Tom Gayner's Markel Buys ADM, BRK.A, SLB, WAG, GOOG Sells ITC and NSH [UPDATED]

Thomas S. Gayner- Markel Corporation (NYSE:MKL) Asset Management firm has made some of the best buys during the second fiscal quarter of the company in 2012, but not without a few not so good ones. This is an overview of the company’s portfolio and additions during the second quarter.

Tom Gayner's Markel Buys ADM, BRK.A, SLB, WAG, GOOG Sells ITC and NSH [UPDATED]

Markel Corporation (NYSE:MKL) company’s portfolio was valued at  $2,187,192,000 as of June 30th, 2012, with more than 101 stocks, very well diversified across different industries and sectors.

We also assess the weighted impact on the various additions to the company’s overall portfolio. Additionally, we also look at some of the stocks the company offloaded during the period, and what percentage of the overall portfolio they represented.

Markel Corporation (NYSE:MKL)’s biggest investment goes to Warren Buffet’s Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B), where it bought an additional 77 shares at a price of $124,945.22 per share,  for a total value of $9.62 million, to bring the total investment in the company to $134.566 million, or 6.15% of Gayner’s portfolio.

This is the company’s most expensive stock in its portfolio, and arguably the most expensive at the New York Stock Exchange. Indeed, Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) has just 1.65 million shares outstanding, with 1.27 million floated, and has a market cap of $209.35 billion.

Nonetheless, the biggest investments during the quarter went to Archer Daniels Midland Company (NYSE:ADM), after the company acquired 609,800 shares, at a price of $29.52 per share, with a value of more than $18 million, for 0.82 percentage change to the company’s portfolio.

Other major long positions for the company with regard to the overall portfolio went to Artio Global Investors Inc. (NYSE:ART), with nearly 4.3 million shares acquired during the quarter or 0.68 percentage of the overall portfolio value, Walgreen Co. (NYSE:WAG), 184,000 shares for a percentage change of 0.25 to the overall portfolio.

Additionally, the company bought 54,000 and 104,000 shares from Schlumberger Ltd (NYSE:SLB) and Oracle Corporation (NASDAQ:ORCL), for 0.16 and 0.14 percentage change,  respectively.

The Gayners’ were 100% short on ITC Holdings Corp (NYSE:ITC), Pool Corp (NASDAQ:POOL), and NuStar GP Holdings LLC (NYSE:NSH),  but the biggest percentage change on the overall portfolio, by shares short, came from Fidelity National Financial Inc. (NYSE:FNF) where the company sold 79.79% of its holding, to result in a 0.47 percentage change to its portfolio.

The company’s portfolio is dominated by investments in the financial sectors, with 37.76% already put in the sector, as of June 30th 2012, while the consumer sector, both discretionary and staples, has attracted 17.02% and 11.67% of Gayner’s investments, respectively commanding a total of 28.69% of the total portfolio.

The company has invested least, in the technology sector, at only 0.03%, justifying the reason why technology giants like Apple Inc.(NASDAQ:AAPL), Google Inc.(NASDAQ:GOOG), and Microsoft Corporation (NASDAQ:MSFT) are nowhere in the portfolio. Industrials, Consumer goods, and IT sectors have 10.2%, 5.84% and 5.13% respectively, while Health, Energy, Industrial Goods, Services, and Materials sectors have 4.55%, 4.51%, 1.66%, 1.23%, and 0.61% respectively.


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