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EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stock Under $10 that he thinks could potentially double or triple in the next 6 to 12-months. See what he's trading today with a 14-day FREE pass.

Bell: Doug Kass's Lucrative Longs

This column originally appeared on Real Money at 12:00 p.m. EDT on May 1, 2013.

NEW YORK (Real Money) -- Our very own Doug Kass is gearing up for his trip to Omaha, Nebraska, for the annual shareholder meeting at Berkshire Hathaway (BRK.A)/ (BRK.B) on Saturday. While Doug prepares for his role as the "credentialed bear" at the meeting to question Warren Buffett on his strategies for the company, I decided to take a look at some of Doug's top investment ideas from his daily trading diary over on Real Money Pro. In this article, I dig into a group of three long ideas and why they worked.

First up is Ocwen (OCN). The company services high-risk mortgage loans. Doug reinitiated a long position in the stock on March 6, 2012 at $15.90. The impetus for the purchase was the improving liquidity position at Ocwen. The company announced plans to sell certain mortgage-servicing rights to Home Loan Servicing Solutions (HLSS), which would transform the company from a capital-intensive business to a capital-light model, essentially making it look more like a processing business going forward. The company raised $112 million on the deal (after paying down some debt) and planned to use the proceeds, along with income from operations, to pursue new business (with several portfolios on the market at the time).

Doug continued to buy the stock as it dipped around and below $15 before selling out of the name at around $25, his price target, on Aug. 21, 2012, for a 67% profit.

But Doug wasn't done yet. He repurchased shares on Nov. 6, 2012, at around $33 given the attractive incentive plan offered to the chairman, William Erbey -- the chairman would profit substantially if the share price doubled or tripled from the $24.38 exercise price on his options. Doug has continued to add to the position since then and is looking for it to hit $50, maybe even $60, a share before 2013 comes to a close.

Those who have continuously held shares of Ocwen since Doug's initial purchase on March 6, 2012, have been fortunate to see it breach $40 a couple times.

Next is Altisource Portfolio Solutions (ASPS). Altisource Portfolio Solutions was spun out of Ocwen in 2009 and is a provider of real estate mortgage portfolio management and related technology products/services and financial services. Doug originally identified this as a good investment opportunity shortly after the spin-out in December 2009 (trading around $15) based on its exposure to the asset recovery business given the state of the economy at the time. Later in October 2011, he reiterated his thesis on the stock, stating that "the companies that stand best-positioned to find the solution to the massive overhang and shadow inventory of unsold homes will prosper mightily -- that is, those that maintain, remediate and bring to market for sale foreclosed properties. Anti-housing plays are in a growth area, with a long runway that will only get better in the years ahead."

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