To make an omelet, the saying goes, one must break a few eggs. Chuck Royce (Trades, Portfolio) of Royce & Associates may not have been making an omelet, but his largest reduction of the first quarter involved an egg company.
It's safe to say the transaction won't break the guru.
Royce’s most noteworthy first-quarter reduction was the sale of 1,739,467 shares, nearly two-thirds of his stake, in Cal-Maine Foods Inc. (CALM, Financial), a Jackson, Mississippi-based fresh egg producer, for an average price of $49.79 per share. The deal had a -0.48% impact on Royce’s portfolio.
As of the end of the first quarter, the remaining stake of 874,026 shares was 1.8% of Cal-Maine’s outstanding shares and 0.29% of Royce’s total assets. Royce remained Cal-Maine’s leading shareholder among the gurus.
Cal-Maine has a P/E of 5.9, a forward P/E of 14.4, a P/B of 2.4 and a P/S of 1.1. GuruFocus gives Cal-Maine a Financial Strength rating of 10/10 and a Profitability and Growth rating of 9/10.
Cal-Maine sold for $45.11 per share Wednesday. The DCF Calculator gives Cal-Maine a fair value of $80.16 with a margin of safety of 45%.
Royce sold more than half of his stake in Children’s Place Inc. (PLCE, Financial), a Secaucus, New Jersey-based children’s apparel retailer. The guru sold 927,000 shares for an average price of $67.55 per share. The transaction had a -0.31% impact on Royce’s portfolio.
The remaining stake of 913,243 shares is 4.84% of Children’s Place’s outstanding shares and 0.48% of Royce’s total assets. Royce is Children’s Place’s leading shareholder among the gurus.
Children’s Place has a P/E of 21.1, a forward P/E of 17.5, a P/B of 2.6 and a P/S of 0.9. GuruFocus gives Children’s Place a Financial Strength rating of 9/10 and a Profitability and Growth rating of 7/10.
Children’s Place sold for $71.13 per share Wednesday. The DCF Calculator gives Children’s Place a fair value of $36.49.
Royce trimmed his stake in Buckle Inc. (BKE, Financial), a Nebraska-based clothing, footwear and accessories retailer, by nearly 27%. Royce sold 1,581,396 shares for an average price of $30.33 per share. The deal had a -0.29% impact on Royce’s portfolio.
The remaining stake of 4,345,740 shares is 8.94% of Buckle’s outstanding shares and 0.93% of Royce’s total assets. Royce is Buckle’s leading shareholder among the gurus.
Buckle has a P/E of 8.7, a forward P/E of 9.3, a P/B of 2.8 and a P/S of 1. GuruFocus gives Buckle a Financial Strength rating of 9/10 with no debt and a Profitability and Growth rating of 7/10.
Buckle sold for $24.85 per share Wednesday. The DCF Calculator gives Buckle a fair value of $46.8 with a margin of safety of 47%.
Royce sold nearly 76% of his stake in Finish Line Inc. (FINL, Financial), an Indianapolis-based athletic footwear and apparel company. The guru sold 2,519,100 shares for an average price of $18.48 per share. The transaction had a -0.27% impact on Royce’s portfolio.
The remaining stake of 805,900 shares is 1.91% of Finish Line’s outstanding shares and 0.11% of Royce’s total assets. Royce is Finish Line’s leading shareholder among the gurus.
Finish Line has a P/E of 39.1, a forward P/E of 11, a P/B of 1.5 and a P/S of 0.4. GuruFocus gives Finish Line a Financial Strength rating of 8/10 and a Profitability and Growth rating of 7/10.
Finish Line sold for $18.39 per share Wednesday. The DCF Calculator gives Finish Line a fair value of $5.03.
Royce trimmed his stake in UniFirst Corp. (UNF, Financial), a uniform rental company based in Wilmington, Massachusetts, by more than 20% with the sale of 431,654 shares for an average price of $104.46 per share. The deal had a -0.27% impact on Royce’s portfolio.
The remaining stake of 1,692,439 shares is 8.4% of UniFirst’s outstanding shares and 1.17% of Royce’s total assets. Royce is UniFirst’s leading shareholder among the gurus.
UniFirst has a P/E of 24.7, a forward P/E of 19.5, a P/B of 1.8 and a P/S of 1.6. GuruFocus gives UniFirst a Financial Strength rating of 9/10 and a Profitability and Growth rating of 8/10.
UniFirst sold for $116.23 per share Wednesday. The DCF Calculator gives UniFirst a fair value of $66.73.
Royce pared his stake in Reliance Steel & Aluminum Co. (RS, Financial), a metals company based in Los Angeles, by nearly 29%. The guru sold 757,690 shares for an average price of $60.32 per share. The transaction had a -0.26% impact on Royce’s portfolio.
The remaining stake of 1,879,650 shares is 2.6% of Reliance Steel & Aluminum’s outstanding shares and 0.82% of Royce’s total assets. Royce is Reliance Steel & Aluminum’s leading shareholder among the gurus.
Reliance Steel & Aluminum has a P/E of 18.1, a forward P/E of 14, a P/B of 1.3 and a P/S of 0.6. GuruFocus gives Reliance Steel & Aluminum a Financial Strength rating of 7/10 and a Profitability and Growth rating of 7/10.
Reliance Steel & Aluminum sold for $74.61 per share Wednesday. The DCF Calculator gives Reliance Steel & Aluminum a fair value of $43.98.
The guru reduced his stake in Bed Bath & Beyond Inc. (BBBY, Financial), a New Jersey-based retailer of domestic products, by nearly 36%. Royce sold 855,700 shares for an average price of $46.77 per share. The deal had a -0.25% impact on Royce’s portfolio.
The remaining stake of 1,536,400 shares is 0.99% of Bed Bath & Beyond’s outstanding shares and 0.48% of Royce’s total assets. HOTCHKIS & WILEY is Bed Bath & Beyond’s leading shareholder among the gurus with a stake of 7,584,168 shares. The stake is 4.87% of the company’s outstanding shares and 1.58% of Royce’s total assets.
Bed Bath & Beyond has a P/E of 8.7, a forward P/E of 8.8, a P/B of 2.7 and a P/S of 0.6. GuruFocus gives Bed Bath & Beyond a Financial Strength rating of 8/10 and a Profitability and Growth rating of 7/10.
Bed Bath & Beyond sold for $44.52 per share Wednesday. The DCF Calculator gives Bed Bath & Beyond a fair value of $92.82 with a margin of safety of 52%.
Royce cut his stake in Rofin-Sinar Technologies Inc. (RSTI, Financial), a Michigan-based provider of laser solutions, by more than 92%. The guru sold 1,532,721 shares for an average price of $24.34 per share. The transaction had a -0.25% impact on Royce’s portfolio.
The remaining stake of 130,602 shares is 0.46% of Rofin-Sinar’s outstanding shares and 0.03% of Royce’s total assets. Mario Gabelli (Trades, Portfolio) is Rofin-Sinar’s leading shareholder among the gurus with a stake of 313,500 shares. The stake is 1.11% of Rofin-Sinar’s outstanding shares and 0.07% of Gabelli’s total assets.
Rofin-Sinar has a P/E of 27.1, a forward P/E of 19.8, a P/B of 1.6 and a P/S of 1.8. GuruFocus gives Rofin-Sinar a Financial Strength rating of 10/10 and a Profitability and Growth rating of 7/10.
Rofin-Sinar sold for $31.98 per share Wednesday. The DCF Calculator gives Rofin-Sinar a fair value of $12.63.
The guru trimmed his stake in Minerals Technologies Inc. (MTX, Financial), a producer of specialty minerals, by more than 40%. Royce sold 847,593 shares for an average price of $46.52 per share. The deal had a -0.23% impact on Royce’s portfolio.
The remaining stake of 1,262,455 shares is 3.62% of the company’s outstanding shares and 0.45% of Royce’s total assets. Royce is Minerals Technologies’ leading shareholder among the gurus.
Minerals Technologies has a P/E of 18.9, a forward P/E of 11.9, a P/B of 2.1 and a P/S of 1.2. GuruFocus gives Minerals Technologies a Financial Strength rating of 7/10 and a Profitability and Growth rating of 8/10.
Minerals Technologies sold for $57.39 per share Wednesday. The DCF Calculator gives Minerals Technologies a fair value of $32.53.
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