SEC Filing Summary: Form 13F-HR
Business Context and Reporting Period
Reporting Manager: Hennessy Advisors, Inc. (filing on behalf of Hennessy Funds)
Reporting Period: Quarter ended March 31, 2004
Filing Date: April 29, 2004
Location: Novato, CA
Signatory: Teresa M. Nilsen, Executive Vice President and Chief Financial Officer
This filing discloses the equity holdings of the institutional investment manager as of the end of the first quarter of 2004. The report covers 135 distinct security entries.
Key Financial Metrics
Total Portfolio Value: $1,298,466,000 (Reported in thousands)
Number of Holdings: 135
Top 5 Holdings by Market Value:
- William Lyon Homes: $28,771,000
- Louisiana-Pacific Corp: $26,027,000
- Pacificare Health Sys: $25,585,000
- Pilgrims Pride Corp: $24,850,000
- D R Horton Inc: $24,744,000
Voting Authority: The manager reports "Sole" voting authority for the vast majority of positions. A small number of positions (e.g., J.P. Morgan Chase, SBC Communications, Citigroup) include "Shared" voting authority.
Material Changes and Portfolio Composition
Comparison to Prior Period: The filing text does not provide data for the prior comparable period (December 31, 2003); therefore, material changes in holdings or value cannot be calculated from this document alone.
Sector Concentration: The portfolio shows significant exposure to the housing and construction sectors (William Lyon Homes, Louisiana-Pacific, D R Horton, Sierra Pacific Resources) and healthcare services (Pacificare, Sierra Health Services, Coventry Health Care).
Large Cap Exposure: The portfolio includes positions in major financial and industrial firms such as J.P. Morgan Chase, Citigroup, General Motors, and Exxon Mobil, though these represent smaller percentages of the total portfolio value compared to the top mid-cap holdings.
Guidance, Risks, and Contingencies
Guidance and Outlook: Form 13F filings are historical disclosures of holdings and do not contain management commentary, forward-looking guidance, or earnings outlooks.
Risks and Contingencies: No specific risk factors or contingencies are disclosed in this form. The filing is a statutory requirement for transparency regarding equity ownership.
Investor Verification Checklist
- Portfolio Concentration: Verify the impact of the top 5 holdings (approx. 13% of total value) on the fund's overall performance, particularly given the heavy weighting in housing-related stocks.
- Voting Rights: Confirm the extent of "Shared" voting authority in major financial holdings (e.g., J.P. Morgan, Citigroup) to understand potential governance limitations.
- Turnover Analysis: Compare this list against the Q4 2003 filing to determine the manager's trading activity and sector rotation strategy.
- Valuation Accuracy: Note that market values are reported in thousands; ensure calculations for total assets under management (AUM) reflect the full scale ($1.3 billion).