Pzena Investment Management Q4 2025 13F Holdings and Activity Report

I. Institutional Overview

To understand Pzena’s psychological portrait as an investor, one must look past the raw numbers and into the philosophy of deep value. The firm’s scale—managing over $33 billion in equity assets—places it in a tier where liquidity and market impact are constant considerations. However, unlike many "mega-funds" that gravitate toward index-hugging or momentum-chasing, Pzena’s portfolio exhibits the hallmarks of a disciplined, research-driven value shop. The holding count of 156 suggests a balanced approach: it is diversified enough to mitigate idiosyncratic "value trap" risks across various sectors, yet concentrated enough in its top convictions (with the top 10 holdings representing a significant portion of the AUM) to drive meaningful alpha when the market eventually recognizes the intrinsic value of its picks.

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 25.12% weight in Financials is a massive bet on the backbone of the global economy. For a value manager, financials are often the hunting ground of choice because they frequently trade at low multiples of book value and earnings, especially during periods of interest rate uncertainty. Pzena’s holdings in Citigroup , Capital One , UBS , and Wells Fargo suggest a belief that the banking sector is either undervalued relative to its capital strength or that the interest rate environment will remain conducive to net interest margin (NIM) stability. This is an "optimistic cyclical" signal, indicating that the firm does not anticipate a systemic financial crisis in the near term.

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

Magna remains the undisputed "crown jewel" of Pzena’s portfolio with a 6.38% weight . As one of the world's largest automotive suppliers, Magna is a classic Pzena pick: a high-quality industrial giant that often trades at a discount due to the cyclical nature of the auto industry. The firm made a minor addition (+0.16%) this quarter, essentially maintaining its massive position.

The Top 10 holdings show a portfolio that is unafraid of pain . With several top positions showing significant negative PnL, Pzena is demonstrating the "patience of capital" that retail investors often lack. The sector distribution within the top 10 is balanced across Industrials, Tech, Retail, Healthcare, and Finance, providing a diversified base that can withstand various economic shocks while waiting for individual company turnarounds to materialize.

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

Where did the money come from? As we will see in Section V, Pzena recouped significant capital from Citigroup , Medtronic , and TE Connectivity . This represents a "Strategy Rotation" : moving away from companies that have already seen a valuation recovery (or where the thesis has stalled) and into "deep value" names like PPG and Baxter where the potential for a massive "mean reversion" is higher.

These additions have increased the "offensiveness" of the portfolio. While Pzena is a value manager, adding to names like PPG and ACN increases the portfolio’s sensitivity to an economic upturn. However, because they are buying these names at (presumably) low multiples, the "margin of safety" remains the guiding principle. This is not "chasing growth"; it is "buying growth at a deep discount."

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 data clearly shows a capital loop: This is the hallmark of an active value manager. They are not passive holders; they are constantly recycling capital into the areas of the market with the highest "margin of safety" and the most significant "dislocation" between price and value.

The reduction in Delta Air Lines (DAL) and Dollar General (DG) suggests a growing caution regarding the lower-to-middle income consumer . While Pzena isn't abandoning these names, the paring back suggests they recognize that the "consumer recovery" thesis is facing stiffer-than-expected headwinds from persistent inflation and high interest rates.

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

The Logic Chain is Clear : 1. Identify Dislocation : Pzena sees a massive disconnect between the fundamental value of "essential" healthcare and industrial companies and their current stock prices. 2. Harvest Gains : They are using the capital from successful "value recoveries" to fund these new distressed bets. 3. Focus on Implementation : In the technology sector, they are pivoting away from "speculative growth" and toward "implementation services" (Amdocs, Accenture), betting that the real value of the AI revolution will be captured by the companies that help the global economy integrate it.

Reference Value for Investors : For the individual investor, Pzena’s moves offer a masterclass in emotional discipline . The willingness to add 22% to a position (Baxter) that is down nearly 50% is something few retail investors can stomach. However, for those with a 3-to-5-year time horizon, Pzena’s "clustering" in Healthcare and IT Services provides a strong signal of where the next cycle’s winners may be hiding.

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.