Leucadia Invests in 18 New Holdings in 3rd Quarter

Procter & Gamble is guru's largest purchase

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Nov 22, 2016
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Publicly traded investment company Leucadia National (Trades, Portfolio) added 18 new holdings to its portfolio in the third quarter. The following are the guru’s top six new purchases:

The guru’s largest new purchase was a 1,728,589-share stake in Procter & Gamble Co. (PG, Financial), a Cincinnati-based consumer goods company, for an average price of $86.85 per share. The transaction had a 12.74% impact on the portfolio.

Donald Yacktman (Trades, Portfolio) is Procter & Gamble’s leading shareholder among the gurus with a stake of 16,032,753 shares. The stake is 0.6% of Procter & Gamble’s outstanding shares.

Procter & Gamble has a price-earnings (P/E) ratio of 22.15, a forward P/E of 21.41, a price-book (P/B) ratio of 3.87 and a price-sales (P/S) ratio of 3.61. GuruFocus gives Procter & Gamble a Financial Strength rating of 6/10 and a Profitability and Growth rating of 6/10 with return on equity (ROE) of 17.35% that is higher than 80% of the companies in the Global Household & Personal Products industry and return on assets (ROA) of 8.27% that is higher than 77% of the companies in that industry.

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Procter & Gamble sold for $82.76 per share at market close Tuesday. The DCF Calculator gives Procter & Gamble a fair value of $37.78.

Leucadia bought a 1,274,400-share stake in VanEck Vectors Gold Miners (GDX, Financial) ETF for an average price of $28.68 per share. The deal had a 2.77% impact on the portfolio.

David Einhorn (Trades, Portfolio) is the ETF’s leading shareholder among the gurus with a stake of 8,141,296 shares.

The ETF sold for $21.56 per share Tuesday.

Leucadia invested in a 1,228,692-share stake in Coty Inc. (COTY, Financial), a New York-based beauty products company, for an average price of $26.41 per share. The transaction had a 2.37% impact on the portfolio.

Diamond Hill Capital (Trades, Portfolio) is Coty’s leading shareholder among the gurus with a stake of 6,460,437 shares. The stake is 0.87% of Coty’s outstanding shares.

Coty has a P/E ratio of 46.76, a forward P/E of 18.52, a P/B ratio of 26.31 and a P/S ratio of 1.56. GuruFocus gives Coty a Financial Strength rating of 4/10 and a Profitability and Growth rating of 6/10 with ROE of 33.60% that is higher than 89% of the companies in the Global Household & Personal Products industry and ROA of 2.31% that is lower than 59% of the companies in that industry.

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Coty sold for $19.71 per share Tuesday. The DCF Calculator gives Coty a fair value of $4.49.

The guru purchased 151,967 shares of Monsanto Co. (MON, Financial), a Missouri-based biotechnology company, for an average price of $104.91 per share. The deal had a 1.28% impact on the portfolio.

PRIMECAP Management (Trades, Portfolio) is Monsanto’s leading shareholder among the gurus with a stake of 11,172,833 shares. The stake is 2.55% of Monsanto’s outstanding shares.

Monsanto has a P/E ratio of 33.20, a forward P/E of 21.60, a P/B ratio of 9.86 and a P/S ratio of 3.33. GuruFocus gives Monsanto a Financial Strength rating of 5/10 and a Profitability and Growth rating of 8/10 with ROE of 27.44% that is higher than 90% of the companies in the Global Agricultural Inputs industry and ROA of 6.50% that is higher than 75% of the companies in that industry.

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Monsanto sold for $101.75 per share Tuesday. The DCF Calculator gives Monsanto a fair value of $45.58.

Leucadia bought 269,451 shares of FMC Technologies Inc. (FTI, Financial), an oil and gas equipment and services company based in Houston, for an average price of $27.18 per share. The transaction had a 0.66% impact on the portfolio.

FMC’s leading shareholder among the gurus is First Eagle Investment (Trades, Portfolio) with a stake of 11,841,161 shares. The stake is 5.25% of FMC’s outstanding shares.

FMC has a P/E ratio of 72.43, a forward P/E of 33.90, a P/B ratio of 2.89 and a P/S ratio of 1.62. GuruFocus gives FMC a Financial Strength rating of 6/10 and a Profitability and Growth rating of 7/10 with ROE of 4.25% that is higher than 79% of the companies in the Global Oil & Gas Equipment & Services industry and ROA of 1.74% that is higher than 78% of the companies in that industry.

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FMC sold for $34.77 per share Tuesday. The DCF Calculator gives FMC a fair value of $10.69.

The guru invested in 177,504 shares of Yahoo! Inc. (YHOO, Financial), a California-based Internet and computer software company, for an average price of $41.01 per share. The deal had a 0.63% impact on the portfolio.

Yahoo’s leading shareholder among the gurus is PRIMECAP Management (Trades, Portfolio) with a stake of 6,290,580 shares. The stake is 0.66% of Yahoo’s outstanding shares.

Yahoo has a forward P/E of 68.49, a P/B ratio of 1.13 and a P/S ratio of 7.80. GuruFocus gives Yahoo a Financial Strength rating of 6/10 and a Profitability and Growth rating of 6/10 with ROE of -16.15% that is lower than 78% of the companies in the Global Internet Content & Information industry and ROA of -10.49% that is lower than 75% of the companies in that industry.

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Yahoo sold for $41.01 per share Tuesday. The DCF Calculator gives Yahoo a fair value of $-54.69.

Disclosure: I do not own any stocks mentioned in this article.

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