Insights from Polaris Global Value Fund's Latest 13F Filing
Bernard Horn (Trades, Portfolio), a seasoned investment manager with a career spanning over four decades, leads the Polaris Global Value Fund (PGVFX) with a philosophy centered on identifying mispriced stocks worldwide. The Boston-based firm, known for its extensive global and international investment track record, leverages market inefficiencies caused by investor behavior to target undervalued companies with strong sustainable free cash flow or assets. Horn's latest N-PORT filing for Q4 2023 reveals strategic portfolio adjustments reflective of this investment approach.
Summary of New Buys
Bernard Horn (Trades, Portfolio)'s portfolio welcomed two new stocks in the fourth quarter of 2023:
- Eni SpA (MIL:ENI, Financial) emerged as the most significant addition with 282,100 shares, constituting 1.16% of the portfolio and valued at €4.78 million.
- Sandoz Group AG (XSWX:SDZ, Financial) was the second major acquisition, comprising 10,840 shares, which represent roughly 0.08% of the portfolio, with a total value of CHF 348,770.
Key Position Increases
Horn also bolstered positions in seven stocks, with notable increases in:
- Sally Beauty Holdings Inc (SBH, Financial), where an additional 240,671 shares were purchased, bringing the total to 351,529 shares. This represents a substantial 217.1% increase in share count, impacting the portfolio by 0.77% and valued at $4.67 million.
- Cullen/Frost Bankers Inc (CFR, Financial) saw an addition of 22,700 shares, resulting in a 91.9% increase in share count and a total value of $5.14 million.
Summary of Sold Out Positions
The fourth quarter also saw Horn completely exit three holdings:
- Honda Motor Co Ltd (TSE:7267, Financial) was a significant exit, with all 559,500 shares sold, impacting the portfolio by -1.69%.
- Colony Bankcorp Inc (CBAN, Financial) was liquidated, with all 210,524 shares sold, causing a -0.57% impact on the portfolio.
Key Position Reductions
Reductions were made in 14 stocks, with the most significant being:
- Weichai Power Co Ltd (HKSE:02338, Financial) reduced by 816,000 shares, leading to a -22.47% decrease in shares and a -0.3% portfolio impact. The stock traded at an average price of HK$12.55 during the quarter and has returned 7.66% over the past three months and 18.56% year-to-date.
- Kia Corp (XKRX:000270, Financial) saw a reduction of 11,000 shares, a -13.56% decrease, and a -0.18% portfolio impact. The stock's average trading price was â‚©84,259.7 during the quarter, with returns of 39.13% over the past three months and 17.70% year-to-date.
Portfolio Overview
As of the fourth quarter of 2023, Bernard Horn (Trades, Portfolio)'s portfolio comprised 93 stocks. The top holdings included 2% in Publicis Groupe SA (XPAR:PUB, Financial), 1.72% in Allison Transmission Holdings Inc (ALSN, Financial), 1.63% in SK Hynix Inc (XKRX:000660, Financial), 1.55% in Microsoft Corp (MSFT, Financial), and 1.54% in Samsung Electronics Co Ltd (XKRX:005930, Financial). The investments span across all 11 industries, with a focus on Financial Services, Consumer Cyclical, Technology, Industrials, Healthcare, Basic Materials, Energy, Communication Services, Consumer Defensive, Utilities, and Real Estate.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
