Makaira Partners, LLC 13F holdings and portfolio analysis

Directly following the baseline means accepting an extremely top-heavy portfolio with concentrated sector bets and lagged 13F implementation. The top 5 holdings are 77.73% of the strategy and the top 10 are 100.0%, led by CHTR at 28.55%, DPZ at 12.86%, LAMR at 12.67%, BBWI at 12.29%, and CDW at 11.36%. Sector exposure is concentrated in Consumer Discretionary at 33.81%, Communication Services at 28.55%, Information Technology at 19.13%, and Real Estate at 12.67%. On top of that concentration, the baseline backtest still delivered negative alpha of -5.08 and max drawdown of -46.36%.

The recent baseline periods show a portfolio that can post selective wins but suffers damaging downside bursts. Positive examples include 2023-03-31, when the baseline returned 11.58% versus 7.90% for SPY, and 2024-12-31, when it gained 0.45% while SPY fell -3.63%, a 4.08-point excess return. But the trade-off is defined by severe misses: 2025-03-31 returned -14.71% versus +9.22% for SPY, a -23.93-point excess gap, and 2025-06-30 lost -14.40% versus +4.20% for SPY, another -18.60-point shortfall. Those large negative excess-return quarters help explain why the full-period alpha is still -5.08 despite occasional strong periods.

A user should inspect three things next: concentration, drawdown path, and benchmark-relative period dispersion. First, the baseline is highly concentrated, with top5 at 77.73% and top10 at 100.0%, so position-level risk matters more than usual. Second, the drawdown path matters because maxDrawdown is -46.36%, and the risk notes emphasize filing-lag implementation. Third, the quarterly period table shows wide swings in excess return, from +4.08 points in 2024-12-31 to -23.93 points in 2025-03-31, so the investor should decide whether that pattern fits their tolerance for uneven benchmark-relative performance.