GuruFocus Premium Membership

Serving Intelligent Investors since 2004. Only 96 cents a day.

Free Trial

Free 7-day Trial
All Articles and Columns »

Top Guru-Held South American Stocks as of the Third Quarter

December 18, 2013 | About:
Monica Wolfe

Monica Wolfe

133 followers

Using the GuruFocus Aggregated Portfolio Screener you can filter results to see what companies maintain the highest amount of guru ownership. By using this screener, we filtered down to see which companies based out of South America were held by the highest number of gurus.

The following four companies come from a variety of industries, are based out of South American countries and are held by the largest number of gurus.

Petroleo Brasileiro SA Petrobras (PBR)

The largest held South American stock is the Rio de Janeiro-based Petroleo Brasileiro SA Petrobras. There are currently 11 guru owners of PBR with five making buys over the past quarter and five making sells of their stake. These gurus hold a combined weighting of 1.53%%.

The top guru owners of Petrobras:

  • Brian Rogers: 11,500,000 shares, representing 0.18% of the company’s shares outstanding
  • Howard Marks: 658,860 shares, representing 0.01% of the company’s shares outstanding.
  • RS Investment: 524,048 shares, representing 0.01% of the company’s shares outstanding.

It is an integrated oil and gas company in Brazil and in Latin America who is the supplier of crude oil and oil products. Its activities comprise five business segments: Exploration and Production, Supply, Distribution, Gas and Energy and International.

Petrobras’ historical revenue and net income:

1387317336305.png

The analysis on Petrobras reports that the company’s revenue has been in decline over the past five years. It also notes that the company has issued $48.2 billion of debt over the past three years but that its debt level is acceptable.

According to the Peter Lynch Chart Petrobras appears to be undervalued:

1387317381503.png

Petroleo Brasileiro SA Petrobras has a market cap of $88.64 billion. Its shares are currently trading at around $13.59 with a P/E ratio of 7.00, a P/S ratio of 0.60 and a P/B ratio of 0.60. The company had an annual average earnings growth of 10.60% over the past ten years.

Companhia de Bebidas das Americas Ambev (ABV)

The second most held South American stock is the Companhia de Bebidas, based in Sao Paulo, Brazil. As of the third quarter there were nine guru owners of the company with five gurus making buys and three gurus selling their stake in the company. These gurus hold a combined weighting of 3.65%.

The top guru shareholders of Companhia de Bebidas:

  • Manning & Napier: 10,870,612 shares, representing 0.35% of the company’s shares outstanding.
  • Lee Ainslie: 2,581,599 shares, representing 0.08% of the company’s shares outstanding.
  • Ken Fisher: 2,092,495 shares, representing 0.07% of the company’s shares outstanding.

The company produces, distributes and sells beer, soft drinks and other non-alcoholic and non-carbonated products in 14 countries across the Americas. AmBev is PepsiCo's bottler outside the United States.

AmBev’s historical revenue and net income:

The analysis on AmBev reports that the company’s operating margin is expanding, its revenue has been in decline over the past year and its P/B ratio is trading near a 2-year low.

The Peter Lynch Chart suggests that the company is currently overvalued:

1387317715783.png

Companhia de Bebidas das Americas AmBev has a market cap of $116.55 billion. Its shares are currently trading at around $37.20 with a P/E ratio of 26.30, a P/S ratio of 3.98and a P/B ratio of 9.00. The dividend yield of Companhia de AmBev is currently around 3.36%. The company had an annual average earnings growth of 15.5% over the past 10 years.

GuruFocus rated AmBev the business predictability rank of 3-star.

Vale SA (VALE)

The third top guru-held stock is from Rio de Janeiro-based Vale SA. There are nine guru shareholders of Vale with four gurus making buys over the past quarter and four gurus making sells of their holdings in the company. These gurus hold a combined weighting of 1.45%.

The top guru shareholders of Vale:

  • Jeremy Grantham: 13,363,171 shares, representing 0.26% of the company’s shares outstanding.
  • Jim Simons: 2,703,900 shares, representing 0.05% of the company’s shares outstanding.
  • Pioneer Investments: 627,797 shares, representing 0.01% of the company’s shares outstanding.

Vale S.A. is a metals and mining company. The Company is a producer of iron ore and iron ore pellets and the producer of nickel and kaolin. It is also one of the producers of manganese ore and ferroalloys.

Vale’s historical revenue and net income:

1387318108491.png

The analysis on Vale reports that the company has issued $6.2 billion of debt over the past three years, its revenue have been in decline over the past year and it has a poor buyback record. It also notes that the company’s operating margin and income have been in a decline over the past three years.

The Peter Lynch Chart suggests that the company is currently overvalued:

1387318209653.png

Vale has a market cap of $75.86 billion. Its shares are currently trading at around $14.72 with a P/E ratio of 17.50, a P/S ratio of 1.60 and a P/B ratio of 1.50. Vale had an annual average earnings growth of 28.40% over the past ten years.

Banco Santander Brasil SA/Brazil (BSBR)

The fourth largest guru-held South American stock is Banco Santander Brasil where 8 gurus hold a stake. Over the past quarter there were five gurus making buys into Banco Santander and two gurus selling their holdings in the company. These gurus hold a combined weighting of 13.88%.

The top guru shareholders of Banco Santander:

  • Tweedy Browne: 48,487,074 shares, representing 1.28% of the company’s shares outstanding.
  • Charles Brandes: 31,754,370 shares, representing 0.84% of the company’s shares outstanding.
  • Tweedy Browne Global: 18,693,570 shares, representing 0.49% of the company’s shares outstanding.

Banco Santander Brasil SA/Brazil is a full-service bank in Brazil. The Company has three business segments: Commercial Banking, Global Wholesale Banking and Asset Management and Insurance.

Banco Santander’s historical revenue and net income:

1387318524300.png

The analysis on Banco Santander reports that the company’s payout ratio is too high, its dividend yield is near a 1-year high and its price is near a 5-year low. The analysis also reports that the company’s asset growth is faster than its revenue growth.

Banco Santander has a market cap of $22.7 billion. Its shares are currently trading at around $6.00 with a P/S ratio of 0.70 and a P/B ratio of 0.70 as well. The dividend yield of Banco Santander is 2.10%. The company had an annual average earnings growth of 1.50% over the past five years.

You can check out other top held sectors of the market by using the Aggregated Screener here.

Try a free 7-day premium membership.


Rating: 3.0/5 (3 votes)

Comments

Please leave your comment:


Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK