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Coach, Waters, Netflix - ‘Biggest Losers’ Held by Gurus

October 23, 2013 | About:
Sally Jones

Sally Jones

49 followers
Over 12 months, Coach Inc. (COH) is down 16%, Waters Corporation (WAT) is up 26% and Netflix Inc. (NFLX) is up 451%. All three companies are among the "Biggest Losers" in the S&P 500. Coach Inc. just reported that while its North American and international sales are down 1% year-over-year, the company is rapidly expanding in mainland China where sales are up 35% for the quarter.

Coach Inc. (COH)

Down 16% over 12 months, Coach Inc. has a market cap of $13.53 billion; its shares were traded at around $48.14. The P/E ratio is 13.10 and the P/B ratio is 5.50. The dividend yield is 2.60%.

Incorporated in 2000, Coach Inc. is a marketer of fine accessories and gifts for women and men. Company products include women's and men's purses, wallets, accessories and more. Coach Inc. operates in two segments, namely Direct-to-Consumer and Indirect. The Direct-to-Consumer segment includes Coach-operated stores in North America, Japan, Hong Kong, Macau, China, Taiwan, Malaysia, Korea, Singapore and via the Internet.

The company reported financial results for the first quarter of fiscal 2014 with a 1% decline in both international and North American sales for the quarter. The company reported net sales of $1.15 billion, down from $1.16 billion in the same quarter a year ago. Earnings per share were $0.77, the same year-over-year. Coach Inc.’s North American sales for the quarter were $778, and international sales were reported at $365 million. Coach’s sales in China increased over 35% where the company opened six net new locations on the mainland, for a total of 132 locations, compared to their North America’s outlet mall numbers for the reporting quarter: Coach Inc. has 350 full-price and 198 factory stores in about 150 malls.

Historical share pricing, revenue and net income:

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Guru Action: As of Sept. 30, 2013, Ken Fisher increased his COH position by 0.25%, buying 15 shares at an average price of $55.06 for a loss of 12.6%.

Over a five-year history, Fisher averaged a gain of 19% on 6,104,244 shares bought at an average price of $40.43 per share. He took a loss of 29% on 6,098,294 shares bought at an average price of $67.83 per share.

His current shares stand at 5,950.

Four gurus who made new buys of COH in the second quarter and there is active insider selling.

Waters Corporation (WAT)

Up 26% over 12 months, Waters Corporation has a market cap of $8.55 billion; its shares were traded at around $100.36. The P/E ratio is 18.10 and the P/B ratio is 5.70. The company does not pay a dividend.

Waters Corporation is a manufacturer of analytical instruments used by scientists and engineers. The company specializes in ultra- and high-performance liquid chromatography and mass spectrometry instrument systems and support products, including chromatography columns, consumable products and service plans.

The company reported financial results for the third quarter of 2013 with sales increased by 2%, at $457 million. In the same quarter of 2012, sales were at $450 million. Waters Corporation reported earnings per diluted share for the third quarter at $1.14 (GAPP), up from EPS of $1.12 in the same quarter of 2012.

Historical share pricing, revenue and net income:

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Guru Action: The latest record guru action shows Paul Tudor Jones making a new buy of WAT as of June 30, 2013. He bought 100,000 shares at an average price of $95.76 for a gain 5%.

Over eight gaining quarters with WAT, Paul Tudor Jones has bought and sold out three times. His highest gain of 53.8% was made selling out 18,800 shares at an average price of $65.24 per share in the third quarter of 2010.

Check out the seven guru stakeholders and active insider selling.

Netflix Inc. (NFLX)

Up 451% over 12 months, Netflix Inc. has a market cap of $19.5 billion; its shares were traded at around $331.00. The P/E ratio is 411.60 and the P/B ratio is 17.60. The company does not pay a dividend.

Incorporated in 1997, Netflix Inc. is a global Internet television network with more than 33 million members in over 40 countries. The company offers one billion hours of TV shows and movies per month. In the U.S., subscribers can receive DVDs delivered quickly to their homes. The company is organized into three operating segments: Domestic streaming, International streaming and Domestic DVD.

Historical share pricing, revenue and net income:

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Guru Action: As of Oct. 22, 2013, Carl Icahn reduced his position by 51.89%, making an impact of -4.31% on his portfolio. He sold shares in the average price range of $354.99 per share and has 2,665,557 shares remaining.

Check out the other guru stakeholders and active insider selling.



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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 (4 votes)

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