Redwood Capital Management Reveals New Position In StealthGas Inc. (GASS)


Jonathan Kolatch, the manager of Redwood Capital Management, has identified StealthGas Inc. (NASDAQ:GASS) as a good investment opportunity and has initiated a new position. According to a recent filing with the Securities and Exchange Commission, Redwood Capital Management has acquired a little over 2.14 million shares, which account for 5.4% of the company’s common stock.


James Dinan, the manager of York Capital Management, is also keeping an eye on StealthGas Inc. (NASDAQ:GASS), with his fund holding 1.5 million shares, according to it’s latest 13F filing. Hedge fund guru, Jim Simons is also betting on this stock and has increased his fund’s investment by 18% during the last quarter of 2013. As a result, Renaissance Technologies has reported ownership of approximately 1.17 million shares in its latest 13F report.

StealthGas Inc. (NASDAQ:GASS) is a provider of seaborne transportation of liquefied petroleum gas. So far this year the stock has been edging higher and has gained 7.5% to a current share price of 10.84; this gives the company a market cap of 223 million. The stock is traded at a trailing Price to Earnings (P/E) ratio of 14.xx, while the forward P/E ratio of 8.22 signals that analysts expect the company to work on its earnings muscles. StealthGas posted revenues of $32.0 million, a 4.5% year-over-year increase, and earnings per share of $0.17 for the three months ending December 31, 2013. Analysts expect the company to register revenues of 32.1 million and earnings of 0.2 per share for the first quarter of 2014.

Kolatch is a big fan of General Motors Company (NYSE:GM), having increased his fund’s stake in the company by 169% during the 2013 fourth quarter, taking it to 1.65 million shares. Warren Buffett also holds a massive stake in the company. Kolatch is also betting big on financial stocks, having both JPMorgan Chase & Co. (NYSE:JPM) and Citigroup Inc (NYSE:C) among his top equity positions.

Disclosure: none.

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