Senator Investment Group LP recently filed their 13F report for the fourth quarter of 2022, which ended on 2022-12-31.
The 13F report details which stocks were in a guru’s equity portfolio at the end of the quarter, though investors should note that these filings are limited in scope, containing only a snapshot of long positions in U.S.-listed stocks and American depository receipts as of the quarter’s end. They are not required to include international holdings, short positions or other types of investments. Still, even this limited filing can provide valuable information.
Senator Investment Group is a private hedge fund sponsor based out of New York City. The company was founded in 2008 by co-founders Alexander Mathew Klabin and Douglas Nathan Silverman, who continue to take an active role in the company today acting as the firm’s co-CEOs and portfolio managers. The company utilizes bottom up analysis to make its investment decisions, typically focusing its asset allocations in the value stocks of various companies. Senator Investment Group invests in a variety of public equity and fixed income markets on a global scale, making sure that its asset allocations are properly diversified. The company invests most heavily in the consumer discretionary sector, which alone makes up over a fifth of total asset allocations, and also invests in the health care, finance, consumer staples, energy, information technology, transports, and materials sectors, among others to a lesser degree, in order of decreasing amount allocated. Its market value is currently $10.4 billion and has been growing in recent years. Senator Investment Group currently holds close to $12 billion in total assets under management spread across 9 accounts, all of which are discretionary accounts. Both of the firm’s total number of accounts and total assets under management have been increasing in recent years with its total number of accounts growing from 7 two years prior to its current amount and its total assets under management growing from just over $5 billion three years ago to well over twice that amount today. The company currently has 29 employees taking care of its clients, all of which are pooled investment vehicles. Senator Investment Group’s majority ownership is held by Klabin Family Investments LLC and Silverman Family Investments LLC, each of which hold approximately a third of total ownership, with the remaining ownership split amongst Bsch Master I Sub, Bsch Master II Sub, and various key executives.
As of the latest 13F report, the guru’s equity portfolio contained 41 stocks valued at a total of $1.10Bil. The top holdings were SPY(20.40%), HUM(6.99%), and DHR(6.04%).
According to GuruFocus data, these were Senator Investment Group LP’s top five trades of the quarter.
S&P 500 ETF TRUST ETF
During the quarter, Senator Investment Group LP bought 476,000 shares of ARCA:SPY for a total holding of 586,000. The trade had a 16.57% impact on the equity portfolio. During the quarter, the stock traded for an average price of $382.87.
On 02/17/2023, S&P 500 ETF TRUST ETF traded for a price of $407.28 per share and a market cap of $374.49Bil. The stock has returned -5.37% over the past year.
GuruFocus gives the ETF a financial strength rating of 5 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, S&P 500 ETF TRUST ETF has a price-earnings ratio of 20.26, a price-book ratio of 3.77, a price-earnings-to-growth (PEG) ratio of 2.44, a EV-to-Ebitda ratio of 15.13 and a price-sales ratio of 2.80.
The price-to-GF Value ratio is 0.00, earning the stock a GF Value rank of 6.
Soaring Eagle Acquisition Corp
The guru established a new position worth 6,324,213 shares in NAS:SRNGU, giving the stock a 6.44% weight in the equity portfolio. Shares traded for an average price of $11.97 during the quarter.
On 02/17/2023, Soaring Eagle Acquisition Corp traded for a price of $11.97 per share and a market cap of $0.00Mil. The stock has returned 0.00% over the past year.
There is insufficient data to calculate the stock’s financial strength and profitability ratings.
In terms of valuation, Soaring Eagle Acquisition Corp has a price-sales ratio of 1.65.
Allstate Corp
The guru sold out of their 465,000-share investment in NYSE:ALL. Previously, the stock had a 5.26% weight in the equity portfolio. Shares traded for an average price of $130.77 during the quarter.
On 02/17/2023, Allstate Corp traded for a price of $135.05 per share and a market cap of $35.52Bil. The stock has returned 12.80% over the past year.
GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Allstate Corp has a price-book ratio of 2.29, a EV-to-Ebitda ratio of -57.43 and a price-sales ratio of 0.71.
The price-to-GF Value ratio is 0.89, earning the stock a GF Value rank of 7.
Ferguson PLC
The guru established a new position worth 450,000 shares in NYSE:FERG, giving the stock a 5.2% weight in the equity portfolio. Shares traded for an average price of $116.43 during the quarter.
On 02/17/2023, Ferguson PLC traded for a price of $148.04 per share and a market cap of $30.55Bil. The stock has returned 0.58% over the past year.
GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Ferguson PLC has a price-earnings ratio of 14.77, a price-book ratio of 6.02, a price-earnings-to-growth (PEG) ratio of 1.05, a EV-to-Ebitda ratio of 10.86 and a price-sales ratio of 1.06.
The price-to-GF Value ratio is 1.31, earning the stock a GF Value rank of 3.
Amazon.com Inc
The guru sold out of their 450,000-share investment in NAS:AMZN. Previously, the stock had a 4.62% weight in the equity portfolio. Shares traded for an average price of $98.78 during the quarter.
On 02/17/2023, Amazon.com Inc traded for a price of $97.2 per share and a market cap of $996.03Bil. The stock has returned -37.15% over the past year.
GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Amazon.com Inc has a price-book ratio of 6.79, a EV-to-Ebitda ratio of 28.05 and a price-sales ratio of 1.92.
The price-to-GF Value ratio is 0.49, earning the stock a GF Value rank of 4.
Please note, the numbers and facts quoted are as of the writing of this article and may not factor in the latest trading data or company announcements.
When GuruFocus covers insider information, we only track open market or the private purchase and sale of common stock with the transaction code of P or S. Therefore, all the transactions mentioned in this article are only the ones with transaction code of P or S.
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