Mario Gabelli (Trades, Portfolio), whose Gabelli Asset Management Company (GAMCO) has $43 billion in managed assets, has returned 27% on average over the past five years in his largest strategy, the Gabelli Asset Fund (GABAX, Financial). Gabelli and his managers expressed their investing philosophy and tack of adhering to it regardless of upcoming market conditions in the Gabelli Asset Fund first quarter letter:
“We conduct bottoms-up research on companies and industries in order to uncover undervalued businesses we would be happy to own for many years. Our Private Market Value (PMV) with a Catalyst™ stock selection process identifies potential acquisition targets and likely candidates for financial engineering. Should volatility return and "Mr. Market" provide us with an opportunity, we remain prepared to increase our ownership of businesses that fit these characteristics, as well as invest in new opportunities as they come available.”
GAMCO Investors introduced 52 new positions to the 839-stock portfolio, calculating to 3% quarter-over-quarter turnover. The largest new buys are: Forest Laboratories Inc. (FRX, Financial), ATMI Inc. (ATMI, Financial), Zale Corp. (ZLC, Financial), AMCOL International Corp. (ACO, Financial) and JoS A Bank Clothiers Inc. (JOSB, Financial).
Forest Laboratories Inc. (FRX, Financial)
GAMCO bought 247,700 Forest Laboratories shares, equal to 0.12% of the portfolio. The company traded on average around $80 a share in the first quarter.
Forest Laboratories Inc. is a Delaware corporation organized in 1956. Forest Laboratories Inc. has a market cap of $24.69 billion; its shares were traded at around $91.13 with a P/E ratio of 154.0 and P/S ratio of 7.30.
GAMCO bought 665,321 shares of ATMI Inc., also equal to 0.12% of the portfolio. The stock had an average price around $32 for the first quarter.
ATMI Inc. was incorporated under the laws of Delaware in 1997, and its predecessor company was incorporated under the laws of Delaware in 1987. ATMI Inc. has a market cap of $1.13 billion; its shares were traded at around $33.98 with a P/E ratio of 36.70 and P/S ratio of 3.08.
Tilson bought 1,019,680 shares of Zale Corp., of another 0.12% portfolio holding. The stock’s price averaged $18 in the first quarter.
Zale Corporation was incorporated in Delaware in 1993. Zale Corp has a market cap of $915.4 million; its shares were traded at around $21.24 with a P/E ratio of 115.50 and P/S ratio of 0.50.
AMCOL International Corp. (ACO, Financial)
GAMCO purchased 180,128 AMCOL International Corp. shares, a 0.045% portfolio holding. The shares averaged $40 each for the quarter.
AMCOL International Corporation, a Delaware corporation was incorporated in 1924. AMCOL International Corp has a market cap of $1.49 billion; its shares were traded at around $45.73 with a P/E ratio of 50 and P/S ratio of 1.50. The dividend yield of AMCOL International Corp stocks is 1.80%. AMCOL International Corp had an annual average earnings growth of 6.50% over the past 10 years.
JoS A. Bank Clothiers Inc. (JOSB, Financial)
GAMCO bought 112,600 shares of JoS A Bank Clothiers, a 0.039% portfolio weight. Shares of the company cost $58 on average during the quarter.
Jos. A. Bank Clothiers Inc. is a Delaware corporation organized on June 22, 1982. JoS A. Bank Clothiers Inc. has a market cap of $1.81 billion; its shares were traded at around $64.67 with a P/E ratio of 28.50 and P/S ratio of 1.80. JoS A. Bank Clothiers Inc. had an annual average earnings growth of 11.50% over the past 10 years. GuruFocus rated JoS A. Bank Clothiers Inc. the business predictability rank of 2.5-star.
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