David Rolfe (Trades, Portfolio) significantly trimmed his holdings in Visa Inc. (V, Financial) and M&T Bank Corp. (MTB, Financial) in the third quarter, reducing his position by 516,412 shares in Visa and 220,344 shares in M&T Bank.
Rolfe is the CEO and portfolio manager of Wedgewood Partners Inc. He graduated from the University of Missouri with a B.S.B.A. in Finance/Economics in 1984. He has over 29 years of investment experience managing portfolios.
Wedgewood Partners Inc. has a unique large cap growth strategy, and its main philosophy is “Invest as business owners.” This mental model has resulted in composite client portfolios outperforming both the Standard & Poor's 500 and Russell 1000 indexes, according to the firm's website http://www.wedgewoodpartners.com/.
Visa is also traded in the U.K., Germany, Switzerland and Chile.
Visa is a payment technology company that connects consumers, businesses, banks and governments in more than 200 countries and territories to fast, secure and reliable electronic payments. Visa does not issue cards, extend credit or set rates and fees for consumers; Visa provides financial institutions with Visa-branded payment products that it then uses to offer credit, debit and cash access programs to its customers. Visa offers its services to more than 200 countries and territories worldwide.
Visa has a market cap of $173.67 billion, a P/E ratio of 30.51, an enterprise value of $167.66 billion and a dividend yield of 0.64.
Visa has four good signs, according to GuruFocus:
- It has 0 debt and a 10/10 financial strength ranking.
- It has a 10/10 ranking on profitability and growth with its operating margins performing better than 93% of the 293 companies in the global credit services industry.
- Operating margin: Expansion –Â Visa's operating margin is expanding. Margin expansion is usually a good sign.
- Piotroski F-Score: High –Â Piotroski F-Score of 9 is 9, indicating a very healthy situation.
Visa is a great investment because most people lack discipline and spend beyond their needs. It’s easy for people to go on spending sprees, and Visa accumulates money for each transaction that financial institutions receive.
M&T Bank Corp. is also traded in Germany.
M&T Bank Corp. is a United States bank holding company. It was originally founded in 1856 in New York as Manufacturers and Traders Trust Company. As of June 15, the company has $97.1 billion in assets. The company has more than 650 branches and 15,000 employees across the United States and Canada. M&T Bank Corp. also sponsors the home stadium of the Baltimore Ravens NFL football team.
M&T Bank Corp. has a market cap of $16.35 billion, a P/E ratio of 16.41, an enterprise value of $21.97 billion and a dividend yield of 2.29.
According to GuruFocus, M&T Bank Corp.Ă‚ has three good signs:
- Operating margin: Expansion –Â M&T Bank Corp.'s operating margin is expanding. Margin expansion is usually a good sign.
- P/E Ratio: Close to one-year low –Â M&T Bank Corp.'s stock P/E Ratio (=16.44) is close to its one-year low of 15.25.
- M&T Bank Corp. stock P/B Ratio (=1.41) is close to a three-year low of 1.33.
It’s noteworthy that Rolfe has reduced his positions in two solid companies.
Cheers to your investment success.
