Omega Advisors Q4 2025 13F Holdings and Activity Report

I. Institutional Overview

The 13F filing for the fourth quarter of 2025 reveals a sophisticated and highly strategic period of transition for the portfolio managed by Leon Cooperman. With a reported portfolio value of approximately $3.014 billion and a concentrated selection of 40 stocks , Cooperman continues to exemplify the "high-conviction value" investment philosophy that has defined his career. Unlike many modern institutional managers who have succumbed to the pressure of "closet indexing" or over-diversification, Cooperman’s portfolio remains a testament to active management, characterized by deep fundamental research and a willingness to take massive, concentrated bets on specific business models and macroeconomic themes.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

II. Sector Allocation Analysis

The most immediate observation is the extreme concentration in the top two sectors: Financials and Industrials . Together, these two sectors account for 54.54% of the entire portfolio. This is a "barbell" strategy that focuses on the two engines of the American economy. The heavy weight in Financials (27.48%) is particularly noteworthy given the exit of COOP and the entry of RKT. It suggests that Cooperman views the financial sector not as a monolith, but as a collection of specific opportunities where he can exploit mispricings in credit, insurance (FIHL), and mortgage markets.

With 14.3% in Energy and 10.06% in Materials , Cooperman has allocated nearly a quarter of his capital to the "upstream" of the global economy. The Energy allocation is anchored by Energy Transfer LP (ET) , a midstream giant that provides consistent cash flow through distributions. This reflects a "yield-plus-growth" strategy. The Materials sector is dominated by MP Materials (MP) , the only major Western producer of rare earth materials. This is a strategic bet on the supply chain for electric vehicles and defense technology, showing that Cooperman’s value approach includes a keen eye for geopolitical and supply-chain necessity.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

III. Top 10 Holdings Deep Dive

The most significant move this quarter is the entry of Rocket Companies (RKT) as the #1 holding. This is a classic Cooperman "conviction buy." By allocating 13.5% of the portfolio to a brand-new position, Cooperman is making a definitive statement. Rocket Companies is the largest mortgage originator in the U.S., known for its "Rocket Mortgage" platform.

The Top 10 holdings reveal a portfolio that is heavily skewed toward mid-to-large cap value . There is a clear "infrastructure" theme (VRT, ET, MIR, MP) and a "specialized finance" theme (RKT, APO, FIHL). The portfolio is designed to capture upside from specific industry recoveries (mortgages, rare earths) while being anchored by high-cash-flow businesses. The lack of traditional "Big Tech" in the Top 10 is the most defining characteristic of Cooperman’s current logic—he is finding value in the sectors the rest of the market has overlooked.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

IV. Major Buys/Additions

In Q4 2025, Leon Cooperman’s buying activity was characterized by a "quality over quantity" approach. While he only made a few significant moves, the scale of the primary move (RKT) was massive, indicating a major strategic pivot.

These additions increase the "offensiveness" of the portfolio. RKT and STKL are higher-beta names than the exited COOP. However, the additions to KBR and OXY provide a counter-balance of industrial stability and commodity protection. Overall, Cooperman is positioning for a market where "stock picking" and "sector timing" will outperform broad index tracking.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

V. Major Sells and Exits

The most profound insight from the selling activity is the $603M cash-out from COOP being used to fund the $407M buy of RKT .

The exit from COOP and the reduction in OMF suggest that Cooperman is wary of "Interest Rate Sensitivity" and "Consumer Credit Quality." He is moving away from businesses that have already "peaked" in the current cycle and moving toward those that have been "punished" and are ready for a rebound. The risk he is avoiding is "valuation stagnation" in his long-term winners.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

VI. Investment Insights and Risk Warnings

Infrastructure as the "New Tech" : By maintaining a massive weight in Vertiv (VRT) and adding to KBR, Cooperman is defining "infrastructure" as his primary growth engine. He is avoiding the high-multiple software and consumer tech sectors in favor of companies that build the physical foundations of the digital and sustainable economy. This "Industrial-Tech" hybrid approach offers a unique way to play the AI and Green Energy themes without paying "bubble" valuations. 3. The Value of Patience and Conviction : The 2,000%+ gain on COOP is a masterclass in long-term investing. It serves as a reminder that in an era of high-frequency trading, "sitting on your hands" and letting a fundamental thesis play out over 7 years is often the most profitable strategy. 4. Concentrated Alpha : With 40 stocks and a heavy Top 10, Cooperman is proving that "diversification is protection against ignorance," and he clearly feels he is not ignorant of his core holdings. For retail investors, the lesson is to focus on your "best ideas" rather than spreading capital too thin across mediocre ones.

This section shows only part of the complete report. View the app for the full analysis, position-level detail, and quarter-over-quarter tracking.

Sources and limitations

This report uses public U.S. Securities and Exchange Commission Form 13F disclosures and structured data maintained by 13F Hub. A 13F filing is a quarter-end snapshot of reportable long positions, is normally published with a delay, and does not disclose every short position, cash balance, bond, derivative, or non-U.S. asset.

Narrative content is prepared from the same-period SEC disclosure and 13F Hub structured data, then checked before publication. This material is for research and education, not personalized investment advice.