shares through his fund Blue Ridge Capital.

Finally, United Continental Holdings Inc (NYSE:UAL) ranks on the 12th spot in Omega’s portfolio, amassing 2% of its portfolio assets as of October 16. Omega disclosed holding 2.81 million shares of the airline operator in its most recent 13F filing. The stock is very cheap, trading at 3.4-times earnings, below the industry average of 9.5, while its forward P/E stands at 6.2. Similar to other airlines, United Continental has benefited from the decrease in crude prices, which dragged down jet fuel costs and as a result, allowed companies to become more competitive by lowering prices. However, due to its exposure to foreign markets, United Continental Holdings is also facing some currency headwinds due to a stronger U.S dollar. As a suggestion, we advise you to take a look at our compilation of the 11 most profitable airlines and see where United Continental Holdings Inc (NYSE:UAL) ranks among them. Most analysts rate the stock as a ‘Buy’ and the sentiment among other investors is also strong, as a total of 72 among those we track held over 15% of the company’s outstanding stock in aggregate at the end of June.

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