The Wasatch International Growth (Trades, Portfolio) Fund bought 19 new stocks in the first quarter fitting into its focus of small-cap growth companies outside the U.S.
Roger Edgely, CFA, has worked on the fund for a decade, currently acting as Wasatch Growth Fund’s lead portfolio manager as well as director of international research at Wasatch Funds. Over the past 10 years, the fund has posted annualized returns of 6.84%, beating its benchmarket MSCI AC World Ex-USA Small Cap Index’s 4.14% return. Since its 2002 inception, the fund returned 11.08%, exceeding 9.8% for the index.
Fund managers seek companies with potential for long-term revenue and earnings growth, capable management, high return on capital, competitive advantage, growing market share, financial health and low valuations.
Regarding his outlook, Edgely said in his first quarter shareholder letter that despite “uninspiring” five-year returns for emerging markets, “Selectively chosen emerging-market companies offer growth potential, reasonable valuations, attractive dividend payouts, and the chance to benefit from stabilizing commodity prices and strengthening currencies.”
During the first quarter, Edgely’s top new buys were: GT Capital Holding Inc. (PHS:GTCAP, Financial), Grupo Aeroportuario del Centro Norte SAV de CV (MEX:OMA B), Kuka AG (XTER:KU2, Financial), Minor International PCL (BKK:MINT, Financial), Promotora Y Operadora de Infraestructura SAB de CV (MEX:PINFRA, Financial).
GT Capital Holding Inc. (PHS:GTCAP, Financial)
Edgely bought 748,981 shares of GE Capital Holding, a 1.7% portfolio weight. The stock’s quarterly share price averaged P1,313.
GT Capital Holdings Inc. has a market cap of $244.89 billion; its shares were traded around P1,420.00 with a P/E ratio of 20.2 and P/S ratio of 1.6. The trailing 12-month dividend yield of GT Capital Holdings Inc. stocks is 0.21%. The forward dividend yield of GT Capital Holdings Inc. stocks is 0.21%. GT Capital Holdings Inc. had an annual average earnings growth of 48.3% over the past five years.
Grupo Aeroportuario del Centro Norte SAV de CV (MEX:OMA B)
Edgely purchased 3,123,800 shares of Grupo Europortuario del Centro Norte SAV de CV, a 1.35% portfolio weight. The stock’s quarterly average price was MXN87.
Grupo Aeroportuario Del Centro Norte Sab de CV has a market cap of $41.61 billion; its shares were traded around $106.11 with a P/E ratio of 33.86 and P/S ratio of 9.35. The trailing 12-month dividend yield of Grupo Aeroportuario del Centro Norte Sab de CV stocks is 3.3%. The forward dividend yield of Grupo Aeroportuario Del Centro Norte Sab de CV stocks is 3.3%. Grupo Aeroportuario del Centro Norte Sab de CV had an annual average earnings growth of 9.8% over the past 10 years. GuruFocus rated Grupo Aeroportuario Del Centro Norte Sab de CV the business predictability rank of 3.5-star.
Edgely purchased 165,185 shares of Kuka AG, a 1.31% portfolio weight. The stock’s quarterly price averaged €81.
Kuka AG has a market cap of €4.34 billion; its shares were traded around €109.00 with a P/E ratio of 45.59 and P/S ratio of 1.4. The trailing 12-month dividend yield of Kuka AG stocks is 0.46%. The forward dividend yield of Kuka AG stocks is 0.46%. Kuka AG had an annual average earnings growth of 33.6% over the past five years.
Minor International PCL (BKK:MINT, Financial)
Edgely purchased 15,299,135 shares of Minor International PLC, a 1.2% portfolio weight. The stock’s quarterly share price average was 35.
Minor International PCL has a market cap of $176.09 billion; its shares were traded around $39.25 with a P/E ratio of 20.97 and P/S ratio of 4.39. The trailing 12-month dividend yield of Minor International PCL stocks is 0.88%. The forward dividend yield of Minor International PCL stocks is 0.88%. Minor International PCL had an annual average earnings growth of 10.1% over the past 10 years.
Promotora Y Operadora de Infraestructura SAB de CV (MEX:PINFRA, Financial)
Edgely purchased 1,194,395 shares of Promotora Y Operadora de Infraestructura SAB de CV, a 1.19% portfolio weight. The stock’s quarterly share price averaged MEX213.
Promotora Y Operadora de Infraestructura SAB De CV has a market cap of $90.9 billion; its shares were traded around $212.30 with a P/E ratio of 19.14 and P/S ratio of 8.36. The trailing 12-month dividend yield of Promotora Y Operadora De Infraestructura SAB de CV stocks is 0.44%. The forward dividend yield of Promotora Y Operadora De Infraestructura SAB de CV stocks is 0.44%. Promotora Y Operadora De Infraestructura SAB De CV had an annual average earnings growth of 23.0% over the past 10 years.
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