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Steven Romick’s Third Quarter Sells at FPA Crescent Fund

October 17, 2013 | About:
Sally Jones

Sally Jones

49 followers
The third quarter portfolio update of the FPA Crescent Fund, led by Guru Steven Romick of First Pacific Advisors, lists 53 stocks. The fund’s total value is $6.9 billion, with a quarter-over-quarter turnover of 4%. The portfolio is currently weighted with top three sectors: financial services at 19.6%, consumer defensive at 17% and healthcare at 16%. Steven Romick has averaged a return of 16.52% over 12 months; First Pacific Advisors is averaging 18.84%.

In the third quarter of 2013, Romick reduced 11 positions and sold out three holdings. Here’s a review of his four highest-impact sells in the third quarter of 2013:

Omnicare Inc. (OCR): Reduced

Impacts Portfolio: -2.5%

Up 70% over 12 months, Omnicare Inc. has a market cap of $5.92 billion; its shares were traded at around $57.19 with a P/E of 27.60. The dividend yield is 1.00%.

Formed in 1981, Omnicare Inc. is a healthcare services company that provides complex pharmaceutical care. It operates in two primary businesses in long-term care and specialty care.

Guru Action: As of Sept. 30, 2013, Steven Romick reduced his position by 83.28%, unloading 3,560,100 shares at an average price of $53.34, gaining 6.5%.

Across a five-year history, Guru Romick has averaged a 121% gain on 5,956,000 shares bought at an average price of $25.75 per share. Selling 5,241,100 shares at an average price of $50.27 per share, he has gained 13%.

His current shares are 714,900.

Track historical pricing, revenue and net income:

1382035086953.png

Lowe’s Companies Inc. (LOW): Reduced

Impacts Portfolio: -1.27%

Up 50% over 12 months, Lowe’s Companies Inc. has a market cap of $51.4 billion; its shares were traded at around $48.87 with a P/E of 24.70.

Incorporated in 1952, Lowe's Companies Inc. is a Fortune 100 company and a home improvement retailer. As of Feb. 1, 2013, it operated 1,754 stores, comprised of 1,715 stores across 50 U.S. states, 34 stores in Canada and five stores in Mexico. These stores represent approximately 197 million square feet of retail selling space.

Guru Action: As of Sept. 30, 2013, Steven Romick reduced his position by 70.61%, unloading 2,068,900 shares at an average price of $45.39, gaining 6.8%.

Over a five-year history, Romick has averaged a 128% gain on 5,370,000 shares bought at an average price of $21.25 per share. Selling 4,508,900 shares at an average price of $39.85 per share, he has gained 22%.

Track historical pricing, revenue and net income:

1382035393125.png

His current shares are 861,100.

Tesco PLC (TSCO) LSE UK: Reduced

Impacts Portfolio: -1.15%

Up 14% over 12 months, Tesco PLC has a market cap of £29.54 billion (GBP); its shares were traded at around £3.66 with a P/E of 244.00 and a P/B of 1.78. The dividend yield is 4.04%.

Tesco PLC is one of the world’s largest retailers operating in the UK, China, the Czech Republic, Hungary, the Republic of Ireland, India, Japan, Malaysia, Poland, Slovakia, South Korea, Thailand, Turkey and the U.S. The company also provides retail banking and insurance services through its subsidiary, Tesco Bank.

Try a GuruFocus Premium Membership for a 7-day Free Trial to access more information about Tesco PLC and other markets around the world.

Guru Action: As of Sept. 30, 2013, Steven Romick reduced his position by 50%, selling shares in the average price range of $3.64 per share. Trading in two quarters, he has averaged a gain of 13% on 31,096,050 shares bought at an average price of $3.25 per share.

Track historical pricing, revenue and net income:

1382035785770.png

Health Net Inc. (HNT): Sold Out

Impacts Portfolio: -0.92%

Up 36% over 12 months, Health Net Inc. has a market cap of $2.48 billion; its shares were traded at around $31.20 with a P/E of 23.40.

Incorporated in 1990, Health Net Inc. is an integrated managed care organization that delivers managed health care services. The company's health plans and government contracts subsidiaries provide health benefits through its health maintenance organizations, insured preferred provider organizations and point of service plans to approximately 6.1 million individuals across the country through group, individual, Medicare, Medicaid and TRICARE programs.

Guru Action: As of Sept. 30, 2013, Steven Romick sold out his HNT position, selling 1,958,000 shares at an average price of $31.56, for a loss of 1.1%, the holding's lowest point in a five-year history. Romick’s highest gain was 62.4% in the fourth quarter of 2009, when he bought 2,301,100 shares at an average price of $19.21 per share.

Track historical pricing, revenue and net income:

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Check out all of Steven Romick’s trades and history.



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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: 3.0/5 (2 votes)

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