Francois Rochon's Q4 2022 Portfolio Review: Top Holdings, Buys, and Sells

Francois Rochon, the portfolio manager of Giverny Capital Inc., recently released the firm's Q4 2022 portfolio, showcasing a reported value of $1.62 billion distributed among 66 stocks. This represents a significant increase from the firm's previous quarter, with the current position value rising from $1.48 billion to $1.62 billion.

A 13F form, which is a filing with the Securities and Exchange Commission (SEC) that must be submitted by institutional investment managers with more than $100 million in assets under management, was used to examine the portfolio. This form provides valuable insight into the investment strategies and positions of institutional investment managers, making it a useful tool for investors to gauge the performance of their portfolios.

The increase in value of Giverny Capital's portfolio is a testament to the successful investment strategies employed by Francois Rochon and his team. It is important to note that the stock market has been on an upward trend in recent months, with the major indices reaching all-time highs. However, the significant increase in the value of Giverny Capital's portfolio indicates that the firm's investments are outperforming the broader market.

One key aspect of Giverny Capital's investment strategy is a focus on undervalued companies with strong growth potential. The portfolio is diversified across various sectors, including technology, healthcare, consumer goods, and financials. This diversification helps to mitigate risk and ensures that the portfolio is not overly exposed to any one sector or company.

In addition to identifying undervalued companies, Giverny Capital also conducts extensive due diligence to ensure that its investments are aligned with the firm's values and principles. This includes a thorough analysis of the companies' financials, management teams, and growth prospects, as well as an assessment of their environmental, social, and governance (ESG) practices.

Francois Rochon's Top Holding in Q4 2022

• BRK-B (8.81% of portfolio) - Berkshire Hathaway Inc. is a multinational conglomerate holding company with a diverse range of businesses and investments, including insurance, retail, and manufacturing operations.
• AME (7.37% of portfolio) - AMETEK, Inc. is a manufacturer of electronic instruments and electromechanical devices with a focus on the aerospace and defense, medical, and industrial markets.
• FIVE (6.76% of portfolio) - Five Below, Inc. is a value-priced retailer that offers a range of products, including electronics, toys, games, and beauty supplies.
• MKL (6.63% of portfolio) - Markel Corporation is a holding company that specializes in underwriting insurance and reinsurance products, as well as managing investments.
• SCHW (6.4% of portfolio) - Charles Schwab Corporation is a financial services company that offers a range of investment products and services, including brokerage, banking, and retirement services.

Francois Rochon's Top Purchases in Q4 2022

• FIVE (added by 0.32%) - Five Below, Inc. is a value-priced retailer that offers a range of products, including electronics, toys, games, and beauty supplies.
• AME (added by 0.76%) - AMETEK, Inc. is a manufacturer of electronic instruments and electromechanical devices with a focus on the aerospace and defense, medical, and industrial markets.
• LULU (added by 83.22%) - Lululemon Athletica, Inc. is a yoga-inspired athletic apparel company that offers a range of products for both men and women.
• FBHS (added by 41.17%) - Fortune Brands Home & Security, Inc. is a manufacturer of home and security products, including cabinets, locks, and plumbing fixtures.
• SCHW (added by 1.16%) - Charles Schwab Corporation is a financial services company that offers a range of investment products and services, including brokerage, banking, and retirement services.

Francois Rochon's Top Sells in Q4 2022

• ICE (reduced by 96.17%) - Intercontinental Exchange, Inc. is a leading operator of global exchanges and clearing houses, providing a range of services for the trading of financial and commodity products.
• SSNC (reduced by 42.81%) - SS&C Technologies Holdings, Inc. is a provider of software and technology solutions for the financial services industry, including asset and wealth management, banking, and insurance.
• GOOG (reduced by 0.68%) - Alphabet Inc. is the parent company of Google, a leading provider of internet-related services and products, including search engines, online advertising, and cloud computing.
• EW (reduced by 0.94%) - Edwards Lifesciences Corporation is a medical device company that specializes in the development and commercialization of products for the treatment of heart disease, including heart valves and perfusion systems.
• SNBR (reduced by 1.55%) - Sleep Number Corporation is a provider of sleep solutions, including beds, bedding, and sleep technology, with a focus on personalized comfort and support for a better night's sleep.

It is clear that Francois Rochon and his team at Giverny Capital have a strong track record of delivering positive results for their clients. The firm's focus on undervalued companies with strong growth potential, combined with its rigorous due diligence process, sets it apart from many other investment managers.

In conclusion, the release of Giverny Capital's Q4 2022 portfolio showcases the firm's continued success in delivering strong returns for its clients. With a reported value of $1.62 billion and a focus on undervalued companies with strong growth potential, Giverny Capital's portfolio is one to watch in the coming months and years.