David Dreman

Last Update: 05-13-2016

Number of Stocks: 554
Number of New Stocks: 372

Total Value: $877 Mil
Q/Q Turnover: 64%

Countries: USA
Details: Top Buys | Top Sales | Top Holdings  Embed:

David Dreman Watch

  • Watchlist Wednesday: Contrarian Approach

    In this edition of Watchlist Wednesday, we highlight five of the top stocks qualifying for the Contrarian Approach screen.

    The Contrarian Approach is inspired by David Dreman (Trades, Portfolio)’s contrarian investment philosophy, which he describes in the book "Contrarian Investment Strategies."


  • Xerox Looks Like a 'Sell'

    Xerox Corporation (NYSE:XRX) is a $9.26 billion market cap company that is a media and entertainment conglomerate with diversified global operations in theme parks, filmed entertainment, television broadcasting and consumer products.

    Xerox operates in three segments: document technology, business services and other. Some months ago, the company announced its plan to split into two companies. The first one comprising the document technology corporations and the other comprising the business process outsourcing segment. The deal will generate about $2.4 billion in savings over the next three years in a strategic transformation program. The deal will be finished by the end of the year.


  • Southwest Airlines Is a Long-Term Buy

    Southwest Airlines Co. (NYSE:LUV), a $30.07 billion market cap company, is a major passenger airline that provides scheduled air transportation in the U.S. The firm operates in almost 100 destinations across the U.S. Since 1967, Southwest Airlines has expanded inside and outside the U.S. For example, the acquisition of AirTran is a case of international expansion.

    Southwest Airlines is one of the largest domestic airlines company in the U.S. The company has a low-cost structure that helped the firm’s earnings generation. Also, Southwest Airlines has some other advantages by maximizing aircraft utilization and employee productivity. This arrangement allowed the company to generate operating profits for more than four decades in an airline industry that has seen multiple bankruptcies.


  • Undervalued Companies With Growing EPS

    Companies with growing EPS are often a good investment as they can return a very good profit to investors. Here is a selection of the most undervalued companies according to the DCF calculator that have a five-year growing EPS.

    Atwood Oceanics Inc. (ATW) EPS grew by 11% over the last five years and according to the DCF calculator, the stock is undervalued and is trading with a margin of safety of 95%.


  • Aaron’s Inc. CFO Buys 3,000 Shares

    Steven Michaels (Insider Trades), CFO and president of Strategic Operations of Aaron’s Inc. (AAN), bought 3,000 shares of the company on March 7. The average price per share was $23.47 for a total transaction cost of $70,410. Aaron’s Inc. specializes in sales and lease ownership of furniture and appliances. The company has a market cap of $1.74 billion and a P/S ratio of 0.54.

    The volume of insider trades per year decreased from 2014 to 2015. There were four transactions of 53,950 shares in 2014, and although there were five insider buys in 2015, they amounted to only 841 shares in total. There were only two transactions up until March 7 with a combined total of 7,000 shares. Michaels acquired 3,000 of the 7,000 shares in the aforementioned transactions, and CEO of Progressive Leasing, Ryan Woodley (Insider Trades), acquired the remaining 4,000 shares on the same day for an average per share price of $23.64. Aside from the transactions previously mentioned, Michaels sold 11,250 shares for an average price of $29.78 per share in 2012. The value has since decreased by nearly 20%. The number and volume of insider sells per year decreased from 19 transactions totaling 406,848 shares in 2013, to two insider sells of 9,335 shares in 2015. The increase in insider buys in 2015 correlates to a dip in month end price in early 2015. The month end price has since dropped lower, which may spark an increase in AAN insider buys in the early months of 2016. 1457561013712.png 1457561135193.png For more information about insider transactions with AAN, click here.


  • Top Insider Buys, Sells of the Week

    The All-in-One Screener can be used to find insider buys and sells over the last week by clicking on the Insiders tab and changing the settings for All Insider Buying to “$1,000,000+” and duration to "February 2016."

    According to the above filters, the following are the recent buys from company insiders in the past week.


  • Top Insider Trades of the Past Week

    The All-in-One Screener can be used to find insider buys and sales over the last week by clicking on the Insiders tab and changing the settings for All Insider Buying to “$1,000,000+” and duration to "February 2016."

    According to the above filters, the following are the recent buys from company insiders in the past week.


  • Endurance Specialty Holdings CEO Purchases Company Shares

    John Charman (Insider Trades), chairman and CEO of Endurance Specialty Holdings Ltd. (ENH), bought 15,151 shares of the company on Feb. 16. The average price per share was $60.98 for a total transaction cost of $923,908. Endurance Specialty Holdings is a global provider of property and casualty insurance and reinsurance. The company has a market cap of $4.11 billion and a P/S ratio of 1.94.

    Insider buys of ENH decreased in number and volume from 2014 to 2015. There were 15 transactions totaling 391,794 shares in 2014 and 10 transactions totaling 265,930 shares in 2015. Insider buy volume increased in the following year, totaling 435,411 shares in the first two months of 2016 alone. Charman purchased 1,088,145 shares of the company in 20 transactions since 2014. Charman’s earliest transaction increased about 49% in value since then. The decrease in insider buys in 2015 correlates to an increase in month-end price throughout that year. 1455725703973.png 1455725713282.png


  • Dreman Makes 3 Noteworthy Acquisitions in 4th Quarter

    David Dreman (Trades, Portfolio), founder, CIO and chairman of Dreman Value Management LLC, made two dozen new buys in the fourth quarter, but most were comparatively small. Only three exceeded 13,000 shares or had an impact greater than 0.07% on his portfolio.

    That isn’t unusual for Dreman. He made three significant acquisitions (by volume) out of more than 80 new buys in the third quarter as well. The smaller purchases were larger than the smaller ones in the fourth quarter, but they were still comparatively small.


  • Largest Insiders' Trades of the Last Week

    The All-In-One Screener can be used to find insider buys and sales over the last week by clicking on the Insiders tab and changing the settings for All Insider Buying/Selling to “$1,000,000+” and duration to "January 2016."

    According to the above filters, the following are the recent buys from company insiders in the past week.


  • U.S. Airlines Log Profits in Wake of Oil Price Decline

    Since the decline of oil prices began in 2014, there have been frequent reports in the media of how it has been the best time in recent memory for people to take extended trips.

    Initially, such talk applied primarily to trips by car; the longer oil prices have remained depressed, though, the more other modes of travel, particularly air travel, have been introduced into the conversation.


  • Gurus Trim Positions in Tobacco Companies

    It is certainly no secret that demographics play key roles in companies’ marketing strategies.

    Demographics in general are important. Certain products are meant to appeal to specific groups; if they happen to attract consumers from untargeted groups, that is a happy albeit coincidental byproduct for the company.


  • Donald Smith Loses on Peabody Energy and Tecumseh Products

    Donald Smith (Trades, Portfolio) sold many stocks during the third quarter. Some of them brought him some profits, but he lost on other investments. His biggest quarterly losses were 88% and 60% on Peabody Energy Corp. (BTU) and Tecumseh Products Co. (TECU), but it had a huge gain of 262% on Bassett Furniture Industries Inc. (BSET).

    Smith is the CEO of Donald Smith (Trades, Portfolio) & Co. and is a deep-value manager employing a strict bottom-up approach. He invests in stocks of out-of-favor companies selling at discounts to tangible book value.


  • Berkshire Hathaway, China Mobile, Novartis, Oracle, PetroChina Near 52-Week Lows

    According to GuruFocus list of 52-week lows, these Guru stocks have reached their 52-week lows.

    Berkshire Hathaway Inc. reached the 52-week low of $197,800


  • Seadrill Among Energy Stocks Trading With Low P/E

    These are the companies in the energy industry that are trading with the lowest P/E ratio, according to the All-In-One Screener from GuruFocus.

    SandRidge Mississippian Trust II. (SDR) is trading with a P/E ratio of 1.01. According to the DCF calculator, the stock has a fair value of $17.23, while it is trading at about $1.68. That means it is trading with a margin of safety of 90%. The price has dropped by 56% during the last 12 months and is now 68.54% below its 52-week high and 25.37% above its 52-week low.


  • David Dreman Reduces Canon Holding Despite Favorable Signs

    David Dreman (Trades, Portfolio) is a contrarian investor who runs Dreman Value Management LLC. The firm was founded in 1997. Dreman has been a contrarian value investor for over 30 years.

    In the third quarter of 2015, Dreman reduced his position in Canon (NYSE:CAJ) selling 84,443 shares, a reduction of 70.34%. He now owns 35,612 shares of Canon.


  • Interview: Investor, Columnist, Author Ken Fisher

    CEO of Fisher Investments and long-time Forbes columnist Ken Fisher (Trades, Portfolio) arguably has investing in his blood. His father is noted money manager Phil Fisher, author of the bestselling "Common Stocks and Uncommon Profits." Since founding Fisher Investments in 1979, Fisher today manages money for more than 27,000 individuals and more than 150 institutional clients. In addition, he is the author of 11 books on investing, the most recent of which is “Beat the Crowd: How You Can Out-Invest the Herd by Thinking Differently."

    Fisher recently took the time to answer questions from GuruFocus about his top-down strategy, book recommendations and how his view of using the PS ratio as a stock-picking tool has evolved.


  • Legendary Manager David Dreman's Top New Buys of 3rd Quarter

    David Dreman (Trades, Portfolio) is the founder and chairman of Dreman Value Management LLC, a leading contrarian value investment management firm. He also serves as the firm's chief investment officer.

    During the third quarter 84 stocks got new positions in Dreman's portfolio, and here are his most weighted new buys.


  • Bearish Sentiment in Intel's Stock in the Future

    Michael Price (Trades, Portfolio) runs MFP Investors, a New York-based hedge fund that focuses on value investing. Price is one of the richest people in the world, according to Forbes. The fund disclosed an equity portfolio valued at some $699 million as of the end of the third quarter. The equity portfolio is mainly invested in Finance (37%), Technology (16%) and Health Care (15%) stocks.

    So in this article, let's concentrate on Price's latest 13F filing. Among the 10 largest holdings from Price's equity portfolio (which comprises 41.11% of the total portfolio value), I'll look into his principal position.


  • Risk vs. Reward With Alliance Resource Partners

    Looking for dividends? Alliance Holdings (NASDAQ:AHGP) and Alliance Resource Partners (NASDAQ:ARLP) could be grand slam home runs, or they could be falling knives. At the current prices, I believe it’s worth the risk. All the big banks seem to own these stocks, but outside of Renaissance Technologies and a micro position by David Dreman (Trades, Portfolio), guru ownership is nil.


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