Value investor Leon Cooperman, the founder of Omega Advisors, gave his favourite stock picks at the CNBC/Institutional Investor Delivering Alpha conference.
Cooperman has been presenting at the conference for three years now. This year, he’s not so optimistic.
“I’m not as optimistic about my list year as the market is fully valued,” he said, adding it had to do with his “view of the market.”
As a value investor, Cooperman says he tries to buy stocks with more growth.
“Buying something at the right price is half the game,” he said.
His picks for 2014 include Actavis (ACT), Citigroup (C), Thermo Fisher Scientific (TMO), Atlas Energy (ATLS), Gaming and Leisure Properties (GLPI), KKR & Co. LLP (KKR), Nordic American Offshore Ltd. (NAO), QEP Resources (QEP), Supervalu Inc. (SVU), Louis XIII Holdings (577 HK), Montise PLC (MONIF) and Sandridge Energy Inc (SD).
CNBC’s David Faber asked him about Citigroup. Cooperman said he thinks the economy is coming back.
Cooperman was also asked about Bank of America, which wasn’t on his list.
“I missed that one. I should have stepped into the same bathtub as Buffett,” he responded, referring to the time Warren Buffett said he got the idea to invest in BofA after taking a bath.
Last year, Cooperman presented 10 of his favourite stocks — Express Scripts (up 2.6%), Qualcomm (up 26%), Thermo Fisher Scientific (up 34%), Qualicorp (up 74%), Sandridge Energy (up 26%), Arbor Realty Trust (down 3%), Atlas Resource Partners(down 10%), Chimera Investment Corp (up 6%), THL Credit (down 12%), and KKR Financial Holdings (up 5%).On an equally weighted basis, his picks last year returned about 27%.
Here’s the slide with his stocks: