These 4 Stocks Were Just Bought by Baker Bros. Advisors, Clint Carlson, More

In a freshly-amended 13D filing, Carlson Capital reported owning 2.89 million shares of Forestar Group Inc. (NYSE:FOR), which make up 8.61% of the company’s outstanding shares. Clint Carlson’s investment firm owned 1.05 million shares of the company on September 30, as revealed by the fund’s 13F for the third quarter. The recent 13D also reveals that Carlson Capital initially invested in Forestar’s stock for investment purposes, with the belief that the stock represented an attractive investment opportunity at the time of purchase, “and not with the purpose nor with the effect of changing or influencing the control or management of the Issuer”. Nonetheless, the investment firm intends to engage in discussions with the company’s management, its Board and other shareholders, regarding “possible changes to the compositions of the Board of Directors”, and may also propose candidates for election to the company’s Board at its 2016 annual meeting of stockholders, so it appears Carlson Capital has had a change of heart regarding its investment.

Forestar Group operates as a real estate, and oil and gas company through three business segments: real estate, oil and gas, and other natural resources. The performance of all three business segments was weaker in 2015 compared to the prior year. Forestar Group Inc. (NYSE:FOR)’s revenue generated from the real estate segment reached $100.20 million for the nine months that ended September 30, down from $153.10 million reported a year earlier. Expectedly, the revenue generated from the other two segments was substantially lower in 2015, despite an increase in production volumes, mainly owing to lower oil and gas prices. A mere eight hedge funds tracked by Insider Monkey had stakes in the company at the end of the third quarter, amassing 15.30% of its shares. Jeffrey Bronchick’s Cove Street Capital holds 2.60 million shares of Forestar Group Inc. (NYSE:FOR) as of the end of the third quarter.

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