Baupost’s Seth Klarman cut his holdings in Amazon and Google-parent Alphabet dramatically last quarter, while picking up a few stocks in the volatile market, a new filing showed. The longtime value investor reduced his stakes in Alphabet and Amazon by nearly 60% each, according to Baupost’s latest 13F filing with the Securities and Exchange Commission. Klarman also exited his position in Intel last quarter. Alphabet and Intel had been among Baupost’s top 10 holdings at the end of the second quarter. Technology stocks have borne the brunt of this year’s market sell-off as rising rates dented the appeal of growth-oriented names. Amazon is down nearly 40% this year, while Alphabet has fallen 32%. Intel has tumbled 40% in 2022. Klarman, who has drawn comparisons to Warren Buffett for his disciplined and patient value style, did pick up a couple of new stocks during the quarter. He bought $54 million worth of car dealership company Lithia Motors , $47 million worth of Fidelity National Information Services as well as a $6 million bet on home health and hospice provider Enhabit . Lithia Motors was also favored by billionaire investor Leon Cooperman, who said earlier this month that plenty of individual stocks still offer value, but that the broad stock market benchmarks are growing stagnant. Lithia is down about 17% this year. Financial service provider Fidelity National Information has underperformed the market this year, losing more than 40%. The company missed profit and sales expectations in its third quarter, while issuing a cautious outlook on the possibility of a recession. Shares of Enhabit jumped more than 6% Tuesday. Enhabit was spun off from Encompass Health in July.
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