GuruFocus Premium Membership

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

Free Trial

Free 7-day Trial
All Articles and Columns »

Guru John Hussman's Top Five Positions

May 02, 2014 | About:
Monica Wolfe

Monica Wolfe

127 followers
Over the past quarter Guru John Hussman (Trades, Portfolio) added 33 stocks to his holdings, bringing his total portfolio holdings to 197 stocks valued at $1.334 billion. The following five stocks are Hussman’s top five positions as of the close of the first quarter.

Microsoft (MSFT)

John Hussman (Trades, Portfolio)’s largest holding over the past quarter was in Microsoft where he holds on to 615,000 shares of the company’s stock. This position makes up for 1.9% of his total portfolio as well as 0.01% of the company’s shares outstanding.

During the first quarter Hussman upped his holdings 8.85% by purchasing 50,000 shares of Microsoft stock. The guru purchased these shares in the first quarter price range of $34.98 to $41.42, with an estimated average quarterly price of $37.64 per share. Since then the price per share is up approximately 6.4%.

Hussman’s historical holding history:

1399062928997.png

Microsoft generates revenue by developing, manufacturing, licensing and supporting a wide range of software products and services for many different types of computing devices.

Microsoft’s historical revenue and net income:

1399068183922.png

The analysis on Microsoft reports that the price is near a 10-year high, its interest coverage is comfortable and it has shown predictable revenue and earnings growth.

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

1399068216169.png

Microsoft has a market cap of $327.86 billion. Its shares are currently trading at around $39.69 with a P/E ratio of 15.20, a P/S ratio of 4.00 and a P/B ratio of 3.70. The company had an annual average earnings growth of 14.80% over the past ten years.

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

Viacom (VIAB)

The guru’s second largest holding of the second quarter is in Viacom where he maintains 250,000 shares of the company’s stock. This position makes up for 1.6% of his total assets managed as well as 0.05% of the company’s shares outstanding.

Viacom is a new buy for Hussman. He bought these 250,000 shares over the past quarter in the price range of $78.80 to $88.90, with an estimated average quarterly price of $85.06 per share. Since then the price per share has dropped a slight -0.8%.

John Hussman (Trades, Portfolio)’s holding history of Viacom:

1399066353841.png

The company is a entertainment content company that connects with audiences through compelling content across television, motion picture, online and mobile platforms in more than 160 countries and territories.

Viacom’s historical revenue and net income:

1399068521913.png

The analysis on Viacom reports that the company has shown predictable revenue and earnings growth, its operating margin is expanding and its price is near a 10-year high. It also notes that the company’s dividend yield is near a 2-year low.

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

1399068674957.png

Viacom has a market cap of $36.85 billion. Its shares are currently trading at around $84.15 with a P/E ratio of 16.30, a P/S ratio of 3.00 and a P/B ratio of 7.90. The company had an annual average earnings growth of 23.20% over the past ten years

GuruFocus rated Viacom the business predictability rank of 2.5-star.

Helmerich & Payne (HP)

Hussman’s third largest holding goes to Helmerich & Payne where he maintains 200,000 shares of the company’s stock. This position makes up for 1.6% of his total holdings as well as 0.19% of the company’s shares outstanding.

Over the past quarter the guru cut his holdings -7.41% by selling 16,000 shares of the company’s stock. He sold these shares near the estimated average quarterly price of $92.57 per share. Since then the price per share has increased an additional 16.7%.

Hussman’s historical holding history:

1399067188237.png

The company's contract drilling business is composed of three reportable business segments: U.S. Land, Offshore and International Land.

Helmerich & Payne’s historical revenue and net income:

1399069006345.png

The analysis on HP reports that the company’s revenue has slowed down over the past year, its price is near a 10-year high and its dividend yield is near a 10-year high.

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

1399069060154.png

Helmerich & Payne has a market cap of $11.58 billion. Its shares are currently trading at around $107.67 with a P/E ratio of 15.70, a P/S ratio of 3.40 and a P/B ratio of 2.60. The company had an annual average earnings growth of 23.50% over the past 10 years.

GuruFocus rated Helmerich & Payne the business predictability rank of 2.5-star.

Harris Corporation (HRS)

Hussman’s fourth largest holding is in Harris Corporation where he maintains 300,000 shares of the company’s stock. This position makes up for 1.6% of his total holdings as well as 0.28% of the company’s shares outstanding.

Hussman did not alter his position in the company over the past quarter. Since his last increase in the fourth quarter of 2013, the price per share is up about 2.8%.

Hussman’s historical holding history:

1399067343321.png

Harris, together with its subsidiaries, is a communications and information technology company serving government and commercial markets in about 125 countries. The Company has three reportable operating segments: its RF Communications segment, its Integrated Network Solutions segment and its Government Communications Systems segment.

Harris’ historical revenue and net income:

1399069482168.png

The analysis on Harris reports that the company’s operating margin is expanding, its revenue has been in decline over the past year and its price is near a 10-year high.

The Peter Lynch Chart suggests that the company’s currently overvalued:

1399069583076.png

Harris has a market cap of $7.84 billion. Its shares are currently trading at around $73.37 with a P/E ratio of 19.30, a P/S ratio of 1.60 and a P/B ratio of 4.60. The company had an annual average earnings growth of 18.80% over the past ten years.

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

Panera Bread (PNRA)

The guru’s fifth largest holding is in Panera Bread where he maintains 110,000 shares of the company’s stock. These holdings make up for 1.5% of his total assets managed and 0.37% of the company’s total shares outstanding.

Over the past quarter Hussman cut his holdings -8.33% by selling 10,000 shares of the company’s stock. He sold these shares near the average first quarter price of $176.98, and since then the price per share is down about -10.1%.

Hussman’s historical holding history:

1399067819569.png

Panera Bread is a national bakery-cafe concept with 1,652 Company-owned and franchise-operated bakery-cafe locations.

Panera Bread’s historical revenue and earnings growth:

1399069693464.png

The analysis on Panera reports that the company holds no debt, it has shown predictable revenue and earnings growth and its operating margin is expanding. The analysis also notes that the company’s P/E and P/S ratios are trading at near historical lows.

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

1399069693464.png

Panera Bread Company has a market cap of $4.41 billion. Its shares are currently trading at around $159.18 with a P/E ratio of 23.30 and a P/S ratio of 1.90. The company had an annual average earnings growth of 19.80% over the past ten years.

GuruFocus rated Panera the business predictability rank of 5-star.

Check out Hussman’s first quarter holdings here.

Try a free 7-day premium membership trial here.


Rating: 2.0/5 (4 votes)

Voters:

Comments

samhaskell
Samhaskell premium member - 4 months ago

Clearly written, easy to understand.

pravchaw
Pravchaw premium member - 4 months ago

Hussman is a poster child (or PhD) of the saying "a broken clock is right twice a day". Nevertheless he seems to make a fine living running a mutual funds inspiite of his atrocious record and is called a "guru" by gurufocus.

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