Legendary guru Martin Whitman has more than 67 years of experience in the investment industry. A Bronx native, Whitman began his career shortly after graduating from Syracuse University with a degree in business administration in 1949. Whitman seized an opportunity to begin his career working as a security analyst for Shearson Hammill. After gaining valuable experience, Whitman took advantage of another opportunity and began working as an investment banker for the owners of the Sears Roebuck fortune, the Rosenwald family who actively managed Sears' department stores in the early 1900s.
In 1990, he founded Third Avenue Management, whose portfolio owns about 130 stocks.
In the fourth quarter of 2015, Third Avenue Value Fund reduced its holding in NVIDIA Corp. (NVDA, Financial).
NVIDIA focuses on specialized platforms and products for gaming, professional visualization, data center and automotive markets. The company is also working to improve on virtual reality, artificial intelligence and self-driving cars. NVIDIA currently employs 8,808 employees in 24 countries according to their website.
NVIDIA has a market cap of $15.09 billion, a P/E ratio of 26.06, an enterprise value of $11.78 billion, and a dividend yield of 1.41.
Below is a Peter Lynch Chart for Nvidia.
According to GuruFocus, NVIDIA has one severe warning sign, which is assets are growing faster than revenue.
NVIDIA has fallen $4.92 in share price since the beginning of 2016; nevertheless, the company had outstanding results in 2015, with the company's stock price rising close to 60%. NVIDIA also set company records for the third quarter of 2015 with $1.305 billion in revenue, an increase of 13% from the previous quarter.
I believe Third Avenue clipped the stake in NVIDIA because the firm prefers to focus on the long term for investments. The competition in the global semiconductors industry makes NVIDIA a high variance, volatile investment.
Cheers to your investment success.
