Seth Klarman's value stock picks

What happened: Legendary value investor Seth Klarman, through his hedge fund Baupost Group, has been increasing his stakes in several companies, notably Willis Towers Watson (WTW), Eagle Materials (EXP), and Restaurant Brands International (QSR). As of 2026, these companies rank among his top value stock picks, with Baupost's stakes valued at $259,632,000, $169,134,000, and $597,208,000, respectively. Additionally, Klarman has taken a stake in Norwegian Cruise Line Holdings (NCLH), valued at $67,881,000.

Market impact: Klarman's investments suggest a renewed interest in value stocks, particularly in sectors like insurance, construction materials, and hospitality. His moves could influence other value-oriented investors, potentially driving up share prices in these companies. However, the broader market impact may be limited, as Klarman's picks span diverse sectors and do not indicate a broad market trend.

What to watch next: Upcoming earnings reports from these companies (WTW on May 3, EXP on May 4, QSR on May 10, and NCLH on May 11) will provide insights into their operational performance and Klarman's investment thesis. Additionally, any changes in Baupost's holdings in these companies, as reported in future SEC filings, will offer updates on Klarman's conviction in these value picks.