All intelligent investing is value investing
- Charlie Munger
An invaluable source of information for value investors
Dataroma tracks portfolios of value oriented Superinvestors by meticulously extracting data from financial filings. The data is consolidated, categorized and presented in an easily accessible form. Many of the Superinvestors on this site are legendary value investors such as Warren Buffett, Seth Klarman, Bill Nygren, Bruce Berkowitz, and the Tweedy Browne team.
The information on this website can be an effective tool and a good starting point for finding investment opportunities in the stock market. However, it is important to bear in mind the following points:
The percentages reported only apply to the stock portions of portfolios. Cash and bond holdings are not included.
The share count data is retroactively split-adjusted.
The portfolio holdings are usually reported mid-quarter and show the investment schedule at the end of the previous quarter. The reported transactions could have taken place at any time during the quarter. It is therefore advisable to examine the stock chart of a security for the last several months to get an approximate idea of the transaction price. Value oriented portfolio managers tend to use major dips in stock prices to buy or add to positions. It is possible that a purchased security has had a significant run-up in price since the time of the transaction and no longer represents good value.
While a reported security purchase may be a good indicator of a manager's confidence in a stock, the opposite is not necessarily true with a stock sale. At times and especially during major market sell-offs, fund managers have to liquidate a portion of their portfolio to cater for fund holder redemptions. This is usually marked by an across-the-board reduction in their stock holdings. Or they may reluctantly reduce existing positions to fund purchasing of a security they feel offers more compelling value. As a general rule, buys are somewhat more significant than sells.
Superinvestors tracked on this site tend to be long term investors with time horizons of at least 3 years. Some, such as Warren Buffett, invest for the next decade and beyond. This, the so called time-horizon arbitrage, can be used as an advantage over the short term thinking, herd following 'investors' who constitute the stock market casino. It often takes years for a stock's intrinsic value to be realized. Frequent trading will likely lead to underperformance.
Many of the Superinvestors tracked, manage billions of dollars in assets, making small-cap investing impractical especially given their focused investing methodology. There is therefore a large-cap bias in the portfolios.
It is of utmost importance for users of this site to independently evaluate a security and not blindly follow the investment activities of the Superinvestors tracked.
Please also refer to our Terms of Service.