Chris Davis (Trades, Portfolio) is a portfolio manager for the Davis Large Cap Value portfolios and a member of the research team for other portfolios within the firm. Davis Advisors was founded in 1969 offering clients investment opportunities through mutual funds, variable annuities, separately managed accounts and offshore funds. Throughout the course of the company's history, its primary focus has been to invest in securities at value prices and hold them for long-term growth. Davis has a firm belief that perspective, discipline and alignment are the three most important drivers for long-term investment success.
In the first quarter of 2016, Davis slashed his position in PH Glatfelter Co. (GLT, Financial) by nearly 30%.
PH Glatfelter was founded in 1864 by Philip Glatfelter, a young entrepreneur who was given the opportunity to purchase the Howard Paper Mill for $14,000. He opened PH Glatfelter and produced 1,500 pounds of newsprint per day. The company was able to quickly expand its operations. By the late 1870’s PH Glatfelter was producing over 10,000 pounds of newsprint per day.Â
PH Glatfelter has been through many obstacles throughout the company's existence, including the Great Depression when unemployment rates were close to 20%. Philip Glatfelter II kept his father's business going through the hard times and invested $2 million dollars to expand the company while facing tremendous adversity. Glatfelter was able to retain all of his employees without letting any of them go during the Great Depression, which shows that the company had depth to its management and good labor practices.
Today, PH Glatfelter has expanded its operations producing specialty papers and fiber-based engineered materials. The company manages its business as three business units which include composite fibers, Advanced Airlaid Materials and Specialty Papers.
PH Glatfelter has a market cap of $849.73 million, a P/E ratio of 13.31, an enterprise value of $1.11 billion and a P/B ratio of 1.25.
Below is a Peter Lynch Chart for PH Glatfelter.
Davis decided to reduce his position by slashing 809,283 shares of PH Glatfelter from his portfolio. One of the primary reasons that may have influenced him to sell 30% of his holding could be that a lot of companies are switching to paperless electronic alternatives, which is not a good sign for PH Glatfelter in the decades to come.
Cheers to your investment success.
