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John Brennan co-founded Sirios Capital Management in 1999, a Boston-based hedge fund that is named Sirios, Latin for the brightest star. The fund came into existence with $500 million capital. John Brennan graduated from University of Rhode Island College of Engineering in 1981. After working for a few years in General Electric management programs, he went to Stanford Business School and received his MBA in 1985. Prior to cofounding Sirios, John Brennan served as a senior vice president of MFS Investment Management, where he pulled MFS Capital Opportunities Fund from a 2-star ranking to a 5-star ranking, according to Morningstar’s criteria. John Brennan is also the president of the Hunt Street Fund, a charitable foundation that focuses on children’s welfare and education.

Below are the latest trading activities of Sirios Capital:

Security

Ticker

Value (x$1000)

Activity

Return

Keycorp New

KEY

$104,308

20%

-26%

Ford Motor Co Del

F

$102,707

1%

-27%

Fifth Third Bancorp

FITB

$97,635

29%

-23%

Bank Of America Corp

BAC

$91,034

35%

-36%

Comerica Inc

CMA

$85,172

115%

-35%

Nielsen Holdings Nv

NLSN

$59,888

14%

-9%

Goodrich Corp

GR

$52,379

46%

-12%

Apple Inc

AAPL

$47,409

-7%

12%

Universal Health Services

UHS

$46,268

-19%

-26%

Precision Castparts Corp

PCP

$46,143

-4%

-5%

Hasbro Inc

HAS

$42,756

91%

-17%

Jpmorgan Chase & Co

JPM

$40,102

-47%

-21%

Ameristar Casinos Inc

ASCA

$39,740

-3%

-30%

Clearwire Corp New

CLWR

$31,885

New

-30%

Kellogg Co

K

$29,490

New

-3%

Suntrust Banks Inc

STI

$28,115

-32%

-29%

Hershey Co

HSY

$21,124

New

0%

Kronos Worldwide Inc

KRO

$20,490

New

-35%

Campbell Soup Co

CPB

$14,844

New

-10%

Cabelas Inc

CAB

$13,856

New

-20%

John Brennan has been bullish for most of the securities he held in his 13F portfolio in the past quarter. He bought additional shares of companies such as Keycorp (NYSE:KEY), Fifth Third Bancorp (NASDAQ:FITB), Bank of America (NYSE:BAC), Comerica (NYSE:CMA), Goodrich (NYSE:GR), and Hasbro (NASDAQ:HAS). John Brennan also decided to trim his portfolio by selling JP Morgan (NYSE:JPM), SunTrust Bank (NYSE:STI), and Universal Health Services (NYSE:UHS).

John Brennan had more than 18% of his portfolio invested in Keycorp (KEY) and Ford (NYSE:F) on June 30th. Unluckily, both of these securities have more than 25% in value since the end of the second quarter. He increased his KEY shares by about 20%, buying up 2.1 million new shares, while he also showed a small uptick in F, buying 57K new shares. We estimate John Brennan’s loss from these two securities to exceed $50 million. Many other funds were bullish for KEY in the second quarter; Duke Buchan’s Hunter Global Investors bought 5.5 million new shares and invested 2.6% of its 13F portfolio while Martin Whitman’s Third Avenue Management increased its holdings by 6%. On the contrary, we see quite a number of funds being bearish for F and trimming their portfolios. Randall Smith’s Alden Global Capital trimmed its F holdings by 23% while Robert Bishop’s Impala Asset Management trimmed 28%. Hence, Robert Bishop also trimmed his F call options by 6%.

John Brennan got extremely bullish about Comerica in the second quarter, doubling his position by buying 1.3 million additional shares. Unfortunately, the stock lost 35% in value since the end of the second quarter. We estimate John Brennan’s loss from this particular security to be around $30 million. Israel Englander’s Millennium Management was another fund that, just like Sirios, doubled its CMA holdings in the second quarter.

John Brennan had an optimistic view of Hasbro (HAS) in the second quarter and increased his ownership by more than 90% in this particular security. Robert Millard seemed to think totally different than John Brennan as his Realm Partners trimmed its HAS holdings by almost 40%. HAS lost 17% in value since June 30th.

While John Brennan is disappointed with the additional shares he bought for his existing securities, he also is disappointed about the ones he sold. John Brennan trimmed his JPM shares by 47%. JPM lost 21% since the end of June. He also trimmed his AAPL shares by 7%, yet the stock gained 12% in value since June 30th.

John Brennan added some new securities into his portfolio too: He liked CLWR, K, HSY, KRO, CPB, and CAB. The only new security he made money out of is Hershey (NYSE:HSY) where the stock gained 0.1% since the end of June. Jim Simons has probably benefited most from this small increase in HSY, as it had doubled its long position in the security (see billionaire Jim Simons’ top stock picks).

Overall, John Brennan has been one of the fund managers who could not escape from the stampede in the marketplace as his 13F portfolio has lost more than 20% since the end of June. The stocks he picked could potentially beat the S&P 500 in the medium to long run.

Source: Sirios Capital Management And John Brennan's Stock Picks