Fairholme Funds

[OracleofCarolina]

conference call was today, interesting hour, the archive should be up on their site soon

 

Anyone else listen?

[aschartz]

Same old Bruce talking about free cash flow.  I really appreciate his candor and transparency of the funds operations.  I also like how Bruce is putting every penny of his net worth in the fund. 

 

I’m wondering if he is getting tired of talking about his large SHLD position.  I really like how he breaks down his rational for brands, real estate value, Eddie, FCF, and that he believes SHLD is selling considerable under liquidation value. 

 

I found it a little funny how he didn’t want to talk about MWA especially at these prices.

 

I sleep well at night with Bruce at the helm.

 

[Josh4580]

Not yet posted to his website...any way I can hear a replay?

 

Thanks

 

[jch548]

I know Berkowitz likes a couple of health insurers. Coventry Health Care, CVH is one he doesn't own or at least hasn't mentioned. I have been buying shares and added after their earnings release. The ended the year with over $400mm in excess cash and a net unrealized gain position in their portfolio. They hit a rough spot with thier Medical Loss Ratio creeped up a couple of qtrs ago. Still very profitable and working on increasing margins. Estimates are $2.60 for 2010. Put a twelve multiple on them and you get roughly a double. No balance sheet risk so I think its a pretty good value.

 

 

[BargainValueHunter]

Morningstar provides an updated, in-depth analysis of Fairholme and Bruce Berkowitz today.

 

http://finance.yahoo.com/news/Taking-Stock-Fairholme-ms-2450242474.html?x=0&l=1

 

Much has been written and said about Fairholme's (FAIRX) epic collapse in 2011. It's not without cause; the fund has fallen more than 27% this year and trails the S&P 500 Index by nearly 29 percentage points. Rattled shareholders have left the fund in droves. Investors have pulled an estimated $6.5 billion from the fund over the past eight months--which, along with market depreciation, has cut assets by more than 50% since its $20 billion February peak. Along the way, many have questioned manager Bruce Berkowitz's so-far disastrous move into financials stocks, which he built throughout 2010. More recently, critics point to former comanager Charlie Fernandez's Oct. 17 departure and the embarrassing Barron's expose that followed as evidence of further chaos.