Renowned investor Howard Marks recently submitted his 13F report for the second quarter of 2023, which concluded on June 30, 2023. Marks, co-founder of Oaktree Capital Management, is known for his value-oriented investment philosophy, focusing on distressed securities and high-yield bonds. His firm's portfolio for the quarter comprised 115 stocks, with a total value of $6.57 billion.
The top holdings in the portfolio were TRMD (19.71%), CHK (9.36%), and SBLK (7.02%).
Top Three Trades of the Quarter
The following were the most significant trades made by Marks during the quarter:
Garrett Motion Inc (NAS:GTXAP.PFD)
Marks completely sold out of his 68,834,814-share investment in NAS:GTXAP.PFD, which previously accounted for 7.59% of his portfolio. The shares were traded at an average price of $8.98 during the quarter. As of August 14, 2023, the stock was priced at $8.6, with a market cap of $0.00 million. Over the past year, the stock has returned 15.90%. GuruFocus rates the company's financial strength at 4 out of 10 and its profitability at 7 out of 10. The EV-to-Ebitda ratio stands at 5.13, and the price-sales ratio is 0.15.
Garrett Motion Inc (NAS:GTX)
During the quarter, Marks purchased 40,489,705 shares of NAS:GTX, bringing his total holding to 44,082,816 shares. This trade had a 4.67% impact on the equity portfolio. The stock was traded at an average price of $8.02 during the quarter. As of August 14, 2023, the stock was priced at $7.87, with a market cap of $2.04 billion. The stock has returned 11.56% over the past year. GuruFocus rates the company's financial strength at 4 out of 10 and its profitability at 7 out of 10. The EV-to-Ebitda ratio stands at 5.15, and the price-sales ratio is 0.15.
Eagle Bulk Shipping Inc (NYSE:EGLE)
Marks sold out of his 3,781,561-share investment in NYSE:EGLE, which previously accounted for 2.13% of his portfolio. The shares were traded at an average price of $44.17 during the quarter. As of August 14, 2023, the stock was priced at $45.085, with a market cap of $448.45 million. Over the past year, the stock has returned -11.40%. GuruFocus rates the company's financial strength at 5 out of 10 and its profitability at 4 out of 10. The stock's valuation metrics include a price-earnings ratio of 5.84, a price-book ratio of 0.69, a PEG ratio of 0.10, an EV-to-Ebitda ratio of 4.02, and a price-sales ratio of 1.28.
In conclusion, Howard Marks (Trades, Portfolio)' Q2 2023 13F filing reveals a dynamic investment strategy, with significant trades in Garrett Motion Inc and Eagle Bulk Shipping Inc. His portfolio's top holdings underscore his focus on value investing, with TRMD, CHK, and SBLK leading the pack. Investors and market watchers will undoubtedly be keen to see how these investments perform in the coming quarters.
