Last week, the Opportunity Equity strategy lost -2.19%, underperforming the S&P 500’s -0.49% decline (Exhibit 1). The strategy ended the week up 16.17% YTD, or 496 basis points behind the S&P 500.
Exhibit 1: Preliminary Performance of Opportunity Equity Strategy Versus S&P 500, Through 9/20/191
| Time Period | Opportunity Equity | S&P 500 |
| Last Week (9/13 - 9/20) | -2.19% | -0.49% |
| MTD | 6.62% | 2.36% |
| QTD | 0.93% | 2.19% |
| YTD | 16.17% | 21.13% |
| Inception (annualized since 6/26/00) | 6.78% | 5.87% |
Source: Bloomberg, Miller Value Partners
ADT Inc. (ADT) gained after presenting at the Goldman Sachs Conference during the week where they mentioned they are contemplating a special dividend. Facebook Inc. (FB) crossed above the 100-day moving average. The company announced their cheaper Portal video chat device with a new model for TVs. comScore released their monthly mobile metrics for Facebook showing a 6% YoY increase in mobile unique visitors for the month of August. Pulte Group Inc. (PHM) gained as August housing starts were up 12.3% MoM to 1,364k with building permits up 7.7% MoM in August at 1,419k. Alibaba Group Holdings (BABA) gained over the week as investors waited for their 4th annual Investor Day to be held September 23-24. There was minimal news on Flexion Therapeutics (FLXN).
Exhibit 2: Significant Contributors to Performance, 9/13/19 - 9/20/19
| Name | Type | Return |
| Flexion Therapeutics | Equity | 7.0% |
| ADT Inc. | Equity | 2.7% |
| Facebook Inc. | Equity | 1.5% |
| Pulte Group Inc. | Equity | 1.5% |
| Alibaba Group Holdings | Equity | 2.0% |
Source: Miller Value Partners
American Airlines Group Inc. (AAL) fell below the 50-day moving average after a weekend attack on a Saudi Arabian oil facility caused an increase in the price of oil. Tivity Health Inc. (TVTY) crossed below the 50 and 100-day moving average. There was minimal news on Ziopharm Oncology (ZIOP), Endo International (ENDP), and NXP Semiconductors (NXPI).
Exhibit 3: Significant Detractors from Performance, 9/13/19 - 9/20/19
| Name | Type | Return |
| Ziopharm Oncology Inc. | Equity | -8.0% |
| Endo International | Equity | -10.5% |
| American Airlines Group Inc. | Equity | -6.5% |
| Tivity Health Inc. | Equity | -7.1% |
| NXP Semiconductors | Equity | -5.4% |
Source: Miller Value Partners
1The performance figures reflect the results of a representative account net of management fee and certain other expenses. For important additional information about Opportunity Equity performance, please click on the Opportunity Equity Composite Performance Disclosure. The performance returns shown in this report are preliminary and are subject to revision. Past performance is no guarantee of future results.
Significant Contributors and Significant Detractors are the Strategy holdings that had the greatest effect on Strategy performance for the week. Holdings that have been in the Strategy since the end of the most recent calendar quarter are identified by name. For information on how Contributor/Detractor data were calculated and a list showing the contribution to the Strategy's weekly performance of each investment held at such quarter end, contact us.
Any views expressed are subject to change at any time, and Miller Value Partners disclaims any responsibility to update such views. The information presented should not be considered a recommendation to purchase or sell any security and should not be relied upon as investment advice. It should not be assumed that any purchase or sale decisions will be profitable or will equal the performance of any security mentioned. Past performance is no guarantee of future results, and there is no guarantee dividends will be paid or continued. Content may not be reprinted, republished or used in any manner without written consent from Miller Value Partners.
©2019 Miller Value Partners, LLC
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