David Dreman (Trades, Portfolio) is the founder and chairman of Dreman Value Management LLC, a leading contrarian value investment management firm. He also serves as the firm's chief investment officer.
During the third quarter 84 stocks got new positions in Dreman's portfolio, and here are his most weighted new buys.
Dreman acquired a 148,799-share stake in Waddell & Reed Financial Inc. (WDR), a mutual fund and asset management firm. It provides investment management, investment product underwriting and distribution and shareholder services administration to mutual funds and institutional and separately managed accounts. Dreman paid an average price of $41.33 per share, and the deal had a 0.52% impact on his portfolio.
Waddell & Reed has a market cap of $3.1 billion and an enterprise value of $2.46 billion. It has a P/E of 11.90, a forward P/E of 12.20, a P/B of 3.73 and a P/S of 2.03. GuruFocus has given Waddell & Reed a financial strength rating of 5/10 and a profitability and growth rating of 8/10.
Ray Dalio (Trades, Portfolio) made Waddell & Reed Financial a new buy in the third quarter.
Dreman also bought 167,154 shares in Rent-A-Center Inc. (RCII), an operator in the United States' rent-to-own industry. Its main operating segment consists of leasing household durable goods to customers on a rent-to-own basis. Dreman bought the company at the average price of $26.86 per share, and the deal had a 0.41% impact on his portfolio.
Rent-A-Center has a market cap of $910.65 million and an enterprise value of $1.76 billion. It has a P/E of 12.76, a forward P/E of 8.10, a P/B of 0.66 and a P/S of 0.28. GuruFocus has given Rent-A-Center a financial strength rating of 7/10 and a profitability and growth rating of 7/10.
Jeremy Grantham (Trades, Portfolio) acquired a position in Rent-A-Center in this quarter.
Navigant Consulting Inc. (NCI) was another new buy for Dreman; he acquired a 207,036-share stake. The company operates as a mutual fund and asset management firm. It provides investment management, investment product underwriting and distribution and shareholder services administration to mutual funds and institutional and separately managed accounts. He paid an average price of $15.37 per share, and the deal had a 0.33% impact on his portfolio.
Navigant Consulting has a market cap of $832.66 million and an enterprise value of $975.46 million. It has a P/E of 14.45, a forward P/E of 15.85, a P/B of 1.44 and a P/S of 0.94. GuruFocus has given Navigant Consulting a financial strength rating of 6/10 and a profitability and growth rating of 7/10.
Dreman was the only investor who had Navigant Consulting as a new buy while Columbia Wanger (Trades, Portfolio) and Chuck Royce (Trades, Portfolio) increased their stakes by 4.37% and 20.06%.
Dreman bought 52,113 shares in Applied Materials Inc. (AMAT), a provider of manufacturing equipment, services and software to the global semiconductor, flat panel display, solar photovoltaic and related industries. He paid an average price of $16.71 per share; the deal had a 0.08% impact on his portfolio.
Applied Materials has a market cap of $22.54 billion and an enterprise value of $21.74 billion. It has a P/E of 17.94, a forward P/E of 16.03, a P/B of 3.03 and a P/S of 2.42. GuruFocus has given Applied Materials a financial strength rating of 8/10 and a profitability and growth rating of 7/10.
Jim Simons (Trades, Portfolio) was other investor who got new position in the company.
Dreman acquired a 15,579 share stake in E. I. du Pont de Nemours & Co. (DD), a science and technology company. It consists of 13 businesses that are aggregated into eight reportable segments that include Agriculture, Electronics and Communications, Industrial Biosciences, Nutrition and Health, Performance Chemicals, Performance Materials, Safety and Protection and Pharmaceutical. He paid an average price of $53.37 per share; the deal had a 0.08% impact on his portfolio.
E. I. du Pont de Nemours has a market cap of $59.02 billion and an enterprise value of $63.89 billion. It has a P/E of 21.38, a forward P/E of 20.28, a P/B of 4.59 and a P/S of 1.96. GuruFocus has given E. I. du Pont de Nemours a financial strength rating of 7/10 and a profitability and growth rating of 8/10.
Mason Hawkins (Trades, Portfolio), Joel Greenblatt (Trades, Portfolio) and Robert Olstein (Trades, Portfolio) also bought stakes in E. I. du Pont de Nemours.
Dow Chemical Co. (DOW)Â was another new buy for Dreman; he acquired an 18,299-share stake. The company is as an integrated science and technology company and operates in five segments: Agricultural Sciences, Consumer Solutions, Infrastructure Solutions, Performance Materials and Chemicals and Performance Plastics. He paid an average price of $45.76 per share, and the deal had a 0.08% impact on his portfolio.
Dow has a market cap of $60.4 billion and an enterprise value of $77.35 billion. It has a P/E of 13.42, a forward P/E of 14.45, a P/B of 2.96 and a P/S of 1.23. GuruFocus has given Dow a financial strength rating of 7/10 and a profitability and growth rating of 7/10.
Ray Dalio (Trades, Portfolio) made Dow his new buy in the third quarter.
United Continental Holdings Inc. (UAL) was another new buy for Dreman; he bought 14,536 shares. It is a holding company, and its principal, wholly owned subsidiary is United Airlines Inc. Dreman paid an average price of $56.42 per share, and the deal had a 0.08% impact on his portfolio.
United Continental Holdings has a market cap of $20.78 billion and an enterprise value of $27.16 billion. It has a P/E of 3.27, a forward P/E of 7.14, a P/B of 2.43 and a P/S of 0.56. GuruFocus has given United Continental a financial strength rating of 7/10 and a profitability and growth rating of 5/10.
Alan Fournier (Trades, Portfolio) and John Burbank (Trades, Portfolio) acquired new positions in United Continental Holdings.
Dreman acquired a 7,385-share stake in Flowserve Corp. (FLS), a manufacturer and aftermarket service provider of comprehensive flow control systems. Dreman paid an average price of $45.86 per share; the deal had a 0.03% impact on his portfolio.
Flowserve has a market cap of $6.05 billion and an enterprise value of $7.51 billion. It has a P/E of 17.61, a forward P/E of 14.39, a P/B of 3.53 and a P/S of 1.35. GuruFocus has given Flowserve a financial strength rating of 8/10 and a profitability and growth rating of 7/10.
Charles de Vaulx (Trades, Portfolio) got a new position in Flowserve.
Dreman also bought 8,931 shares in FMC Corp. (FMC), which operates as a mutual fund and asset management firm. It provides investment management, investment product underwriting and distribution and shareholder services administration to mutual funds and institutional and separately managed accounts. Dreman bought shares at an average price of $44.8 per share; the deal had a 0.03% impact on his portfolio.
FMC has a market cap of $5.74 billion and an enterprise value of $7.78 billion. It has a P/E of 7.56, a forward P/E of 14.68, a P/B of 2.71 and a P/S of 1.42. GuruFocus has given FMC a financial strength rating of 7/10 and a profitability and growth rating of 7/10.
Jim Simons (Trades, Portfolio) and Paul Tudor Jones (Trades, Portfolio) got new positions in FMC.
Dreman bought 8,106 shares in Jacobs Engineering Group Inc. (JEC), which provides through its subsidiaries technical, professional and construction services including engineering, design and architectural services; construction and construction management services; operations and maintenance services and process, scientific and systems consulting services. Dreman paid an average price of $40.42 per share; the deal had a 0.03% impact on his portfolio.
Jacobs Engineering Group has a market cap of $5.41 billion and an enterprise value of $5.61 billion. It has a P/E of 15.84, a forward P/E of 13.97, a P/B of 1.25 and a P/S of 0.46. GuruFocus has given Jacobs Engineering a financial strength rating of 8/10 and a profitability and growth rating of 6/10.
Steven Cohen (Trades, Portfolio) and Paul Tudor Jones (Trades, Portfolio) had Jacobs Engineering as a new buy in the quarter.
Dreman acquired a 9,639-share stake in Mosaic Co. (MOS), which produces and markets concentrated phosphate and potash crop nutrients. He paid an average price of $41.38 per share, and the deal had a 0.03% impact on his portfolio.
Mosaic has a market cap of $11.15 billion and an enterprise value of $13.68 billion. It has a P/E of 9.47, a forward P/E of 9.46, a P/B of 1.16 and a P/S of 1.27. GuruFocus has given Mosaic a financial strength rating of 6/10 and a profitability and growth rating of 7/10.
Mosaic also got new positions in the portfolios of Jeremy Grantham (Trades, Portfolio) and Ken Fisher (Trades, Portfolio).
Dreman acquired a 6,653-share stake in Qorvo Inc. (QRVO). He paid an average price of $60.33 per share. The deal had a 0.03% impact on his portfolio.
Qorvo has a market cap of $8.21 billion and an enterprise value of $8.09 billion. It has a P/E of 45.94, a forward P/E of 15.90, a P/B of 1.44 and a P/S of 3.12. GuruFocus has given the company a financial strength rating of 9/10 and a profitability and growth rating of 3/10.
Pioneer Investments (Trades, Portfolio), Jim Simons (Trades, Portfolio) and Paul Tudor Jones (Trades, Portfolio) made Qorvo a new buy in the quarter.
Dreman had another new buy of 6,149 shares in Scripps Networks Interactive Inc. (SNI), a developer of lifestyle-oriented content for television and the Internet with respected, high-profile television and interactive brands. Dreman paid an average price of $57.71 per share; the deal had a 0.03% impact on his portfolio.
Scripps Networks Interactive has a market cap of $7.3 billion and an enterprise value of $11.49 billion. It has a P/E of 13.07, a forward P/E of 11.82, a P/B of 4.94 and a P/S of 2.65. GuruFocus has given Scripps Networks a financial strength rating of 5/10 and a profitability and growth rating of 9/10.
Scripps Networks was a new buy for Dreman while Pioneer Investments (Trades, Portfolio), Joel Greenblatt (Trades, Portfolio), Chuck Royce (Trades, Portfolio), John Keeley (Trades, Portfolio), Ray Dalio (Trades, Portfolio) and Paul Tudor Jones (Trades, Portfolio) increased their stakes.
Dreman acquired a 10,554-share stake in Teradata Corp. (TDC), a provider of analytic data platforms, marketing and analytic applications and consulting services. Dreman paid an average price of $32.05 per share; the deal had a 0.03% impact on his portfolio.
Teradata has a market cap of $3.98 billion and an enterprise value of $3.81 billion. It has a forward P/E of 12.87, a P/B of 4.03 and a P/S of 1.69. GuruFocus has given Teradata a financial strength rating of 6/10 and a profitability and growth rating of 7/10.
Only Dreman had Teradata as new buy, but First Eagle Investment (Trades, Portfolio), HOTCHKIS & WILEY, Charles de Vaulx (Trades, Portfolio), Joel Greenblatt (Trades, Portfolio) and Robert Olstein (Trades, Portfolio) increased their stakes.
