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Prolific Selling - Hussman’s High-Impact Moves Mirror Insiders

November 05, 2013 | About:
Sally Jones

Sally Jones

49 followers
Guru John Hussman made over a hundred reductions and sellouts in the third quarter. The four highest-impact sells made by Hussman Econometrics Advisors include: Eli Lilly and Company (LLY), Gap Inc. (GPS), Time Warner Cable Inc. (TWC) and Urban Outfitters Inc. (URBN). Here are company updates and the details on Hussman’s trading that seems to track with very active insider selling in all four companies.

Eli Lilly and Company (LLY): Reduced

Portfolio Impact: -1.58%

Up 3% over 12 months, Eli Lilly and Company has a market cap of $56.79 billion; its shares were traded at around $50.41 with a P/E ratio of 11.50 and a P/B ratio of 3.40. The dividend yield is 3.90%.

Incorporated in 1901, Eli Lilly and Company discovers, develops, manufactures, and sells drug products in two business segments: human pharmaceutical products and animal health products.

Guru Action: As of Sept. 30, 2013, John Hussman reduced his position by 98.57%, unloading 691,000 shares at an average price of $52.35, for a loss of 3.7%.

Across his five-year history, Hussman averaged a gain of 28% on 2,351,000 shares bought at an average price of $39.25 per share. He averaged a loss of 1% on 2,341,000 shares sold at an average price of $50.76 per share.

Check out the numerous gurus holding LLY and the very active insider selling.

Track historical share pricing, revenue and net income:

1383610172133.png

Gap Inc. (GPS): Sold Out

Portfolio Impact: -1.3%

Up 5% over 12 months, Gap Inc. has a market cap of $17.41 billion; its shares were traded at around $37.23 with a P/E ratio of 13.70 and a P/B ratio of 5.00. The dividend yield is 1.70%.

First incorporated in 1969, Gap Inc. is a specialty retailer offering clothing, accessories, and personal care products for men, women, children, and babies under the Gap, Old Navy, Banana Republic, Piperlime, and Athleta brands.

Guru Action: As of Sept. 30, 2013, John Hussman sold out his position unloading 700,000 shares at an average price of $43.13, for a loss of 13.7%.

In eight quarters of trading, Hussman’s gains peaked in the third and fourth quarters of 2011 at 114.8% and 100.6%, respectively.

Gap Inc. has numerous guru stakeholders and very active insider selling.

Track historical share pricing, revenue and net income:

1383610604024.png

Time Warner Cable Inc. (TWC): Sold Out

Portfolio Impact: -1.3%

Up 34% over 12 months, Time Warner Cable Inc. has a market cap of $34.71 billion; its shares were traded at around $123.15 with a P/E ratio of 17.00 and a P/B ratio of 5.27. The dividend yield is 2.00%.

Incorporated in 2003, Time Warner Cable Inc. provides video, high-speed data and voice services in the U.S., with technologically advanced, well-clustered cable systems located in five main geographic areas including the state of New York (including New York City), the Carolinas, the Midwest (including Ohio, Kentucky and Wisconsin), Southern California (including Los Angeles) and Texas. The company serves approximately 15.2 million customers.

Guru Action: As of Sept. 30, 2013, John Hussman sold out his position unloading 250,000 shares at an average price of $112.45, for a gain of 9.5%.

Holding for only three quarters, Hussman’s gains peaked in the first and second quarters of 2012 at 32.4% and 27.4%, respectively.

Numerous gurus hold TWC shares and there is very active insider selling.

Track historical share pricing, revenue and net income:

1383610952116.png

Urban Outfitters Inc. (URBN): Reduced

Portfolio Impact: -1.14%

Up 6% over 12 months, Urban Outfitters Inc. has a market cap of $5.82 billion; its shares were traded at around $39.47 with a P/E ratio of 22.10 and a P/B ratio of 3.83. The company does not pay a dividend yield%.

Incorporated in 1976, Urban Outfitters Inc.is a lifestyle specialty retail company that operates under the brands of Urban Outfitters, Anthropologie, Free People and Terrain. The company also operates a wholesale segment under the brands of Free People and Leifsdottir.

Guru Action: As of Sept. 30, 2013, John Hussman reduced his position by 67.03%, selling 610,000 shares at an average price of $41.06, and taking a loss of 3.9%.

Holding for three quarters of losses, Hussman had an overall loss of 5% on 910,000 shares bought at an average price of $41.36 per share. Selling, Hussman also had a loss of 4% on 610,000 shares sold at an average price of $41.06 per share.

John Hussman is one of seven gurus holding URBN, and there is active insider selling.

Track historical share pricing, revenue and net income:

1383611631302.png

Read about more of Hussman’s selling in the third quarter of 2013.

The third quarter portfolio of Hussman Econometrics Advisors has 207 stocks, 27 of them new, a total value at $1.8 billion, with a quarter-over-quarter turnover of 22%. Dr. John Hussman is averaging a 12-month return of 14.42%.



Here is the complete portfolio of John Hussman.

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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: 5.0/5 (2 votes)

Comments

traderatwork
Traderatwork - 1 year ago
Guru? Really?

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