Seth Klarman Portfolio: Top 4 New Stock Picks in 2024

In this article will see top 4 stock picks of Seth Klarman from the first quarter of 2024. To see Klarman’s take on the current market situation and details on his returns, click: Seth Klarman 2024 Portfolio: Top New Stock Picks.

For this article, we chose stocks in which Seth Klarman opened new positions or increased his hold in the first quarter of 2024.

4. Herbalife Ltd. (NYSE:HLF)

Seth Klarman’s Stake Value: $22,561,000

Fitness supplements and nutritional products company Herbalife Ltd. (NYSE:HLF) got Seth Klarman’s attention in the fourth quarter of 2022, when the value investor bought two million shares of the company. In the fourth quarter, Baupost increased its position in Herbalife Ltd. (NYSE:HLF) by 20%, ending the quarter with a $22.6 million position in the company. Herbalife Ltd. (NYSE:HLF) shares have lost about 29% so far this year.

3. WESCO International, Inc. (NYSE:WCC)

Seth Klarman’s Stake Value: $35,236,000

WESCO International, Inc. (NYSE:WCC) provides electrical, power, security and logistics solutions. WESCO International, Inc. (NYSE:WCC) is up about 8% so far this year. Of the 933 hedge funds in Insider Monkey’s database, 39 hedge funds reported having stakes in the company. Seth Klarman opened a new position in WESCO International, Inc. (NYSE:WCC) during the first quarter, worth about $35.2 million.

Here is what Artisan Partners had to say about WESCO International, Inc. (NYSE:WCC) in its Q1 2024 investor letter:

“We ended our investment campaigns in Lululemon, WESCO International, Inc. (NYSE:WCC) and BJ’s Wholesale Club during the quarter. WESCO’s 2020 acquisition of Anixter made it the largest US electrical and data center distributor, further strengthening its brand and allowing the company to benefit from supply chain advantages. Our thesis was that the company would benefit from incremental spending increases due to multiple secular trends (energy transition, electrification, reshoring, etc.) while capturing cross-selling opportunities between the two customer bases. Since initiating the position, we have been disappointed in financial results and decided to exit it in favor of higher conviction beneficiaries of these secular trends.”