Sarah Ketterer is the chief executive officer of Causeway, an employee-owned investment management firm based in Los Angeles, specializing in managing global, international, emerging market and absolute return equities. The company invests in major equity markets across the globe, spanning the U.S., international and emerging markets, and obtains long and short exposures to securities. Ketterer worked for the Hotchkis and Wiley division of Merrill Lynch Investment Managers ("HW-MLIM") and in Causeway she is responsible for investment research in global financials and healthcare.
She manages a portfolio composed of 81 stocks with a total value of $3,998 million and during the last quarter, she sold out 6 stakes as follow :
She sold out her stake in PNC Financial Services Group Inc(PNC)that was 1.64% of her total assets. The company is a diversified financial services company and is engaged in retail banking, corporate and institutional banking, asset management, and residential mortgage banking, providing products and services nationally, as well as other products and services in its markets.
The stock is trading with a low P/E ratio of 12.58 that is ranked higher than 54% of other companies in the Global Banks - Regional - U.S. industry. The price has risen by 5% during the last 12 months, and the company looks undervalued according to the Peter Lynch earnings line that gives a fair value of $109.3 while it is now trading at $91.77.
PNC had a successful second quarter, in which deposits grew by 1% compared with the first quarter due to higher money market and demand deposits; net income was $1.88 per diluted common share compared to $1.75 per diluted common share of the previous quarter; the net interest margin had few decrease, it was 2.73% compared with 2.82% for the first quarter of 2015.
James Barrow (Trades, Portfolio) is the main shareholder of the company with 3.86% of outstanding shares that is 2.59% of his total assets, followed by Brian Rogers (Trades, Portfolio) with 0.97% and Richard Pzena (Trades, Portfolio) with 0.58%.
She sold out her stake in Apollo Education Group Inc(APOL)that was 1.03% of her total assets. It offers educational programs and services, online and on campus, at the undergraduate, master's and doctoral levels.
The stock is trading with a P/E ratio of 16.96 that is ranked higher than 53% of other companies in the Global Education & Training Services industry. The price has dropped by 55% during the last 12 months, by 83% during the last 10 years and the company looks fairly valued according to the Peter Lynch earnings line that gives a fair value of $12.2 while it is now trading at $12.04.
Larry Robbins (Trades, Portfolio) is the main shareholder of the company with 7.04% of outstanding shares, followed by the hedge fund First Pacific Advisors (Trades, Portfolio) with 6.04% and FPA Capital Fund (Trades, Portfolio) with 2.79% that is 5.56% of its total assets.
She sold out her stake in Komatsu Ltd (KMTUY) that was 0.29% of her total assets. It is a company that engages in the manufacturing, development, marketing and sale of industrial-use products and services. The company operates in two segments –Â i.e., Construction, Mining and Utility Equipment and Industrial Machinery.
The stock is trading with a forward P/E ratio of 13.68 that is ranked lower than 55% of other companies in the Global Farm and Construction Equipment industry. The price has dropped by 27% during the last 12 months but has risen by 40% during the last 10 years, and the company looks undervalued according to the Peter Lynch earnings line that gives a fair value of $26.3 while it is now trading at $17.02.
The company has rapid economic development for the last few years and recently established Komatsu Manufacturing Myanmar Ltd., a wholly owned manufacturing and sales subsidiary of Reman components of construction and mining equipment that helps Myanmar solve a problem of electric power supply shortage; it will also manufacture power generators.
Sarah Ketterer (Trades, Portfolio) was the last shareholder with shares of the company, after the investor David Dreman (Trades, Portfolio) sold out his shares in the first quarter of the year.
She sold out her stake in Clariant AGÂ (CLZNY) that was 0.25% of her total assets. The company manufactures and provides specialty chemical products. It operates in the following segments: Care Chemicals, Catalysis & Energy, Natural Resources, and Plastics & Coatings.
The stock is trading with a P/E ratio of 21.04 that is ranked lower than 58% of other companies in the Global Specialty Chemicals industry. The price has risen by 6% during the last 12 months, by 35% during the last 10 years and the company looks overpriced according to the Peter Lynch earnings line that gives a fair value of $13.9 while it is now trading at $18.24.
The company continued the strong development of the first into the second quarter in which it has significantly improved EBITDA margin and better cash flow. For 2015, the company will further increase its EBITDA margin before exceptional items above full-year 2014 and increase cash flow generation but also expects the challenging environment characterized by an increased volatility in commodity prices and currencies, to continue.
She sold out her stake in AXA SA(AXAHY)that was 0.25% of her total assets. It is an insurance company. The company has five operating business segments: Life & Savings,Property and Casualty, International Insurance, Asset Management and Banking. In addition, various holding companies within the AXA Group conduct certain nonoperating activities
The stock is trading with a weak P/E ratio of 11.52 that is ranked higher than 54% of other companies in the Global Insurance - Diversified industry. The price has dropped by 5% during the last 12 months and by 5% during the last 10 years, and the company looks undervalued according to the Peter Lynch earnings line that gives a fair value of $38.4 while it is now trading at $25.46.
During the last quarter the company had strong earnings growth per share on an underlying in which reported underlying earnings growth 12%, 2% on a constant basis, and it had a very strong solvency ratio.
It sold out its stake in Rio Tinto PLC(RIO)that was 0.22% of its total assets. The company is an international mining group that is engaged in finding, mining and processing the Earth's mineral resources. Its products are bauxite, alumina, aluminum, salt, diamonds, borates and titanium dioxide. The company also produces products that include thermal coal, coking coal, uranium, iron ore and salt.
The stock is trading with a low P/E ratio of 10.60 that is ranked higher than 65% of other companies in the Global Industrial Metals and Minerals industry. The price has dropped by 30% during the last 12 months, by 4% during the last 10 years, and the company looks fairly priced according to the Peter Lynch earnings line that gives a fair value of $41.1 while it is now trading at $37.21.
During the last quarter production of iron ore was 9% and shipments were 8%, higher than the same quarter of 2014 and was 7% above the first quarter of 2015. RIO delivered three significant achievements within its growth portfolio. In aluminum, bringing 80% of its smelting capacity into the first cost quartile. In copper, the Oyu Tolgoi underground project is moving forward following the signing of the Underground Mine Development and Financing Plan. In iron ore, they have completed the key elements of our Pilbara infrastructure expansion.
The main shareholder of the company is Richard Snow (Trades, Portfolio) with 0.10% of outstanding shares of the company that is 2.26% of his total assets, followed by James Barrow (Trades, Portfolio) with 0.06% and Ray Dalio (Trades, Portfolio) with 0.02%.
