Encompass Capital Advisors LLC Q3 2022 vs. Q4 2022: An In-Depth analysis of 13F Holdings Shifts

The end of the year is always an exciting time for traders as it brings a lot of change in the market. As we've reached Q4 2022, it's time to review the 13F holdings for the period and analyze the shift in holdings between Q3 and Q4. Encompass Capital Advisors LLC, a US-based hedge fund, has had a busy quarter with its holdings in different companies. In this article, we will be discussing the various shifts that Encompass Capital Advisors LLC has made in its portfolio.

Encompass Capital Advisors LLC, founded in 2012, is based in Stamford, Connecticut, and manages around $2.8 billion in assets. It was founded by Todd J. Kantor, Sukhinder Singh Cassidy, and Malcolm Fairbairn. 13F filings are reports filed quarterly by institutional investment managers with at least $100 million in assets under management with the Securities and Exchange Commission (SEC). These filings require investment managers to disclose their equity holdings of publicly traded companies.

In Q3 2022, Encompass Capital Advisors LLC had a total value of holdings worth $878,346,000, with shares of QQQ, Invesco QQQ Trust being the top position with a total share of 970,000 and a value of $259,242,000. However, the fund's latest filing for Q4 2022 shows a remarkable shift in their holding positions. Encompass Capital Advisors LLC has reportedly sold its position in many companies, including Apple Inc's shares, which were worth $220,881,000 in Q3 2022. The fund also sold its positions in Cenovus Energy Inc, Ovintiv Inc, Union Pacific Corp, Murphy Oil Corp, Laredo Petroleum Inc, Peabody Energy Corp, Nucor Corp, Darling Ingredients Inc, and Nabors Industries Ltd.

New Fortress Energy Inc, a global leader in green hydrogen production and distribution, was one of the top-performing stocks held by Encompass Capital Advisors LLC. The fund increased its stake in the company, with shares rising from 1,679,699 to 3,106,540, and the share value rising by 79.5%. It also increased its shareholdings in Tidewater Inc New, with shares rising from 1,385,666 to 1,728,345, representing an increase of 111.8%.

On the other hand, Marathon Oil Corp saw the most significant decrease in Encompass Capital Advisors LLC's holdings, with the firm selling 24,448,312 of its shares, resulting in a loss of 45.6%. PDC Energy Inc also saw a decrease in holdings, with Encompass Capital Advisors LLC selling 142,563 shares, resulting in a loss of 7.8%.

In conclusion, Encompass Capital Advisors LLC's Q4 2022 filings show that the fund sold its positions in companies such as Apple Inc and Cenovus Energy Inc. However, it increased its shareholdings in companies such as New Fortress Energy Inc and Tidewater Inc New. Encompass Capital Advisors LLC's investment decisions reflect its focus on clean and renewable energy, in line with the global shift towards a more eco-friendly future.