Abhay Deshpande is one of the hand-picked successor of Jean-Marie Eveillard, a legendary value investor, for managing First Eagle Global Fund. The fund returned 14.2% per year since January 1, 1979.
Deshpande talked about his investment strategy and where he found value nowadays with Matt Miller and Carol Massar on Bloomberg Television's "Street Smart."
Deshpande discussed the outlook for gold prices and gold stocks. In the First Eagle Global Fund, they have held a healthy portion of assets in gold and gold stocks. Deshpande stated that they do not have expectation for where the gold is going to be short term or long term. They will hold gold as long as the central governments continues with their currency debasement policies.
The appreciation of gold price and that of gold mining companies have helped the performance of the fund.
GuruFocus has been dutifully following the stocks bought and sold each quarter by the First Eagle Global. GuruFocus data shows the fund owns stocks of 19 gold mining companies across the global. Here are the top gold stocks held by the fund:
|Symbol||Number of Shares||Value ($1000)||Percentage (%)||% of Company|
And here are brief overviews of the companies and the fund’s holding history in each:
Gold Fields Ltd. (NYSE:GFI)Gold Fields Limited is one of the world's largest unhedged gold producers with operating mines in South Africa, Ghana, and Australia. Gold Fields Ltd. has a market cap of $10.63 billion; its shares were traded at around $15.06 with a P/E ratio of 23.6 and P/S ratio of 2.4. The dividend yield of Gold Fields Ltd. stocks is 1.1%.
Newmont Mining Corp. (NYSE:NEM)Newmont Mining Corp. is engaged in the production of gold, the exploration for gold and the acquisition and development of gold properties worldwide. Newmont Mining Corp. has a market cap of $30.73 billion; its shares were traded at around $63.4 with a P/E ratio of 18 and P/S ratio of 4.1. The dividend yield of Newmont Mining Corp. stocks is 0.9%. Newmont Mining Corp. had an annual average earning growth of 10.3% over the past 10 years. GuruFocus rated Newmont Mining Corp. the business predictability rank of 2.5-star.
Harmony Gold Mining Co. Ltd. (NYSE:HMY)Harmony Gold Mining Company Ltd. is a mining company which produces gold from its operations in the distrcit of Virginia, Orange Free State. Harmony Gold Mining Co. Ltd. has a market cap of $4.9 billion; its shares were traded at around $11.42 with and P/S ratio of 3.3. The dividend yield of Harmony Gold Mining Co. Ltd. stocks is 1.2%.
Randgold Resources Ltd. (NASDAQ:GOLD)Randgold Resources is an international gold mining and exploration business. Randgold Resources Ltd. has a market cap of $9.29 billion; its shares were traded at around $102.23 with a P/E ratio of 94.7 and P/S ratio of 21.4. The dividend yield of Randgold Resources Ltd. stocks is 0.2%. Randgold Resources Ltd. had an annual average earning growth of 24.2% over the past 5 years.
Goldcorp Inc. (NYSE:GG)Goldcorp is a North American based gold producer engaged in exploration, extraction, and processing of gold. Goldcorp Inc. has a market cap of $32.25 billion; its shares were traded at around $43.81 with a P/E ratio of 48.7 and P/S ratio of 11.8. The dividend yield of Goldcorp Inc. stocks is 0.4%. Goldcorp Inc. had an annual average earning growth of 34.1% over the past 10 years.
Check out the complete stock portfolio of First Eagle Global, click http://www.gurufocus.com/holdings.php?GuruName=Jean-Marie+Eveillard.
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