Mohnish Pabrai’s Top Stock Picks

In its latest 13F, Dalal Street, managed by Mohnish Pabrai, disclosed its holdings for the fourth quarter of 2013. The value of the fund’s equity portfolio amounted to $543.92 million, down from $459.68 million in the third quarter.

Pabrai is an entrepreneur who later switched to money management, and his best investment ever was the $650,100 he paid for lunch with Warren Buffett. He doesn’t hide the fact that he is trying to monkey Warren Buffett’s investment style. He even set up the fee structure of his hedge fund the same way Warren Buffett did more than 50 years ago. He doesn’t charge any management fees and takes 25% of returns that are greater than a 6% threshold.

In this article, we will talk about the top five holdings in terms of value that Dalal Street has held at the end of the year.

The first position is represented by General Motors Company (NYSE:GM). The fund disclosed a $137.09 million stake held in the form of 5.93 million warrants that expire in 2019.

Bank of America Corp (NYSE:BAC) is the second largest holding, in which the fund owns 7.40 million shares, worth $115.23 million. The stake represents a slight decrease from 7.50 million shares disclosed at the end of the third quarter.

The third on the list is HORSEHEAD HOLDING CORP. (NASDAQ:ZINC). In the company, Dalal Street revealed holding 6.33 million shares, with a reported value of $102.66 million. The fund increased its stake Horsehead from 5.07 million shares held at the end of the third quarter.

In Chesapeake Energy Corporation (NYSE:CHK) the fund disclosed ownership of 3.27 million shares, worth around $88.70 million. The stake remained unchanged over the quarter.

The fifth-largest holding is represented by Citigroup Inc (NYSE:C), in which the fund holds 1.56 million shares. The number of shares remained unchanged over the quarter. However, the value of holding increased to $81.29 million in the fourth quarter from $75.68 million reported in the third quarter.

Disclosure: none

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