The most valuable position Wexford Capital held at the end of December 2018, was in Mammoth Energy Services Inc (NASDAQ:TUSK), an integrated oilfield service company, that provides a plethora of services related to the energy industry, such as directional drilling, pressure pumping, and infrastructure, to name a few. The fund’s position in the company included 21.99 million shares outstanding, which were worth $395.35 million, accounting for 33.72% of its entire portfolio. Mammoth Energy has a market cap of $943.01 million, and it is trading at a price-to-earnings ratio of 9.75. Over the last 12 months, the company’s stock lost 36.95%, and on March 8th it had a closing price of $20.75. In its last financial report for the Q3 of 2018, the company disclosed record net income of $69.5 million, or $1.54 per diluted share, compared to net loss of $801 million, and a loss per diluted share of $0.02 in the corresponding quarter of 2017. Its total revenue for the Q3 2018, amounted to $384.0 million, down by 28% from one quarter earlier, and up by 157% from the same quarter in 2017. At the beginning of January, Imperial Capital restated its Outperform rating on the stock with a price target of $40, while Tudor Pickering upgraded its rating on it to ‘Buy’ from ‘Hold’
Wexford Capital initiated the largest new position during the fourth quarter of 2018 in Colfax Corp (NYSE:CFX), which is a Fortune 500 company known for its innovations in science and technology. It was formed as a spinoff of an American conglomerate, Danaher Corporation. The fund purchased 1.24 million Colfax’ shares, which carried a value of $25.89 million, amassing 2.2% of its equity portfolio. For the three months ended December 31, 2018, Colfax disclosed net income from continuing operations of $43 million or $0.36 per diluted share, versus a loss of $1.53 per share in the same quarter of 2017. Its adjusted net income amounted to $81 million or $0.69 per share, compared to EPS of $0.45 for the same period in 2017. The company also reported its full-year 2018 net income which was of $169 million, or $1.40 per diluted share, versus a loss of $0.59 per share in 2017.
Recently, Colfax announced that it has completed the acquisition of a medical device company known for a plethora of products for rehabilitation and physical therapy, DJO Global. Colfax has a market cap of 3.25 billion, and it is trading at a price-to-earnings ratio of 23.78. Year-to-date, the company’s stock gained 25%, and on March 8th it had a closing price of $26.17. On February 22nd, Raymond James repeated its ‘Buy’ rating on the stock with a price target of $25.00, and about a week earlier Gabelli restated its ‘Buy’ rating as well.
Among the biggest positions the fund obtained during Q4 2018 were also those in Trinity Industries Inc (NYSE:TRN), whose 942,406 shares with a value of $19.4 million the fund purchased, and AerCap Holdings N.V. (NYSE:AER) in which the fund established $17.74 million worth a position, on the account of 447,921 shares.
Out of 90 stocks the fund said goodbye to during the fourth quarter of 2018, the biggest positions held in Barrick Gold Corp (NYSE:GOLD), Energy Transfer LP Unit (NYSE:ET), and Evergy Inc (NYSE:EVRG). Wexford Capital sold out 2.52 million Barrick Gold’s shares with a value of $27.89 million, 817,668 Energy Transfer’s shares, which carried a value of $18.2 million, and 330,777 shares of Evergy, which were valued at $18.17 million.
Disclosure: None
This article was originally published at Insider Monkey.
