Billionaire Howard Marks’ Top 10 Stock Picks

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1. TORM plc (NASDAQ:TRMD)

Oaktree Capital Management’s Stake Value: $1.38 Billion

Number of Hedge Fund Holders: 25

TORM plc (NASDAQ:TRMD) is a shipping company that owns and operates a fleet of product tankers. It transports refined oil products, such as gasoline, jet fuel, kerosene, and naphtha. It also develops and produces advanced and green marine equipment. The stock was under immense pressure in 2024, dropping by about 42%.

The selloff came as the company struggled amidst complex dynamics in the global shipping industry characterized by fluctuating shipping demand and geopolitical tensions. However, as the year came to a close, TORM plc’s (NASDAQ:TRMD) fundamentals showed signs of improvement. TORM delivered strong financial results for its third quarter. Time charter equivalent earnings rose to $263 million from $190 million the previous year.

Likewise, its time charter equivalent earnings for the first nine months of the year soared to $920.1 million compared to $817.4 million for the same period the previous year. Ton-mile demand related to clean petroleum products also showed signs of improvement, growing by 12% year-on-year. TORM also strengthened its competitive edge in the industry by acquiring eight second-hand 2014-15 built MR vessels. TORM plc (NASDAQ:TRMD) also continued its tradition of returning value to shareholders by declaring a $1.20 dividend. Likewise, it remains one of the top stocks for passive income, going by a 28.7% dividend yield.

While we acknowledge the potential of TORM plc (NASDAQ:TRMD) to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than TRMD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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