Abrams Capital Management, under the leadership of David Abrams, significantly expanded its portfolio to $6.17 billion during the third quarter of 2025. This growth reflects a disciplined, concentrated investment approach, with a select number of positions dominating the firm's holdings. The strategic allocations highlight a long-term vision, focusing on companies believed to offer substantial future value.
The firm's steadfast commitment to its core investments and strategic minor adjustments underscores a meticulous approach to capital deployment. This methodical strategy aims to leverage high-conviction plays while adapting to market dynamics through targeted, incremental shifts rather than broad overhauls, positioning the portfolio for sustained performance.
Strategic Portfolio Concentration and Key Holdings
David Abrams' Abrams Capital Management saw its 13F portfolio swell to an impressive $6.17 billion in the third quarter of 2025. This substantial valuation was distributed among just 12 holdings, indicating a highly concentrated investment strategy where top positions command a significant portion of the capital. This approach allows the firm to focus its resources and expertise on a select group of companies, aiming for high conviction in their long-term growth prospects rather than diversifying across numerous smaller stakes.
The quarter saw minimal changes in some key positions, reflecting a stable and deliberate investment philosophy. Loar Holdings (LOAR) continued to be the cornerstone of the portfolio, representing an substantial 42% of the total value. This high allocation signals strong confidence in Loar's future performance. Furthermore, there were minor increases in the firm's stakes in Lithia Motors (LAD) and Asbury Automotive (ABG), suggesting a continued positive outlook on the automotive retail sector. Other major holdings, including technology giants like Alphabet (GOOG) and Meta Platforms (META), along with Somnigroup Intl. (SGI) and Coupang (CPNG), were kept steady. This consistency across a range of sectors, from e-commerce to automotive and technology, reinforces Abrams Capital Management's commitment to a long-term, concentrated investment strategy focused on enduring value and growth.
Minor Adjustments and Enduring Investment Philosophy
Abrams Capital Management's portfolio reached $6.17 billion by the third quarter of 2025, reflecting a highly concentrated strategy with only 12 holdings. This approach underscores the firm's commitment to high-conviction investments rather than broad diversification. The most significant portion of the portfolio, 42%, remained invested in Loar Holdings (LOAR), highlighting its central role in the firm's investment strategy and strong belief in its future prospects.
The period also saw nuanced shifts in other key holdings. Minor increases were noted in Lithia Motors (LAD) and Asbury Automotive (ABG), indicating a continued positive outlook on these automotive sector investments. These incremental adjustments suggest a cautious but persistent approach to strengthening positions in favored sectors. Simultaneously, major technology and e-commerce companies such as Alphabet (GOOG), Somnigroup Intl. (SGI), Coupang (CPNG), and Meta Platforms (META) were maintained at their existing levels. This steadfastness across diverse industries, from specialized manufacturing to global digital platforms, reinforces Abrams Capital's foundational investment philosophy: a long-term, concentrated focus on a few high-quality companies, reflecting a strategic patience and an unwavering commitment to their chosen enterprises through varying market conditions.