High Quality Guru Stocks Include TransDigm, Chipotle

Stocks with high business predictability that gurus are buying

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May 03, 2016
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According to GuruFocus’ All-in-One Screener, the following stocks have a high business predictability rating and at least five gurus are shareholders in the companies.

TransDigm Group Inc.Ă‚ (TDG)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company is designer, producer and supplier of engineered aircraft components for use on commercial and military aircraft in service.

The stock is trading with a P/E ratio of 27.86, and the price has been as high as $244.90 and as low as $180.76 in the last 52 weeks. It is currently 6.95% below its 52-week high and 26.06% above its 52-week low. According to the DCF calculator, the company looks slightly undervalued with a margin of safety of 2%.

The company’s largest shareholder among the gurus is Steve Mandel (Trades, Portfolio) with 4.06% of outstanding shares, followed by Andreas Halvorsen (Trades, Portfolio) with 2.99%, Lee Ainslie (Trades, Portfolio) with 2.47%, Chase Coleman (Trades, Portfolio) with 02.28%, John Griffin (Trades, Portfolio) with 1.8%, Alan Fournier (Trades, Portfolio) with 1.64% and Ron Baron (Trades, Portfolio) with 1.4%.

Chipotle Mexican Grill Inc. (CMG)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company operates Chipotle Mexican Grill restaurants, which serves a menu of burritos, tacos, burrito bowls (a burrito without the tortilla) and salads, made using fresh ingredients.

The stock is trading with a P/E ratio of 40.75, and the price has been as high as $758 and as low as $399.14 the last 52 weeks. It is currently 44.51% below its 52-week high and 5.47% above its 52-week low. According to the DCF calculator, the stock is overpriced by 43%.

Frank Sands (Trades, Portfolio) is the largest shareholder of the company among the gurus with 5.34% of outstanding shares, followed by Andreas Halvorsen (Trades, Portfolio) with 2.36%, Jeremy Grantham (Trades, Portfolio) with 1.66%, Jim Simons (Trades, Portfolio) with 1.66%, Steven Cohen (Trades, Portfolio) with 0.09%, Stanley Druckenmiller (Trades, Portfolio) with 0.07% and Joel Greenblatt (Trades, Portfolio) with 0.06%.

Amdocs Ltd. (DOX)

GuruFocus gives the company a business predictability of 5 out of 5 stars. It is a provider of software and services for communications, media and entertainment industry.

The stock is trading with a forward P/E ratio of 21.18, and the price has been as high as $61.46 and as low as $50.06 in the last 52 weeks. It is currently 8.01% below its 52-week high and 12.94% above its 52-week low. According to the DCF calculator, the stock is overpriced by 66%.

The company’s largest shareholder among the gurus is Manning & Napier Advisors with 3.51% of outstanding shares, followed by Jim Simons (Trades, Portfolio) with 1.34%, Charles de Vaulx (Trades, Portfolio) with 0.77%, Pioneer Investments (Trades, Portfolio) with 0.3%, Ken Fisher (Trades, Portfolio) with 0.21%, Charles Brandes (Trades, Portfolio) with 0.18% and Joel Greenblatt (Trades, Portfolio) with 0.09%.

Cameron International Corp.Ă‚ (CAM)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company is a provider of flow equipment products, systems and services to oil, gas and process industries. Cooper Cameron is also a manufacturer of centrifugal air compressors, integral and separable gas compressors and turbochargers.

The stock is trading with a P/E ratio of 25.49, and the price has been as high as $71.22 and as low as $40.50 in the last 52 weeks. It is currently 7.32% below its 52-week high and 62.99% above its 52-week low. According to the DCF calculator, the stock is overpriced by 1,615%.

PRIMECAP Management (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.25% of outstanding shares, followed by Mario Gabelli (Trades, Portfolio) with 0.22%, Pioneer Investments (Trades, Portfolio) with 0.19%, Paul Tudor Jones (Trades, Portfolio) with 0.18%, Jim Simons (Trades, Portfolio) with 0.09%, George Soros (Trades, Portfolio) with 0.05% and Steven Cohen (Trades, Portfolio) with 0.02%.

CVS Health Corp. (CVS)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company is an integrated pharmacy health care provider in the U.S. They have three segments: Pharmacy Services, Retail Pharmacy and Corporate.

The stock is trading with a P/E ratio of 21.61, and the price has been as high as $113.65 and as low as $81.37 in the last 52 weeks. It is currently 11.57% below its 52-week high and 23.51% above its 52-week low. According to the DCF calculator, the stock is overpriced by 3%.

The company’s largest shareholder among the gurus is Pioneer Investments (Trades, Portfolio) with 0.46% of outstanding shares, followed by PRIMECAP Management (Trades, Portfolio) with 0.32%, Vanguard Health Care Fund (Trades, Portfolio) with 0.28%, Jeremy Grantham (Trades, Portfolio) with 0.21%, Mario Gabelli (Trades, Portfolio) with 0.11% and Charles de Vaulx (Trades, Portfolio) with 0.08%.

Aetna Inc. (AET)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company offers traditional, voluntary and consumer-directed health insurance products and related services.

The stock is trading with a P/E ratio of 16.91 and the price has been as high as $134.40 and as low as $92.42 in the last 52 weeks. It is currently 16.47% below its 52-week high and 21.48% above its 52-week low. According to the DCF calculator, the stock is overpriced by 15%.

Vanguard Health Care Fund (Trades, Portfolio) is the largest shareholder of the company among the gurus with 2.49% of outstanding shares, followed by Larry Robbins (Trades, Portfolio) with 1.64%, Pioneer Investments (Trades, Portfolio) with 0.45%, Andreas Halvorsen (Trades, Portfolio) with 0.36%, Jeremy Grantham (Trades, Portfolio) with 0.2%, Richard Pzena (Trades, Portfolio) with 0.17% and Jim Simons (Trades, Portfolio) with 0.06%.

Amazon.com Inc. (AMZN)

GuruFocus gives the company a business predictability of 5 out of 5 stars. The company sells its products through its website. It also provides services such as advertising services and co-branded credit card agreements.

The stock is trading with a P/E ratio of 271.44, and the price has been as high as $696.44 and as low as $414.55 in the last 52 weeks. It is currently 5.29% below its 52-week high and 59.11% above its 52-week low. According to the DCF calculator, the company stock is overpriced by 2,437%.

The company’s largest shareholder among the gurus is Chase Coleman (Trades, Portfolio) with 0.68% of outstanding shares, followed by Chris Davis (Trades, Portfolio) with 0.6%, Andreas Halvorsen (Trades, Portfolio) with 0.55%, Ken Fisher (Trades, Portfolio) with 0.53%, Steve Mandel (Trades, Portfolio) with 0.47% and Frank Sands (Trades, Portfolio) with 0.45%.