Insights into the Investment Strategy and Recent Adjustments of a Veteran Value Investor

Ronald Muhlenkamp (Trades, Portfolio), the seasoned founder and portfolio manager at Muhlenkamp & Company, Inc., has recently made notable changes to his investment portfolio according to the 13F filing for the third quarter of 2024. Known for his patient value investing approach, Muhlenkamp selects stocks based on strong financial metrics and holds them for an average of 10 years. His investment philosophy focuses on companies with robust balance sheets and a return on equity (ROE) of at least 15%, adjusting his strategy based on inflation and interest rate movements to optimize long-term gains.

Key Position Increases

Ronald Muhlenkamp (Trades, Portfolio) has increased his stakes in a total of 16 stocks during this quarter. Noteworthy adjustments include:

• Newmont Corp (NYSE:NEM) saw an addition of 1,751 shares, bringing the total to 281,302 shares. This change marks a 0.63% increase in share count and a 0.03% impact on the current portfolio, with a total value of $15,035,580.
• Royal Gold Inc (NASDAQ:RGLD) experienced an increase of 669 shares, resulting in a total of 86,749 shares. This adjustment represents a 0.78% increase in share count, with a total value of $12,170,930.

Summary of Sold Out Positions

Ronald Muhlenkamp (Trades, Portfolio) has completely exited one holding in the third quarter of 2024, as detailed below:

• Broadcom Inc (NASDAQ:AVGO): The sale of all 81,290 shares resulted in a -4.07% impact on the portfolio.

Key Position Reductions

Reductions were made in 9 stocks, with significant changes including:

• Kirby Corp (NYSE:KEX) was reduced by 24,200 shares, resulting in a -24.96% decrease in shares and a -0.9% impact on the portfolio. The stock traded at an average price of $119.27 during the quarter and has returned 10.20% over the past 3 months and 63.60% year-to-date.
• McKesson Corp (NYSE:MCK) saw a reduction of 29 shares, leading to a -0.08% reduction in shares and a -0.01% impact on the portfolio. The stock traded at an average price of $556.84 during the quarter and has returned 12.81% over the past 3 months and 34.57% year-to-date.

Portfolio Overview

As of the third quarter of 2024, Ronald Muhlenkamp (Trades, Portfolio)'s portfolio included 28 stocks. The top holdings were 6.01% in Rush Enterprises Inc (NASDAQ:RUSHA), 5.85% in McKesson Corp (NYSE:MCK), 5.85% in NMI Holdings Inc (NASDAQ:NMIH), 5.38% in Berkshire Hathaway Inc (NYSE:BRK.B), and 5.06% in EQT Corp (NYSE:EQT). The holdings are mainly concentrated in 8 of all the 11 industries: Financial Services, Energy, Industrials, Consumer Cyclical, Basic Materials, Technology, Healthcare, and Communication Services.

This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.