Latest Transactions of Mohnish Pabrai Q1 2025

Highlights

Biggest Buys

1. Valaris plc (VAL) Pabrai Investment Funds initiated a significant new position in Valaris plc, acquiring 1,427,564 shares at an average purchase price of approximately $43 per share. Valaris is a global offshore drilling contractor providing services to the international oil and gas industry. This new investment suggests Pabrai sees substantial upside potential and a favorable risk-reward profile in the offshore drilling sector, possibly anticipating a cyclical recovery, undervaluation, or specific company catalysts.

2. Noble Corp. plc (NE) The firm also established a new major holding in Noble Corp. plc, purchasing 1,728,744 shares at an average purchase price of around $28 per share. Noble Corp. is another leading offshore drilling contractor. Opening a new, substantial position here alongside Valaris strongly indicates Pabrai's conviction in the broader offshore services industry, potentially viewing these companies as "Dhandho" opportunities with asymmetric payoff profiles.

3. Warrior Met Coal Inc. (HCC) Pabrai modestly increased his stake in Warrior Met Coal Inc. by 94,910 shares, representing a 5.57% increase, at an average purchase price of approximately $51 per share. Warrior Met Coal is a U.S.-based producer and exporter of metallurgical (met) coal for the global steel industry. This addition, though smaller than the new buys, reinforces his continued interest in specific commodity producers that fit his stringent value criteria and "heads I win, tails I don't lose much" framework.

Biggest Sells

1. Core Natural Resources Inc. (CNR) Pabrai Investment Funds sold 594,950 shares of Core Natural Resources Inc., completely liquidating its position, at an average selling price of approximately $82 per share. The exit from this natural resources holding indicates a realization of its investment thesis, a change in outlook for the specific resource or company, or a decision to reallocate capital towards what Pabrai perceives as more compelling current opportunities, such as the newly acquired offshore drillers.

2. Alpha Metallurgical Resources Inc. (AMR) The firm trimmed its holding in Alpha Metallurgical Resources Inc. by 72,635 shares, a 16.94% decrease, at an average selling price of around $165 per share. Alpha Metallurgical Resources is another prominent U.S. met coal producer. This reduction, while adding to a different coal producer (Warrior Met Coal), might suggest a preference shift between specific names in the sector, simple portfolio rebalancing after significant price appreciation, or taking some profits while maintaining exposure.

Mohnish Pabrai's Q1 2025 portfolio activity underscores a strong thematic move into offshore drilling (Valaris, Noble Corp.) and continued, albeit adjusted, interest in metallurgical coal (adding to Warrior Met Coal, trimming Alpha Met. Resources). The complete exit from Core Natural Resources frees up capital for these new, high-conviction 'Dhandho'-style bets. These transactions are typical of Pabrai's deep value and often contrarian investment approach, frequently targeting out-of-favor industries with the potential for significant returns.

Overview

The information is provided for educational purposes only and does not constitute financial advice or recommendation and should not be considered as such. Do your own research.