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Among Best Stock Pickers - Richard Blum’s Top Four

Sally Jones

Sally Jones

49 followers
One of the best stock pickers ever, Richard Blum, co-founder, CEO, president and chairman of Blum Capital Partners, had 12-month returns of 40.33% in 2012, securing him a place in investor heaven. An extraordinary capitalist with a large real estate sector of 57.7%, Blum lists only 10 stocks in his portfolio, none of them new, and a total value of $658 million with a quarter-over-quarter turnover of 0%, as of June 25, 2013.

Here’s an update on the value-oriented investor’s top four holdings.

No. 1: CBRE Group Inc. (CBG) - Real Estate Services

Weighting: 57.7%,

Shares Owned: 15,026,826

Current Share Price: $23.94

Top Guru shareholder of CBRE Group Inc. (CBG), Guru Richard Blum is also chairman of the board and director of the firm where he holds 4.54% of shares outstanding of this global commercial real estate firm based in Los Angeles.

Up 50% over 12 months, CBRE Group Inc. (CBG) was incorporated on February 20, 2001. CBRE Group Inc. has a market cap of $7.89 billion; its shares trade at around $23.94 with a P/E ratio of 24.30 and a P/B ratio of 4.80.

Blum has made a 211% gain on over 13 million shares bought at an average price of $7.71 per share. His average gain on over 22 million shares sold is 39% at an average share price of $17.21.

Historical pricing:

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No. 2: SEI Investments Company (SEIC) – Asset Management

Weighting: 8.7%

Shares Owned: 1,973,815

Current Share Price: $30.45

With 1.14% of shares outstanding, Richard Blum is also among the top Guru stakeholders of SEI Investments Company (SEIC), incorporated in Pennsylvania. Up 53% over 12 months, SEI Investments Company has a market cap of $5.21 billion; its shares trade at around $30.45 with a P/E ratio of 23.40 and P/B ratio of 4.70. The dividend yield of SEI Investments Company (SEIC) stocks is 1.20%. SEI Investments Company has had an annual average earnings growth of 3.5% over the past 10 years.

Since third quarter of 2008, Blum gained 76% on around 3.7 million shares bought at an average price of $17.32 per share. He also gained 35% on about 1.8 million shares sold at an average share price of $22.55 per share.

Historical pricing:

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No. 3: ITT Educational Services Inc. (ESI) - Education & Training Services

Weighting: 6.9%

Shares Owned: 3,297,137

Current Share Price: $27.64

Also the top Guru shareholder of ITT Educational Services Inc. (ESI), Richard Blum, holds 14.12% of shares outstanding.

Down 51% over 12 months, ITT Educational Services is a Delaware corporation, incorporated in 1946. The company has a market cap of $648.6 million; its shares trade at around $27.64 with a P/E ratio of 5.80 and P/B ratio of 4.00. ITT Educational Services had an annual average earnings growth of 25.8% over the past 10 years. GuruFocus rated ITT Educational Services Inc. the business predictability rank of 4.5-star.

Since fourth quarter of 2008, Blum has taken a 67% loss on 872,099 shares bought at an average price of $83.92 per share. On shares sold, he lost 36% on over a million shares at an average share price of $43.32.

Historical pricing:

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No. 4: Avid Technology Inc. (AVID) – Electronic Gaming and Multimedia

Weighting: 6.8%

Shares Owned: 7,127,517

Current Share Price: $6.23

Owning more than 7 million AVID shares also makes Richard Blum of Blum Capital Partners, the top Guru shareholder of Avid Technology Inc.

Down 11% over 12 months, Avid Technology Inc. (AVID) provides digital media content-creation products and solutions for audio, film, video, and broadcast professionals. Avid Technology Inc. has a market cap of $239.1 million; its shares trade at around $6.23 with a P/S ratio of 0.40.

Since the second quarter of 2008, Blum has seen only losses on the AVID holding.

His holding history:



Richard Blum’s top buys, top sells, and top holdings.



Here is the complete portfolio of Richard Blum.

Also check out:

1. Richard Blum's Undervalued Stocks

2. Richard Blum's Top Growth Companies

3. Richard Blum's High Yield stocks

4. Stocks that Richard Blum keeps buying

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About the author:

Sally Jones
Sally Jones writes about Real Time Picks. She says, "I truly enjoy watching the Gurus in realtime and telling their story."

Rating: 2.0/5 (5 votes)

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