This is how the great activist Carl Icahn wants to return

Today I’d like to introduce you to the top three equity positions currently in the portfolio of Senior Investor Carl Icahn.

With a private fortune estimated at $25 billion USD (according to Bloomberg), Icahn is one of the richest players on Wall Street. Despite his 86-year-old age, the investor does not intend to retire.

His investment style is nothing but passive and conservative. Instead, Icahn is a shining example of a “raider company.” The fund manager earned his reputation as a feared investor in the 1970s and 1980s. He ruthlessly broke up the troubled airline TWA and made huge profits at the expense of employees.

He has remained true to his style. He usually buys minority shares and pushes for changes in management or in the strategic direction of the company.

Icahn currently manages about $22 billion with 17 positions and manages a highly focused portfolio.

His three largest holdings are as follows:

Icahn projects

Icahn Enterprises LP stock remains the largest position with a portfolio weighting of 70.3%. Icahn currently owns $15.5 billion worth of stock in the company. Icahn Enterprises is a holding company engaged in diversified businesses including asset management, real estate, mineral mining/trading and consumer products.

The holding company generated $2.94 billion in sales in the third quarter, down about 7% year-over-year. In the end there was a loss of $270 million on the company’s books.

CVR Energy

The second largest center, with a portfolio weight of 10.2%, is CVR Energy. Icahn currently owns a $2.33 billion stake in the company. This corresponds to 70.8% of all outstanding shares of the group.

CVR Energy is primarily engaged in petroleum refining and nitrogen fertilizer manufacturing. The company consists of two divisions: petroleum and nitrogen fertilizers. The Petroleum segment is an independent petroleum refinery and marketer of premium quality transport fuels. The Nitrogen Fertilizers segment produces and markets nitrogen fertilizers in the form of UAN and ammonia.

Recently, the company reported a 28% drop in sales to $2.24 billion. To sum up, CVR Energy’s net income was $130 million.

First Energy Company.

The third largest holding with a portfolio weight of 3.31% is FirstEnergy Corp. stock. Icahn currently owns a stake in the company worth approximately $760 million. This equates to 3.31% of all outstanding shares of the company.

First Energy Company. Generates, transmits, and sells electricity in the United States through its subsidiaries. The company owns and operates coal, nuclear, water, natural gas, wind and solar power plants. The group currently supplies about 6 million customers with electricity.

In the second quarter, FirstEnergy increased its revenue year over year to $3.00 billion from $2.88 billion. The end result was a net profit of $235 million on the company’s books. That was an increase of 25% over the prior year quarter.