John Paulson’s 13F filing for the quarter ending December 31st, 2010 values his fund’s common equity holdings at $27,693,669,000. As of March 15, 2011, this same portfolio is woth $27,459,509,704, a decline of 0.85% as compared to the S&P 500′s gain of 1.93%. Paulson has underperformed the market by about 2%.
The average size of his portfolio’s position at year-end was $329,686,536, its median was $118,904,000, and its largest position, in the SPDR Gold Trust (NYSE:GLD), was $4.3 billion.
Its skew of at 4.3, and kurtosis of 23, are more extreme than the market as a whole, and so the portfolio appears rather risky. Considering the risk in the portfolio, Paulson has underperformed. Presumably one should only take excess risk if one is certain to generate a superior return.
Following is a table detailing Paulson & Co’s common equity holdings at the end of 2010. Note that this does not include any warrants, preferred shares, or other financial securities that Paulson & Co. may use to hedge its exposure to the market.
|Company||Exchange:Ticker||$ Value at December 31, 2010||Number shares||Percentage of Portfolio||$ Value at March 15th, 2011||Percentage Return|
|Alberto Culver Co||(NYSE:ACV)||18,520,000||500,000||0.07%||18,605,000||0.46%|
|American Cap Ltd||(NASDAQ:ACAS)||330,561,000||43,725,000||1.19%||382,593,750||15.74%|
|Anadarko Pete Corp||(NYSE:APC)||1,620,514,000||21,277,761||5.85%||1,614,343,727||-0.38%|
|Anglogold Ashanti Ltd||(NYSE:AU)||2,015,941,000||40,949,437||7.28%||1,886,131,068||-6.44%|
|Apollo Group Inc||(NASDAQ:APOL)||53,304,000||1,349,800||0.19%||55,625,258||4.35%|
|Ashford Hospitality Tr||(NYSE:AHT)||28,950,000||3,000,000||0.10%||30,000,000||3.63%|
|Bank Of America Corp||(NYSE:BAC)||1,652,305,000||123,860,951||5.97%||1,729,098,876||4.65%|
|Baxter Intl Inc||(NYSE:BAX)||253,100,000||5,000,000||0.91%||256,200,000||1.22%|
|Beazer Homes Usa Inc||(NYSE:BZH)||31,262,000||5,800,000||0.11%||25,636,000||-18.00%|
|Barrick Gold Corp||(NYSE:ABX)||21,272,000||400,000||0.08%||19,692,000||-7.43%|
|Bmc Software Inc||(NASDAQ:BMC)||75,424,000||1,600,000||0.27%||77,168,000||2.31%|
|Boston Scientific Corp||(NYSE:BSX)||189,250,000||25,000,000||0.68%||177,000,000||-6.47%|
|Bucyrus Intl Inc New||(NASDAQ:BUCY)||89,400,000||1,000,000||0.32%||90,890,000||1.67%|
|Capital One Finl Corp||(NYSE:COF)||766,080,000||18,000,000||2.77%||919,800,000||20.07%|
|Cb Richard Ellis Group||(NYSE:CBG)||276,480,000||13,500,000||1.00%||350,325,000||26.71%|
|Cheniere Energy Inc||(AMEX:CQP)||15,589,000||2,824,085||0.06%||49,280,283||216.12%|
|Cit Group Inc||(NYSE:CIT)||157,367,000||3,341,134||0.57%||142,699,833||-9.32%|
|Cno Finl Group Inc||(NYSE:CNO)||165,805,000||24,455,000||0.60%||169,228,600||2.06%|
|Del Monte Foods Co||(NYSE:DLM)||360,020,000||19,150,000||1.30%||0||-100.00%|
|Dex One Corp||(NYSE:DEXO)||27,426,000||3,676,394||0.10%||15,624,675||-43.03%|
|Emergency Medical Svc||(NYSE:EMS)||47,920,000||741,680||0.17%||46,955,761||-2.01%|
|Felcor Lodging Tr Inc||(NYSE:FCH)||31,680,000||4,500,000||0.11%||29,070,000||-8.24%|
|First Horizon Natl Corp||(NYSE:FHN)||90,433,000||7,676,827||0.33%||85,519,853||-5.43%|
|Genon Energy Inc||(NYSE:GEN)||196,620,000||51,606,409||0.71%||197,136,482||0.26%|
|Gold Fields Ltd New||(NYSE:GFI)||436,027,000||24,050,000||1.57%||409,571,500||-6.07%|
|Hartford Finl Svcs Grp||(NYSE:HIG)||1,164,254,000||43,950,701||4.20%||1,125,137,946||-3.36%|
|Howard Hughes Corp||(NYSE:HHC)||119,408,000||2,194,201||0.43%||146,375,149||22.58%|
|Intl Paper Co||(NYSE:IP)||69,688,000||2,558,300||0.25%||65,927,391||-5.40%|
|International Tower Hill||(AMEX:THM)||50,935,000||5,000,000||0.18%||42,700,000||-16.17%|
|Jpmorgan Chase & Co||(NYSE:JPM)||212,100,000||5,000,000||0.77%||223,050,000||5.16%|
|Kinross Gold Corp||(NYSE:KGC)||369,318,000||19,478,794||1.33%||288,091,363||-21.99%|
|Liberty Media Corp||(NASDAQ:LINTA)||157,700,000||10,000,000||0.57%||155,800,000||-1.20%|
|Marshall & Ilsley Corp||(NYSE:MI)||96,880,000||14,000,000||0.35%||107,100,000||10.55%|
|Martek Biosciences Corp||(NASDAQ:MATK)||93,900,000||3,000,000||0.34%||94,470,000||0.61%|
|Mgm Resorts Intl||(NYSE:MGM)||650,430,000||43,800,000||2.35%||555,822,000||-14.55%|
|Northern Tr Corp||(NASDAQ:NTRS)||55,410,000||1,000,000||0.20%||49,780,000||-10.16%|
|Novagold Res Inc||(AMEX:NG)||287,995,000||20,181,818||1.04%||253,685,452||-11.91%|
|Pmi Group Inc||(NYSE:PMI)||16,500,000||5,000,000||0.06%||13,650,000||-17.27%|
|Quad / Graphics Inc||(NYSE:QUAD)||44,437,000||1,077,000||0.16%||45,772,500||3.01%|
|Quest Software Inc||(NASDAQ:QSFT)||36,062,000||1,300,000||0.13%||32,591,000||-9.63%|
|Ralcorp Hldgs Inc New||(NYSE:RAH)||19,425,000||298,800||0.07%||19,568,412||0.74%|
|Randgold Res Ltd||(NASDAQ:GOLD)||40,753,000||495,000||0.15%||35,872,650||-11.98%|
|Regions Financial Corp||(NYSE:RF)||135,406,000||19,343,700||0.49%||141,789,321||4.71%|
|Seagate Technology Plc||(NASDAQ:STX)||7,515,000||500,000||0.03%||6,505,000||-13.44%|
|Spdr Gold Trust||(NYSE:GLD)||4,369,680,000||31,500,000||15.78%||4,292,505,000||-1.77%|
|St Jude Med Inc||(NYSE:STJ)||7,268,000||170,000||0.03%||8,161,700||12.30%|
|State Str Corp||(NYSE:STT)||92,680,000||2,000,000||0.33%||85,460,000||-7.79%|
|Strategic Hotel & Resrt||(NYSE:BEE)||42,320,000||8,000,000||0.15%||48,000,000||13.42%|
|Sunstone Hotel Invs Inc||(NYSE:SHO)||51,650,000||5,000,000||0.19%||50,050,000||-3.10%|
|Suntrust Bks Inc||(NYSE:STI)||1,013,917,000||34,358,412||3.66%||976,122,485||-3.73%|
|Teradata Corp Del||(NYSE:TDC)||59,682,000||1,450,000||0.22%||69,832,000||17.01%|
|Vail Resorts Inc||(NYSE:MTN)||116,566,000||2,239,924||0.42%||109,509,884||-6.05%|
|Veeco Instrs Inc Del||(NASDAQ:VECO)||95,715,000||2,228,000||0.35%||106,988,560||11.78%|
|Walter Energy Inc||(NYSE:WLT)||127,840,000||1,000,000||0.46%||115,830,000||-9.39%|
|Wells Fargo & Co||(NYSE:WFC)||635,295,000||20,500,000||2.29%||661,535,000||4.13%|
|Wilmington Trust Corp||(NYSE:WL)||22,286,000||5,135,000||0.08%||22,594,000||1.38%|
|Xl Group Plc||(NYSE:XL)||187,116,000||8,575,425||0.68%||190,803,206||1.97%|
Interested in these companies? Below are ten companies from Paulson & Co’s 85-company portfolio common equity portfolio (arranged alphabetically). We will take a look at the remaining 75 companies during the next nine trading days.
- ABITIBIBOWATER INC (NYSE:ABH): AbitbiBowater, Inc. manfuactures newsprint, coated and uncoated groundwood papers, bleached kraft pulp, and lumber products. The Company owns and operates pulp and paper mills, a coating operation, and saw mills in North America. This company has returned 11% year-to-date. Its earnings per share in the last quarter were -$33.62, its net profit margin in the last quarter was -69.55%, its operating profit margin was -60.32%, and its return on average assets was -50.78%. One wonders what Paulson & Co. saw in this stock. Institutional investors, of which Paulson & Co. is one, own 61.73% of its outstanding shares, and the top ten institutions own 45.1% of its shares. No insider holds more than 5% of the shares. The largest shareholder is Hamblin Watsa Investment Counsel Ltd., with 13,234,217 shares, or 13.6% of the outstanding shares.
- AIRGAS INC (NYSE:ARG): Airgas, Inc. distributes industrial, medical and specialty gases and related equipment. The Company also produces and distributes liquid carbon dioxide and dry ice in the United States. Airgas’ integrated distribution network consists of branch locations, distribution centers, and outbound telemarketing operations. Its earnings per share in the last quarter was $2.66, its net profit margin in the last quarter was 5.4%, its operating profit margin was 10.48%, and its return on average assets was 4.62%. Institutional investors own 78.68% of the 84 million shares outstanding, and the top 10 institutional holders own 35.1% of the outstanding shares. The largest shareholder is Eton Park Capital Management, LLC, which owns 6,014,200 shares, or 7.1% of the total shares outstanding. Insiders with more than 5% ownership own 9.51% of the outstanding shares.
- ALCON INC (NYSE:ACL): Alcon, Inc., an eye care company, develops, manufactures, and markets pharmaceuticals, surgical equipment and devices, and contact lens care and other care products that treat conditions of they eye. Alcon sells its products throughout the world. Its earnings per share in the last quarter were $7.27, its net profit margin in the last quarter was 28.75%, its operating margin was 31.79%, and its return on average assets was 21.4%.
- ALBERTO CULVER CO (NYSE:ACV): Alberto-Culver Company manufactures, distributes, and markets personal care products in the US and internationally. The Company markets beauty care products, and sells beauty care brands to salons. The company also owns Beauty Supply stores. Its earnings per share in the last quarter were $1.65, its net profit margin was 11.78%, its operating margin was 17.84%, and its return on average assets was 9.93%. Institutional investors own 66.56% of the 103 million shares outstanding, of which the top 10 own 30.8%. Insiders with more than 5% ownership own 12.89% of the shares outstanding. The largest institutional shareholder is GAMCO Investors, Inc., which owns 4,984,747 shares, or 4.9% of the outstanding shares.
- AMERICAN CAP LTD (NASDAQ:ACAS): American Capital, Ltd., is an alternative asset manager. The Company, directly and through its global asset management business invests in employee and management buyouts, private equity buyouts, and early stage and mature private and public companies. American Capital provides debt and equity to fund growth, acquisitions, recapitalizations, and securitizations. Its earnings per share in the last quarter were $3.00, its net profit margin was 266.43%, its operating margin was 46.855, and its return on average assets was 25.35%. Institutional investors own 53.54% of its 341 million shares outstanding, of which the top 10 own 35.5% of the outstanding shares. Its largest shareholder is Paulson & Co., which own 43,725,000 shares, or 12.8% of the outstanding shares.
- ANADARKO PETE CORP (NYSE:APC): Anadarko Petroleum Corporation is an independent oil and gas exploration and production company with international operations. In the United States, the Company operates in Texas and surrounding states, the Rocky Mountain region, Alaska, and the Gulf of Mexico. Internationally, Anardarko has exploration and/or production operations in Africa, Asia, South America, and the Caribbean. Its earnings per share in the last quarter were $1.54, its net profit margin was 4.79%, its operating margin was 9.77%, and its return on average assets was 1.00%. Institutional investors own 81.91% of the 496 million shares outstanding, of which the top 10 own 35.7%. Its largest shareholder is Wellington Management Company, LLP, which owns 27,552,568 shares, or 5.6% of the outstanding shares.
- ANGLOGOLD ASHANTI LTD (NYSE:AU): AngoGold Ashanti Limited is a holding company for a group of companies which explore for and mine gold internationally. The Group has operations in the Vaal River and West Witwatersrand areas of South Africa as well as Namibia, Mali, Brazil, Argentina, Austrialia, Tanzania and the United States. Its earnings per share in the last quarter was $0.19, its net profit margin was 4.67%, its operating margin was 18.47%, and its return on average assets was 2.59%. Institutional investors own 44.71% of its 381 million shares outstanding, of which the top 10 own 35.4%. Insiders with more than 5% ownership own 45.33% of the outstanding shares.
- APOLLO GROUP INC (NASDAQ:APOL): Apollo Group, Inc. provides higher education programs for working adults. The Company provides educational programs and services at the high school, undergraduate, and graduate levels online and on-campus through subsidiaries. Its earnings per share in the last quarter were $3.76, its net profit margin was 17.81%, its operating margin was 30.89%, and its return on average assets was 27.16%. Institutional investors own 81.5% of the 143 million shares outstanding, of which the top 10 own 36.5%. Insiders with more than 5% ownership own 32.5% of the shares outstanding (note that at least one institutional investor must also be considered an insider in this company).
- ASHFORD HOSPITALITY TR (NYSE:AHT): Ashford Hospitality Trust is a self-advised real estate investment trust focusing on the lodging industry. The Company owns several hotel properties in primary, secondary, and resort markets throughout the United States. Its earnings per share for the last quarter were -$1.60, its net profit margin was -44.11%, its operating margin was -17.57%, and its return on average assets was -10.53%.