New York-based WCG Management was founded by Barry Wittlin in 2007. Previously, Wittlin worked at BofA Merrill Lynch as head of strategic risk trading for global markets and investment banking. He has a Bachelor of Arts degree in literature from Cornell University and an MBA from the Wharton School of the University of Pennsylvania.
In its latest 13F, WCG Management disclosed its equity positions held as at the end of March 31, 2014. The value of the fund’s equity portfolio totaled $259.3 million, up from $211.6 million reported in the previous quarter. From the WCG Management’s equity portfolio, we have picked the top five holdings, in term of value. The fund held long-term positions in these holdings as of the end of first quarter of 2014.
WCG Management is a big fan of Chevron Corporation (NYSE:CVX), in which it boosted its stake to 250,000 shares, worth $29.8 million, from 100,000 shares disclosed as at the end of 2014. The company is engaged in production and transportation of crude oil and natural gas; manufacturing and selling of petrochemical products; and generation of power and producing geothermal energy. It has a market cap of $235.6 billion and trades at P/E of 11.17. Chevron Corporation (NYSE:CVX) is one of 10 biggest oil companies in the world.
Canadian Pacific Railway Limited (USA) (NYSE:CP) is occupying the second position. The fund upped its stake in the railway company to 149,500 shares from 67,500 shares held previously. The value of the stake is $22.4 million. The company has a market cap of $26.9 billion. Bill Ackman’s Pershing Square disclosed ownership of 17.16 million shares of the company at the end of 2013.
In General Motors Company (NYSE:GM), WCG Management raised its stake to 435,988 shares, with a reported value of around $15 million. Previously, the fund held 277,662 shares of the company. In March 2014, Kyle Bass, founder and manager of the Dallas-based hedge fund, Hayman Advisors, said in an interview with CNBC’s Squawk on the Street that shares of General Motors Company (NYSE:GM) are undervalued and could hit a high $50 per share in the next 12 to 18 months, despite possible liability from ongoing probe over the 303 deaths as a result of air bag failure in some of GM’s models, calling it an “investment distraction”. Currently, the company’s stock trades at $33.77 per share. Warren Buffett is also bullish on the company, holding 40 million shares at the end of last year.
Crown Holdings Inc. (NYSE:CCK) is another valuable holding, in which the fund revealed a $14.6 million stake, which contains 327,475 shares. The position has been increased from 208,475 shares disclosed previously. Recently, Crown Holdings Inc. (NYSE: CCK) completed the acquisition of Mivisa Envases SAU, a Spanish manufacturer of two- and three-piece food cans and ends, in a deal valued at $1.2 billion.
WCG Management started a new position in American Airlines Group Inc (NASDAQ:AAL), owning 394,500 shares, with a reported value of $14.4 million. The airline company operates an average of nearly 6,700 flights per day to 339 destinations in 54 countries. For the first quarter of 2014, the company posted a record GAAP net profit of $480 million, compared to a net loss of $341 million in the same period in 2013, with EBITDA worth $730 million.
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