It was a volatile first quarter for the wider point of reference S&P 500 Index, which raised questions about high valuations and concerns about rates, although in the first quarter, which ended on March 31, it arrived just before the great sale induced by rates in April. In the first quarter, the S&P 500 fell approximately 4.6%.
Meanwhile, the coverage fund of the billionaire David Einhorn, Greenlight Capital, now known as DME Capital Management, generated a return of 8.2%, according to Reuters. In a letter to the shareholders seen by Reuters, Einhorn said that the fund became Bearish in February, worried about the policies of the Trump administration.
Where to invest $ 1,000 right now? Our analyst team just revealed what they think are the 10 best stocks to buy right now. Continue »
Einhorn said Greenlight turned to gold in the quarter and also put several short films against non -disseminated consumer companies. At the end of 2024, Einhorn’s fund owned 36 shares worth about $ 1.95 million. Here were the three largest stakes in Greenlight at the end of 2024.
By far, the largest position in the background, Einhorn helped found the housing builder Green brick partners (NYSE: GRBK). Einhorn was associated with the experienced real estate investor Jim Brickman during the great recession and formed a real estate capital fund called JBLG, which began to acquire cheap land and loans to experienced but distressed housing builders. The Housing Market was recovered around 2013, and then JBLG was made public through reverse capitalization in 2014 and became green brick.
Unlike many housing builders, Green Brick has a large number of land it builds. At the end of 2024, the company owned or controlled more than 37,800 lots. The green brick largely works in attractive housing markets in states with growing populations, such as Texas, Florida and Georgia.
Performance has been quite strong in recent years. In the fourth quarter, Green Brick closed a record of 1,019 units. Since 2020, the results have grown to an annual growth rate of 39% and has constantly generated high returns on assets and equity.
The action has increased more than 700% in the last five years and still quotes only 7 times the profits forward. It Housing Market It always faces uncertainty and outstanding rates can cause certain costs and material prices, potentially affecting the business. However, given the unique attributes of the company and its management team, Green Brick can keep in motion higher over time and recover the highest seen at the end of 2024.
Consol Energy is a coal producer of Pennsylvania who has several very productive mining operations in the northern basin of the Appalaqui. The company’s most prominent mining operation is the Pennsylvania Mining Complex, which includes three major underground mines that can produce approximately 28.5 million tonnes of coal a year.
Last year, Consol and Arch Resources announced that the two companies would make a merger of equals to form – Basic natural resources (NYSE: CNR)An agreement closed earlier this year. Arch also manages coal mines for the steel industry. The entity combined will possess 11 mines, ranging from metallurgical thermal coal to high heat. Metallurgical coal is used to make steel, while thermal coal is used to create electricity.
Core Natural Resources does a good part of business outside the United States in 2024, the company generated more than 10% of customer revenue in both China and India. The fare saga between the United States and China has probably contributed to the intense sale of shares this year, as China has imposed 15% of rates on coal imports in the country. This year, the shares drop 32%.
Given the fare concerns and the continuous displacement of coal, the company is undoubtedly confronted with the long -term headers that can move the investors away. But the Trump administration will certainly not prioritize initiatives to combat climate change, and it is not yet clear if the world can completely abandon energy with coal. Basic natural resources have been constantly profitable over the last three years and sells only 8 times the profits forward.
The great life insurance company and annuity Brighthouse Financial (NASDAQ: F) He has kept well this year, with his shares 9%. Einhorn may be thinking that this is a potential acquisition goal.
By 2024, Brighthouse struggled to get its risk -based capital proportion (RBC) in the 400% to 450% range, which is considered the least that investors liked to see in the industry. The RBC proportion essentially evaluates the theoretical capital needed to take on the risk of the insurer’s business.
Earlier this year, media reports began to appear, suggesting that management was looking Sell the businessor parts. In mid -March, analysts at Raymond James Brighthouse updated a strong purchase over merits that a sale or partial sale through creative alternatives could unlock a significant value of shareholders. In the meantime, Raymond James analysts thought that Brighthouse should collect capital to boost the capabilities that generate cash flows, which could demonstrate part of their strength for potential buyers.
Obviously, a lot of thesis at this time is based on some kind of acquisition. It can always be a risky strategy, but it can also lead to important benefits if they are successful. Brighthouse is probably one of these positions where you can take a smaller position but you don’t need to invest too much.
Before buying shares at Green Brick Partners, consider this:
It Motley Fool Stock Exchange Advisor The analyst team just identified what they think are the 10 best stocks For investors to buy now … and Green Brick Partners was not one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Think about when Netflix Made this list on December 17, 2004 … if you invested $ 1,000 at the time of our recommendation, you would have $ 594,046!* Or when Nvidia Made this list on April 15, 2005 … if you invested $ 1,000 at the time of our recommendation, would have 680,390 $!*
Now it’s worth noting Value AdvisorThe total average profitability is 872%: a market crushing performance compared to 160% For the S&P 500. Do not miss the most recent list of 10 Top, available when you join Value Advisor.
See 10 stocks »
*The Exchange Minister returns from April 21, 2025
Bram Berkowitz It has no position in any of the stocks mentioned. The Motley Fool has positions and recommends green brick members. The mold’s fool has a Outreach policy.
David Einhorn’s coverage fund crushed the securities market in the first quarter of 2025. Here is its three main stakes. was originally published by Motley Fool
