Top 5 Stocks in Bruce Berkowitz Portfolio

3. Commercial Metals Company (NYSE:CMC)

Number of shares as of March 31, 2023: 1,272,900
Share of Fairholme portfolio as of March 31, 2023: 5.14%
Number of Hedge Fund Holders: 22

Commercial Metals Company (NYSE:CMC) is the third largest stock in FAIRX’s portfolio by share of AUM. The fund first acquired the stock in Q2 2021 when it purchased 558,000 shares and kept increasing the stake to a peak of 2.38 million in Q3 2022. Most recently, the fund trimmed 43% of the shareholding, reducing the stake to 1.27 million shares in Q1 2023.

22 of the 943 hedge funds part of Insider Monkey’s research for this year’s first quarter had bought and owned Commercial Metals Company (NYSE:CMC)’s shares. Out of these, the firm’s largest shareholder is Bruce Berkowitz’s Fairholme (FAIRX) with investment more than $62.24 million.

ClearBridge Investments made the following comment about Commercial Metals Company (NYSE:CMC) in its Q4 2022 investor letter:

“Our holdings in the materials sector also benefited relative performance during the period. Commercial Metals Company (NYSE:CMC), a steel and metal manufacturer, was a top performer. The company exceeded analyst expectations for quarterly earnings on the back of strong fundamental drivers, which have been significantly bolstered by the prospect of further infrastructure spending by the government. We believe the company will be able to capitalize on this increased investment and generate longterm returns for the portfolio. Strong drivers for chemical manufacturer and distributor Olin also drove portfolio performance.”