NWQ Managers (Trades, Portfolio) invested in 12 new holdings in the second quarter. The firm bought shares in a variety of companies, among them an airline, a retailer and a pharmaceutical company.
Its largest acquisition was a 2,746,706-share stake in Novanta Inc. (NOVT, Financial), a Massachusetts-based provider of industrial and health care technology solutions formerly known as GSI Group. NWQ Managers (Trades, Portfolio) paid an average price of $14.95 per share in a deal that had a 0.71% impact on the portfolio.
The stake is 7.98% of Novanta’s outstanding shares and 0.71% of NWQ Managers (Trades, Portfolio)’ total assets. NWQ Managers (Trades, Portfolio) is Novanta’s leading shareholder among the gurus.
Novanta has a price-earnings (P/E) ratio of 30.89, a price-book (P/B) ratio of 2.37 and a price-sales (P/S) ratio of 1.61. GuruFocus gives Novanta a Financial Strength rating of 6/10 and a Profitability and Growth rating of 6/10 with return on equity (ROE) of 8.00% that is higher than 60% of the companies in the Global Scientific & Technical Instruments industry and return on assets (ROA) of 4.62% that is higher than 62% of the companies in that industry.
Novanta sold for $17.3 at market close Friday. The DCF Calculator gives Novanta a fair value of $5.99.
NWQ Managers (Trades, Portfolio) bought 552,911 shares in Southwest Airlines Co. (LUV, Financial), a Dallas-based commercial airline, for an average price of $42.83 per share. The deal had a 0.37% impact on the portfolio.
PRIMECAP Management (Trades, Portfolio) is Southwest’s leading shareholder among the gurus with a stake of 73,363,893 shares. The stake is 11.83% of Southwest’s outstanding shares and 3.06% of PRIMECAP’s total assets.
Southwest has a P/E of 9.68, a forward P/E of 9.07, a P/B of 2.91 and a P/S of 1.17. GuruFocus gives Southwest a Financial Strength rating of 6/10 and a Profitability and Growth rating of 8/10 with ROE of 33.30% that is higher than 73% of the companies in the Global Airlines industry and ROA of 11.32% that is higher than 81% of the companies in that industry.
Southwest Airlines sold for $36.59 per share Friday. The DCF Calculator gives Southwest a fair value of $77.14 with a 53% margin of safety.
Southwest Airlines reached an agreement in principle with the union representing its flight attendants on Sept. 9.
NWQ Managers (Trades, Portfolio) invested in a 1,243,252-share stake in Sagent Pharmaceuticals Inc. (SGNT, Financial), a biopharmaceutical company based in Illinois, for an average price of $12.84 per share. The purchase had a 0.32% impact on the portfolio.
The stake is 3.78% of Sagent’s outstanding shares and 0.32% of NWQ Managers (Trades, Portfolio)’ total assets. NWQ Managers (Trades, Portfolio) is Sagent’s only shareholder among the gurus.
Sagent has a forward P/E of 46.73, a P/B of 2.82 and a P/S of 2.39. GuruFocus gives Sagent a Financial Strength rating of 7/10 and a Profitability and Growth rating of 1/10 with ROE of -9.63% that is lower than 77% of the companies in the Global Drug Manufacturers – Specialty & Generic industry and ROA of -7.02% that is lower than 76% of the companies in that industry.
Sagent sold for $21.76 per share Friday. The DCF Calculator gives Sagent a fair value of $-8.24.
NWQ Managers (Trades, Portfolio) acquired 321,179 shares in Nordstrom Inc. (JWN, Financial), a Seattle-based retailer, for an average price of $44.59 per share. The deal had a 0.21% impact on the portfolio.
HOTCHKIS & WILEY is Nordstrom’s leading shareholder among the gurus with a stake of 3,594,094 shares. The stake is 2.07% of Nordstrom’s outstanding shares and 0.59% of HOTCHKIS & WILEY’s total assets.
Nordstrom has a P/E of 21.98%, a forward P/E of 18.15, a P/B of 9.52 and a P/S of 0.67. GuruFocus gives Nordstrom a Financial Strength rating of 5/10 and a Profitability and Growth rating of 7/10 with ROE of 32.21% that is higher than 93% of the companies in the Global Department Stores industry and ROA of 5.07% that is higher than 67% of the companies in that industry.
Nordstrom sold for $51.28 per share Friday. The DCF Calculator gives Nordstrom a fair value of $26.57.
NWQ Managers (Trades, Portfolio) purchased 149,805 shares in Apartment Investment & Management Co. (AIV, Financial), a Denver-based owner and operator of apartment communities, for an average price of $41.55 per share. The transaction had a 0.11% impact on the portfolio.
Jim Simons (Trades, Portfolio) is Apartment Investment & Management’s leading shareholder among the gurus with a stake of 1,355,160 shares. The stake is 0.87% of the company’s outstanding shares and 0.11% of Simons’ total assets.
Apartment Investment & Management has a P/E of 20.76, a forward P/E of 39.84, a P/B of 4.23 and a P/S of 6.98. GuruFocus gives Apartment Investment & Management a Financial Strength rating of 4/10 and a Profitability and Growth rating of 6/10 with ROE of 20.08% that is higher than 92% of the companies in the Global REIT – Residential industry and ROA of 5.53% that is higher than 69% of the companies in that industry.
Apartment Investment & Management sold for $43.78 per share Friday. The DCF Calculator gives Apartment Investment & Management a fair value of $7.38.
NWQ Managers (Trades, Portfolio) bought 235,000 shares in MGM Growth Properties LLC (MGP, Financial), a real estate investment trust that owns 10 casinos and leases them to its majority owner, MGM Resorts International (MGM, Financial), for an average price of $23.76 per share. The deal had a 0.11% impact on the portfolio.
Ron Baron (Trades, Portfolio) is MGM Growth Properties’ leading shareholder among the gurus with a stake of 2,373,714 shares. The stake is 4.13% of MGM Growth Properties’ outstanding shares and 0.34% of Baron’s total assets.
MGM Growth Properties has a P/E of 18.88, a forward P/E of 23.87, a P/B of 1.11 and a P/S of 13.22. GuruFocus gives MGM Growth Properties a Financial Strength rating of 3/10 and a Profitability and Growth rating of 2/10 with ROE of -4.11% that is lower than 90% of the companies in the Global REIT – Hotel & Motel industry and ROA of -1.90% that is lower than 92% of the companies in that industry.
MGM Growth Properties sold for $25.32 per share Friday. The DCF Calculator gives MGM Growth Properties a fair value of $14.02.
MGM Resorts International recently reached its 52-week high.
NWQ Managers (Trades, Portfolio) obtained 106,761 shares in TriState Capital Holdings Inc. (TSC, Financial), a Pittsburgh-based bank holding company, for an average price of $12.96 per share. The transaction had a 0.03% impact on the portfolio.
Chuck Royce (Trades, Portfolio) is TriState’s leading shareholder among the gurus with 509,552 shares in the portfolio. The holding is 1.81% of TriState’s outstanding shares and 0.05% of Royce’s total assets.
TriState has a P/E of 18.05, a P/B of 1.35 and a P/S of 3.93. GuruFocus gives TriState a Financial Strength rating of 6/10 and a Profitability and Growth rating of 6/10 with ROE of 7.47% that is lower than 57% of the companies in the Global Banks – Regional – US industry and ROA of 0.74% that is lower than 60% of the companies in that industry.
TriState sold for $15.7 per share Friday. The DCF Calculator gives TriState a fair value of $9.31.
NWQ Managers (Trades, Portfolio) also acquired less than 100,000 shares each in State Street Corp. (STT, Financial), UBS Group AG (UBS, Financial), iShares Russell 1000 Value (IWD, Financial), Ensco PLC (ESV, Financial) and Lloyds Banking Group PLC (LYG).
Disclosure: I do not own any stocks mentioned in this article.
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