Value investor Bill Miller bet on reopening last quarter after adding stakes in Expedia and United Airlines. Miller added a new organization in the Expedia travel name in the second quarter, according to a recent 13F filing. As of June 30, the investor held 616,700 shares totaling $58.5 million, according to InsiderScore. Stocks make up 3% of the portfolio. He also bought shares of United Airlines for the first time since exiting the stock after the second quarter of 2020, when flights were grounded because of the pandemic. Miller added 1.19 million shares worth about $42.1 million, representing 2.1% of the investor’s portfolio. The stock holdings signal Miller’s confidence in the summer reopening theme, as travelers scramble for airline tickets and hotel reservations despite flight delays and soaring prices. . Both companies said soaring travel demand boosted second-quarter results, although United faced a challenge from higher fuel prices. Expedia beat estimates in both revenue and profit, while United Airlines hit the milestone of returning to profitability for the first time without federal subsidies since the pandemic disrupted operations. firm’s business. Whether Miller holds these stocks in the current quarter is unknown, but both have rallied after a broader market rally since late June. Expedia’s shares have fallen 37% this year, but have since rebounded 19% in the calendar third quarter. The stock has outperformed the 13% gain in the S&P 500 over the same time period. Meanwhile, United Airlines is 11% lower this year, but is up 9% in the current quarter – a poor spike compared to the broader market index. The founder of Miller Value Partners built his reputation with market-beating returns in the 1990s and 2000s. Miller manages the Legg Mason Capital Management Value Trust, which outperformed the S&P 500 from 1991 to 2005. Miller also co-manages the Miller Opportunity Trust, a fund with approximately $2.1 billion in assets under management. According to Morningstar, the fund is down 22% this year, but over a 3-year period it has returned to 9% year-over-year. Other top holdings in the Miller Opportunity Trust include Chinese e-commerce company Alibaba, natural gas company Ovintiv and toy company Mattel.
