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Whitney Tilson’s T2 Partners is a value investing firm and, through 2010, it had always delivered. T2 Partners returned 177.1% cumulatively between its inception in 1999 and 2010, vs. the S&P 500’s 36.4% return for the same period. T2 partners lost nearly 25% in 2011. Tilson recently released a letter to investors in which he detailed his fund’s performance, outlining his largest losing positions and his top-performing ones.

All in all, T2 Partners’ top ten losing bets accounted for 21 percentage points of his fund’s losses last year. Tilson did have some winning stocks, but together its top ten “winning” stocks accounted for only 5 percentage points, falling short of hedging the fund’s losses. Here is a list of eight of Tilson’s top performing stocks.

1. J.C. Penney (NYSE:JCP): Gained 1.7%

T2 Partners had $7.39 million invested in JCP at the end of September after upping its stake in the company significantly during the third quarter. JCP has a $7.35 billion market cap and carries an analyst recommendation of 2.7 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $34.42 a share.

2. Dell, Inc. (NASDAQ:DELL): Gained 0.5%

Tilson’s T2 Partners had $15.17 million in DELL at the end of September after increasing its position in the company by +160% during the third quarter. DELL has a $28.42 billion market cap and carries an analyst recommendation of 2.3 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $15.82 a share.

3. SanDisk (NASDAQ:SNDK): Gained 0.4%

T2 initiated a new position in SNDK during the third quarter worth $1.61 million. SNDK has a $12.20 billion market cap and carries an analyst recommendation of 1.8 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $50.78 a share.

4. Kraft (KFT): Gained 0.4%

Tilson’s fund sold out of its holding in KFT during the third quarter. It had had $550,000 invested in the company at the end of June. KFT has a $67.17 billion market cap and carries an analyst recommendation of 1.8 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $38.02 a share. Warren Buffett had more than $3 billion in Kraft at the end of the third quarter.

5. AB-InBev (NYSE:BUD): Gained 0.3%

T2 ended the third quarter with over $4.90 million invested in BUD after decreasing its position in the company by -19%. BUD has a $98.15 billion market cap and carries an analyst recommendation of 1.6 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $61.13 a share.

6. Automatic Data Processing (NASDAQ:ADP): Gained 0.3%

T2 sold out of its position in ADP during the third quarter. The fund had $802,000 invested in the company at the end of June. ADP has a $26.71 billion market cap and carries an analyst recommendation of 2.4 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $54.66 a share.

7. Echostar (NASDAQ:SATS): Gained 0.2%

Tilson’s T2 Partners sold out of its position in SATS during the third quarter. The fund had had a $254,000 position in the company at the end of June. SATS has a $1.92 billion market cap and carries an analyst recommendation of 1.5 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $22.24 a share.

8. Wells Fargo (NYSE:WFC): Gained 0.2%

T2 had $2.82 million invested in WFC at the end of September after increasing its stake in the company by +217% during the third quarter. WFC has a $155.09 billion market cap and carries an analyst recommendation of 2.0 on a scale in which 1.0 means “Strong Buy” and 5.0 means “Sell.” It recently traded at $29.41 a share.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: Whitney Tilson's 8 Winners Of 2011