Chris Davis

Chris Davis

Last Update: 08-12-2016

Number of Stocks: 134
Number of New Stocks: 10

Total Value: $22,661 Mil
Q/Q Turnover: 5%

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

Chris Davis Watch

  • 9 Stocks Chris Davis Keeps Buying

    Chris Davis (Trades, Portfolio) is the portfolio manager of Davis Financial Fund, a fund that holds 134 stocks with a total value of $22,661 million. In both the first and second quarters, the guru bought shares in the following stocks:


    Simon Property Group Inc. (SPG)

      


  • Apache Announces Discovery of Oil in West Texas

    Apache Corp. (NYSE:APA), an independent energy company, announced the discovery of 2 billion to 3 billion barrels of oil in a West Texas field on Wednesday.


    The area, being referred to as “Alpine High,” is located near the Davis Mountains in Reeves County and has been previously overlooked due to the belief it would not be fit for hydraulic fracturing. According to Apache, the find could be worth at least $8 billion and has the potential to become one of the biggest energy finds of the past decade.

      


  • David Funds Comments on Encana

    Our fourth representative holding is the Canadian shale oil and gas company Encana (NYSE:ECA), a business that fits all three of these criteria. Based on global supply and demand projections for oil, we do not believe the current price of $45 per barrel is sustainable.10 In our view, oil prices will have to increase significantly over time to provide enough supply to meet growing global demand. In addition, because Encana’s reserves are located in the core of four of the top six shale areas in North America, Encana’s costs to develop and produce oil and gas are quite low.


    Moreover, Encana’s reserves of oil and gas are so large the company has decades of production ahead based on current production levels.

      


  • David Funds Comments on Tencent

    Given Tencent (HKSE:00700)’s key position in Naspers’ business, examining Tencent’s operations more closely is worthwhile. Tencent is led by Chinese entrepreneur Ma Huateng, also known as Pony Ma. The company’s messaging app WeChat has 700 million users and is the leading social media website in China. In addition, Tencent is one of the world’s largest video gaming companies with such popular games as League of Legends, CrossFire and Dungeon Fighter Online as well as an 84% stake in one of the world’s leading mobile video gaming companies Supercell. In addition, Tencent has built a highly desirable portfolio of strategic investments in other leading Internet companies such as e-commerce company JD.com, U.S. video game leader Activision Blizzard, China’s ride-sharing leader Didi Chuxing, and classified ads leader 58.com. Through our investment in Naspers we are effectively investing in Tencent at a 15% discount and paying 23 times 2017 owner earnings for a company growing revenues and earnings at 25% to 30% a year.

      


  • David Funds Comments on Naspers

    A third representative holding is Naspers (NPN), a company most investors would not recognize despite its $60 billion market capitalization. Naspers is a South African conglomerate that owns a diverse array of media and Internet holdings in emerging markets. The company’s satellite TV business is the largest in Africa with 10 million subscribers, and its online classified ad business operates in 31 countries with leading positions in key markets such as Brazil, India, Indonesia, and Russia. Naspers also owns 15% of Flipkart, one of the leading e-commerce businesses in India. Moreover, in 2010 Naspers invested $34 million in Tencent Holdings, one of China’s largest, most innovative and most used Internet portals, and today the company’s 34% stake is worth $72 billion. Considering that Naspers total market capitalization is $60 billion and also includes other assets, the company’s valuation is attractive in our view.

      


  • David Funds Comments on United Technologies

    United Technologies (NYSE:UTX) is a good example of a company with both a durable business and an innovative culture. United Technologies’ four business segments are of roughly equal size and include Pratt & Whitney jet engines and aerospace parts such as landing gear and nacelles (the outer casing of an aircraft engine), Otis Elevator, and Carrier heating and ventilation systems. Pratt & Whitney, for example, enjoys solid growth prospects driven by increased global travel as well as a favorable market structure with only one key competitor in the narrow body or single aisle commercial aircraft business. Moreover, Pratt & Whitney is now rolling out its new PurePower Geared Turbofan (GTF) jet engine that, according to United Technologies, reduces fuel consumption by 16%, environmental emissions by 50% and noise levels during landing and takeoff by 75%.8 According to industry observers, Pratt & Whitney’s GTF jet engine represents one of the biggest advances in jet engines in the past 50 years, which could result in strong sales going forward. At $100 a share, United Technologies is trading at an attractive 15.5 times 2016 owner earnings.9

      


  • David Funds Comments on Amazon

    Adaptability not only results in pricing power but also the ability to create new markets. Amazon (NASDAQ:AMZN) provides a prime example. Looking back at Amazon’s humble beginnings in 1994, clearly one of the reasons the company became the world’s largest bookseller was that Amazon created entirely new markets. The Kindle E-reader was not only a product innovation but also a business model innovation. Printing and shipping costs suddenly disappeared, combining improved convenience for consumers with higher profits for Amazon. Company founder Jeff Bezos and his team then proved they would not be satisfied to sit on their laurels by parlaying their expertise in cloud computing, gained from running their retail business, to an Infrastructure as a Service (IaaS) business for third parties. Thus, was born Amazon Web Services (AWS), which reached $10 billionin sales even faster than Amazon’s retail business and which one day might surpass the retail segment in size.7

      


  • Davis Global Fund Semi-Annual Review 2016



  • Davis Opportunity Fund Semi-Annual Review 2016



  • Chris Davis Buys Activision Blizzard, Sells Amazon.com

    Davis Advisors manages more than $60 billion across several different asset classes. Chris Davis (Trades, Portfolio) is the portfolio manager of Davis Financial Fund. The following are its largest trades of the second quarter.


    The guru closed his stake in Las Vegas Sands Corp. (LVS) with an impact of -1.5% on the portfolio.

      


  • Chris Davis Buys New Oriental Education

    During the second quarter, guru Chris Davis (Trades, Portfolio) purchased 322,708 shares of New Oriental Education (NYSE:EDU), at an average price of $39.40. The trade had a 0.06% impact on Davis’s portfolio. Since Davis purchased the stake, the company has risen an estimated 7% in price.


    New Oriental Education has a market cap of $6.59 billion, an enterprise value of $5.15 billion, a P/E ratio of 29.23 and a P/B ratio of 4.75.

      


  • Guru Stocks That Outperform the S&P 500

    The following are some of the stocks that outperformed the Standard & Poor's 500 Index over the last 12 months and were bought by gurus during the last quarter.


    Federal Realty Investment Trust (FRT), with a market cap of $11.87 billion, has outperformed the S&P 500 Index by 22.4% during the last 12 months. Currently three gurus are holding the company that has returned 16%-plus year to date and 94%-plus during the last five years; it is now trading with a P/E(ttm) ratio of 48.37, and according to the DCF calculator it looks overpriced by 465% at the price of $167.35. Over the last 12 months the company’s revenue has grown by 6% and EPS has grown by 10%.

      


  • High Dividend Yield Companies Attract Gurus

    The All-in-One Screener listed Hewlett-Packard Co. (NYSE:HPQ) and International Business Machines Corp. (NYSE:IBM) as two high dividend yield computer hardware stocks. Due to these high dividend yields, many gurus have very large positions in these stocks.


    Screening for big dividends

      


  • Chinese Internet Site Baidu Among Stocks to Buy

    Baidu Inc. (NASDAQ:BIDU), a Chinese Internet media site, appeared on gurus’ watch radar as the company’s stock price decreased below P/E expectations.


    Incorporated in the Cayman Islands Jan. 18, 2000, Baidu offers its users an interactive search service on common topics like news, restaurants and sports. As its stock price decreased and its financials improved, Baidu made Barron’s stock watch list May 26.

      


  • Lending Club CEO Resigns, Stock Sinks Amid Loan Discrepancies

    Lending Club (NYSE:LC), a peer-to-peer online lending company, has sunk 63% year to date and lost its CEO Renaud Laplanche, who resigned Monday after an internal investigation found sales of $22 million in near-prime loans to a single investor, contrary to the investor’s instructions.


    The New York Times reported that a Lending Club employee found the dates on $3 million of loan applications had been altered and alerted Laplanche, who then told an internal auditor. That investigation would also reveal discrepancies in the aforementioned $22 million of loans. The company also discovered Laplanche had failed to disclose a personal interest in an investment fund in which Lending Club was considering investing.

      


  • Arnold Van Den Berg's Largest Buys in 1st Quarter

    Arnold Van Den Berg is a value investor who founded Century Management in 1974. He applies value investment strategies as his investment philosophy. He focused his first-quarter buys as follows:


    The guru increased his stake in Allegheny Technologies Inc. (ATI) by 66.47%  with an impact of 2.16% on the portfolio.

      


  • 2 Stocks Super Investors Are Buying

    GuruFocus provides tools and screens to look at 13-F filings in the aggregate and discover lots of information about the famous gurus of value investing. I used the aggregated portfolio tool to sort guru holdings on combined weighting percentage. This shows us which stocks value investment gurus have allocated the most funds to.


    Since J. L. Kelly Jr. came up with the Kelly Criterion in 1956, we know the amount you should bet increases strongly as the odds are more favorable. Great investors put the math behind the principle in practice by betting big on their highest conviction picks. True, there are a few things messing up that logic. Tax considerations can also play a role in buy and sell decisions and cause investors to hang on to fairly valued stocks.

      


  • Liberty Broadband, Hanmi Bank Among Popular Micro-Cap Stocks

    Much like small-cap stocks, micro-caps offer a chance of a high return, but also present more risk and volatility. Micro-caps are generally defined as companies with a capitalization between $50 million and $300 million.


    The All-in-One Screener offers more than 150 filters to sort stocks, including a filter to sort by market cap. The following five stocks were some of the most popular micro-caps purchased by the gurus during the fourth quarter.

      


  • Top Insiders' Buys and Sales 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 "March 2016."


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

      


  • Chris Davis Slashes His Position in PH Glatfelter

    Chris Davis (Trades, Portfolio) is a portfolio manager for the Davis Large Cap Value portfolios and a member of the research team for other portfolios within the firm. Davis Advisors was founded in 1969 offering clients investment opportunities through mutual funds, variable annuities, separately managed accounts and offshore funds. Throughout the course of the company's history, its primary focus has been to invest in securities at value prices and hold them for long-term growth. Davis has a firm belief that perspective, discipline and alignment are the three most important drivers for long-term investment success.


    In the first quarter of 2016, Davis slashed his position in PH Glatfelter Co. (NYSE:GLT) by nearly 30%.

      


Add Notes, Comments

If you want to ask a question or report a bug, please create a support ticket.


Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)