Billionaire Prem Watsa’s Top 15 Long-Term Stock Picks

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1. Kennedy-Wilson Holdings, Inc. (NYSE:KW)

Number of Hedge Fund Holders: 22 

Fairfax Financial Holdings’ Stake: $147.2 million 

Kennedy-Wilson Holdings, Inc. (NYSE:KW) operates as a real estate investment company. These key points underline why the company is a sound investment decision. The first compelling factor that makes this company a great investment choice is its ability to generate consistent cash flow from its core operations, which is essential for meeting obligations and distributing profits to stakeholders, as illustrated in the report of the third quarter of 2024. For instance, the estimated Annual NOI grew to $492 million, from $485 million in Q2-24, primarily driven by asset stabilizations and partially offset by non-core asset dispositions. Additionally, investment management fees grew by 39% in Q3-24, vs Q3-23, to $22 million, primarily as a result of increasing levels of recurring base management fees and originations from KW’s debt investment platform. Secondly, the company partnered with Canada Pension Plan Investment Board to launch a new single-family rental housing joint venture in the United Kingdom. CPP Investments will initially commit £500 million, with Kennedy Wilson committing £56 million. The JV will have an initial target of approximately £1 billion of asset value, including leverage, with the potential to commit further capital depending on market opportunities.

While we acknowledge the potential of Kennedy-Wilson Holdings, Inc. (NYSE:KW) as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a stock that is more promising than Kennedy-Wilson Holdings, Inc. (NYSE:KW) but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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