- (1:00) - Learning Value Investing From A Fund Manager: Portfolio Philosophy
- (6:30) - A Life Changing Lunch With Warren Buffett
- (10:00) - Breaking Down Aquamarine Fund’s Current Positions
- (22:30) - Big Takeaways From Guy Spier: BAC, WFC, AXP, MA, MU, TWTR, GOOGL, MCO, RACE, SRG
- Podcast@Zacks.com
Welcome to Episode #241 of the Value Investor Podcast
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
This week, Tracey takes a look at value investor manager Guy Spier’s portfolio at Aquamarine Capital.
Spier famously won the annual Warren Buffett charity lunch in 2007, paying $660,000, which at that time was the highest ever paid. He attended the lunch for 3 ½ hours and has called it “life changing” in interviews.
He is value investor and holds a concentrated portfolio of just 12 stocks.
Following in Buffett’s Shadow
The largest holding in Spier’s Aquamarine Capital is Berkshire Hathaway BRK.B. He owns both the B shares and the A shares. It makes up 21% of the entire portfolio.
Bank of America BAC and American Express AXP are the two next largest positions, at 15.5% each.
Both of those companies can also be found in Berkshire Hathaway’s portfolio.
Technology Stocks on Sale
However, in the second quarter of 2020, when the global stock markets sold off on the coronavirus pandemic, Spier took the opportunity to jump in on some of the big cap technology names.
He bought small positions in both Twitter TWTR and Alphabet (NASDAQ:GOOGL) GOOGL.
Neither one would have been considered “classic” value stocks ala Buffett or Ben Graham (NYSE:GHM), even on the sell-off.
But they were “cheap” compared to their peers and historic valuations in their industries.
Twitter is up 85.5% and Alphabet has gained 68.6% over the last year versus the S&P 500’s gains of 34.5%.
What lessons can you take from Spier’s concentrated value portfolio?
Find out the answers on this week’s podcast.
[In full disclosure, Tracey owns shares of GOOGL in her personal portfolio.]
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Download Marijuana Moneymakers FREE >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Bank of America Corporation (NYSE:BAC): Free Stock Analysis Report
American Express Company (NYSE:AXP): Free Stock Analysis Report
Berkshire Hathaway Inc. (NYSE:BRKa) (BRK.B): Free Stock Analysis Report
Twitter, Inc. (TWTR): Free Stock Analysis Report
Alphabet Inc. (GOOGL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research