The Stock market had a rough run since the beginning of the year. Dow has been retreating from its highs, and S&P500 is down by more than 2.5% year to date. Starting February, we have reported the most recent stock purchases and sells of Gurus during the previous quarter. As of yesterday we have reported all the buys, sells and portfolios of gurus we track. We would like to wrap up what Gurus have done here.
Guru Investment Trend – Which sectors are Gurus moving money to and from?
Industrial Goods & Services and Personal & Household Goods industry are continue to be where value Gurus bought most of their stocks. Overall the buying activities are less than they were in the quarter before. Ingersoll-Rand Co. Ltd. (IR, Financial) is the most popular buy of the gurus in our List of Gurus in Industrial Goods & Services, it is a new position for Warren Buffett, Brian Rogers, and David Dreman. Mason Hawkins added to his position in Ingersoll-Rand Co. Ltd. (IR). Whirlpool Corp. (WHP, Financial) turns out to be the most bought stock in Personal & Household Goods industry. It is the new position of David Dreman, Charles Brandes added his position in Whirlpool.
The most sold industry is the biotech industry. George Soros invested heavily in this area, and he has eliminated a lot of holdings in this area. Health Care companies are continuously being reduced. Bristol-Myers Squibb Co. (BMY, Financial) is the most sold company in this industry.
(Premium Members: If you have built your Personalized List of Gurus, your observation might be different from this report. You can observe the aggregate or individual investment trend of your Personalized List of Gurus here. )
Consensus Picks of Gurus
Ingersoll-Rand Co. Ltd (IR) is bought by at least 4 Gurus besides 3 other stocks. 16 stocks were bought by at least 3 gurus each, and none of the gurus sold them. Many of these Consensus Picks are in financial services sector. Internationally, 2 Canadian stocks, 1 European stock, 1 Asia stock are on the list of Consensus Picks. (Premium Membership can see this list and the Consensus Picks by industries, countries or market caps here.)
Interestingly, some of the once Consensus Picks stocks are on the Consensus Sells list. No gurus bought them, at least 2 gurus started to reduce them. One of the stocks is DELL. Are these stocks reaching their intrinsic value? Or gurus just think they were wrong in the first place? (Premium Members: The link of the details are here)
Broadest Owned Stocks
Pfizer Inc. (PFE, Financial) and Tyco International Ltd. (TYC, Financial) and Citigroup Inc. © are the broadest owned stocks. Pfizer Inc. is owned by 14 Gurus. Pfizer continue to stand on the No. 1 in this list and owned by 14 Gurus. Gurus shrug off the concern that what Pfizer will do when the hugely popular cholesterol drug Lipitor loses its patent protection around 2010. With sales of almost $13 billion last year, Lipitor is not only Pfizer's primary revenue driver; it is also the world's biggest-selling prescription drug. Pfizer investors had been banking on a new drug containing Lipitor called torcetrapib as a means for the company to hang on to its lucrative Lipitor franchise. The development of torcetrapib was stopped. Tyco is in the status of pre-split. Will the split realize the company’s full value?
The top 25 broadest owned stocks from this time last year has outperformed S&P500 by more than 3%. For details click this: http://www.gurufocus.com/model_portfolio.php?mp=largecap
Most Weighted Stocks
Wal-Mart (WMT, Financial) continue to hold the position of the most weighted stocks of Guru’s portfolios. It is responsible for about 85% of Joel Greenblatt’s common stock portfolios. The price of Wal-Mart is still more than 30% below its all time high of $68 in 2000, although its earnings have doubled since. Joel Greenblatt is betting heavily on it. Wal-Mart is owned by 11 gurus.
Sears (SHLD) has replaced Comcast (CSCMA, CSCMK) and sits at the position of the second most weighted stock. It is owned by 6 gurus.
The portfolio of 25 most weighted stocks has outperformed the S&P500 by more than 10%. For the details of the portfolio, click here: http://www.gurufocus.com/model_portfolio.php?mp=hr_largecap
(Premium Members: the details of the Broadest Owened Stocks and the Most Weighted Stocks are in the pages of Aggregate Portfolios. You can also drill down into different industries, market cap, or countries to see the most popular guru stocks within certain areas. If you are not a Premium Member, we invite you for a 7-day FREE Trial.)
Guru Investment Trend – Which sectors are Gurus moving money to and from?
Industrial Goods & Services and Personal & Household Goods industry are continue to be where value Gurus bought most of their stocks. Overall the buying activities are less than they were in the quarter before. Ingersoll-Rand Co. Ltd. (IR, Financial) is the most popular buy of the gurus in our List of Gurus in Industrial Goods & Services, it is a new position for Warren Buffett, Brian Rogers, and David Dreman. Mason Hawkins added to his position in Ingersoll-Rand Co. Ltd. (IR). Whirlpool Corp. (WHP, Financial) turns out to be the most bought stock in Personal & Household Goods industry. It is the new position of David Dreman, Charles Brandes added his position in Whirlpool.
The most sold industry is the biotech industry. George Soros invested heavily in this area, and he has eliminated a lot of holdings in this area. Health Care companies are continuously being reduced. Bristol-Myers Squibb Co. (BMY, Financial) is the most sold company in this industry.
(Premium Members: If you have built your Personalized List of Gurus, your observation might be different from this report. You can observe the aggregate or individual investment trend of your Personalized List of Gurus here. )
Consensus Picks of Gurus
Ingersoll-Rand Co. Ltd (IR) is bought by at least 4 Gurus besides 3 other stocks. 16 stocks were bought by at least 3 gurus each, and none of the gurus sold them. Many of these Consensus Picks are in financial services sector. Internationally, 2 Canadian stocks, 1 European stock, 1 Asia stock are on the list of Consensus Picks. (Premium Membership can see this list and the Consensus Picks by industries, countries or market caps here.)
Interestingly, some of the once Consensus Picks stocks are on the Consensus Sells list. No gurus bought them, at least 2 gurus started to reduce them. One of the stocks is DELL. Are these stocks reaching their intrinsic value? Or gurus just think they were wrong in the first place? (Premium Members: The link of the details are here)
Broadest Owned Stocks
Pfizer Inc. (PFE, Financial) and Tyco International Ltd. (TYC, Financial) and Citigroup Inc. © are the broadest owned stocks. Pfizer Inc. is owned by 14 Gurus. Pfizer continue to stand on the No. 1 in this list and owned by 14 Gurus. Gurus shrug off the concern that what Pfizer will do when the hugely popular cholesterol drug Lipitor loses its patent protection around 2010. With sales of almost $13 billion last year, Lipitor is not only Pfizer's primary revenue driver; it is also the world's biggest-selling prescription drug. Pfizer investors had been banking on a new drug containing Lipitor called torcetrapib as a means for the company to hang on to its lucrative Lipitor franchise. The development of torcetrapib was stopped. Tyco is in the status of pre-split. Will the split realize the company’s full value?
The top 25 broadest owned stocks from this time last year has outperformed S&P500 by more than 3%. For details click this: http://www.gurufocus.com/model_portfolio.php?mp=largecap
Most Weighted Stocks
Wal-Mart (WMT, Financial) continue to hold the position of the most weighted stocks of Guru’s portfolios. It is responsible for about 85% of Joel Greenblatt’s common stock portfolios. The price of Wal-Mart is still more than 30% below its all time high of $68 in 2000, although its earnings have doubled since. Joel Greenblatt is betting heavily on it. Wal-Mart is owned by 11 gurus.
Sears (SHLD) has replaced Comcast (CSCMA, CSCMK) and sits at the position of the second most weighted stock. It is owned by 6 gurus.
The portfolio of 25 most weighted stocks has outperformed the S&P500 by more than 10%. For the details of the portfolio, click here: http://www.gurufocus.com/model_portfolio.php?mp=hr_largecap
(Premium Members: the details of the Broadest Owened Stocks and the Most Weighted Stocks are in the pages of Aggregate Portfolios. You can also drill down into different industries, market cap, or countries to see the most popular guru stocks within certain areas. If you are not a Premium Member, we invite you for a 7-day FREE Trial.)
