Long term value investing firm Tweedy Browne is finding it more challenging to find good investment opportunities. Their portfolio has a quality bent reflecting where value is showing up in global equity markets. This is the Q1 portfolio update of Tweedy Browne.
Tweedy Browne buys 21st Century Insurance Group, McDonald's Corp., Arthur J. Gallagher & Co., Automatic Data Processing Inc., sells Burlington Northern Santa Fe Corp., Wellpoint Inc., Shenandoah Telecommunications Co during the 3-months ended 03/31/2010, according to the most recent filings of his investment company, Tweedy Browne CO LLC. Tweedy Browne owns 56 stocks with a total value of $2.6 billion. These are the details of the buys and sells.
This is the sector weightings of his portfolio:
These are the top 5 holdings of Tweedy Browne
Brown & Brown, Inc. and its subsidiaries offer a broad range of insurance and reinsurance products and services, as well as risk management, third party administration, managed health care, and Medicare set-aside services and programs. Brown & Brown Inc. has a market cap of $2.78 billion; its shares were traded at around $19.57 with a P/E ratio of 18.5 and P/S ratio of 2.9. The dividend yield of Brown & Brown Inc. stocks is 1.6%. Brown & Brown Inc. had an annual average earning growth of 16.2% over the past 10 years. GuruFocus rated Brown & Brown Inc. the business predictability rank of 2.5-star.
Philip Morris International is the international tobacco company, with products sold in over 160 countries. Philip Morris International Inc has a market cap of $90.94 billion; its shares were traded at around $48.35 with a P/E ratio of 13.9 and P/S ratio of 1.5. The dividend yield of Philip Morris International Inc stocks is 4.8%.
Johnson & Johnson is engaged in the manufacture and sale of a broad range of products in the health care field in many countries of the world. Johnson & Johnson has a market cap of $178.25 billion; its shares were traded at around $64.67 with a P/E ratio of 13.9 and P/S ratio of 2.9. The dividend yield of Johnson & Johnson stocks is 3%. Johnson & Johnson had an annual average earning growth of 11.1% over the past 10 years. GuruFocus rated Johnson & Johnson the business predictability rank of 4.5-star.
Cintas Corp. provides a specialized service to businesses of all types - from small service and manufacturing companies to major corporations. Cintas Corp. has a market cap of $4.08 billion; its shares were traded at around $26.66 with a P/E ratio of 17.5 and P/S ratio of 1.1. The dividend yield of Cintas Corp. stocks is 1.8%. Cintas Corp. had an annual average earning growth of 6.4% over the past 10 years. GuruFocus rated Cintas Corp. the business predictability rank of 3.5-star.
Towers Watson & Co. is a global professional services company that helps organizations improve performance through effective people, risk and financial management. 21st Century Insurance Group has a market cap of $2.05 billion; its shares were traded at around $48.44 with a P/E ratio of 13.7 and P/S ratio of 1.2. The dividend yield of 21st Century Insurance Group stocks is 0.6%.
McDonald's Corporation develops, operates, franchises and services a worldwide system of restaurants that prepare, assemble, package and sell a limited menu of value-priced foods. Mcdonald's Corp. has a market cap of $75.83 billion; its shares were traded at around $70.48 with a P/E ratio of 16.9 and P/S ratio of 3.3. The dividend yield of Mcdonald's Corp. stocks is 3.1%. Mcdonald's Corp. had an annual average earning growth of 14.7% over the past 10 years. GuruFocus rated Mcdonald's Corp. the business predictability rank of 2.5-star.
Automatic Data Processing, Inc. is one of the largest providers of computerized transaction processing, data communication, and information services in the world. Automatic Data Processing Inc. has a market cap of $21.46 billion; its shares were traded at around $42.5 with a P/E ratio of 17.7 and P/S ratio of 2.4. The dividend yield of Automatic Data Processing Inc. stocks is 3.2%. Automatic Data Processing Inc. had an annual average earning growth of 2.8% over the past 10 years. GuruFocus rated Automatic Data Processing Inc. the business predictability rank of 4-star.
Arthur J. Gallagher & Co. and its subsidiaries are engaged in providing insurance brokerage, risk management, employee benefit and other related services to clients in the United States and abroad. Arthur J. Gallagher & Co. has a market cap of $2.61 billion; its shares were traded at around $25.29 with a P/E ratio of 19.2 and P/S ratio of 1.5. The dividend yield of Arthur J. Gallagher & Co. stocks is 5.1%. Arthur J. Gallagher & Co. had an annual average earning growth of 6.1% over the past 10 years.
Jefferies Group, Inc. is a holding company whose affiliated companies, including its principal operating subsidiary, Jefferies & Company, Inc. Jefferies Group Inc. has a market cap of $4.3 billion; its shares were traded at around $25.05 with a P/E ratio of 16.3 and P/S ratio of 1.7. The dividend yield of Jefferies Group Inc. stocks is 1.2%.
G&K Services, Inc. is a market leader in branded identity apparel programs and facility services in the United States, and is the largest such provider in Canada. G&k Services Inc. has a market cap of $490.7 million; its shares were traded at around $26.43 with a P/E ratio of 24.5 and P/S ratio of 0.5. The dividend yield of G&k Services Inc. stocks is 1.1%.
Unilever plc is engaged in manufacturing of branded and packaged consumer goods, including food, detergents and personal care products. Unilever Plc has a market cap of $37.42 billion; its shares were traded at around $28.56 with a P/E ratio of 15 and P/S ratio of 0.7. The dividend yield of Unilever Plc stocks is 4.5%.
Norfolk Southern Corp., a Virginia-based holding company, owns two major freight railroads, Norfolk Southern Railway Company and Norfolk Western Railway Company, which operates in numerous states, the District of Columbia and the Province of Ontario. Norfolk Southern Corp. has a market cap of $23.08 billion; its shares were traded at around $59.15 with a P/E ratio of 19.9 and P/S ratio of 2.9. The dividend yield of Norfolk Southern Corp. stocks is 2.3%. Norfolk Southern Corp. had an annual average earning growth of 11.5% over the past 10 years. GuruFocus rated Norfolk Southern Corp. the business predictability rank of 3-star.
American Nat'l Insurance's family of companies offers a broad line of products and services, which include individual and group life and health insurance, and annuities; personal lines property and casualty insurance; credit insurance and mutual funds. American National Insurance Company has a market cap of $2.9 billion; its shares were traded at around $108.1 with a P/E ratio of 32.3 and P/S ratio of 1. The dividend yield of American National Insurance Company stocks is 2.8%.
Union Pacific Corp. consists of one reportable segment, rail transportation, and the company's other product lines. Union Pacific Corp. has a market cap of $37.79 billion; its shares were traded at around $74.79 with a P/E ratio of 19.3 and P/S ratio of 2.7. The dividend yield of Union Pacific Corp. stocks is 1.4%. Union Pacific Corp. had an annual average earning growth of 3.3% over the past 10 years.
WellPoint, Inc. is the largest publicly traded commercial health benefits company in terms of membership in the United States. Wellpoint Inc. has a market cap of $23.13 billion; its shares were traded at around $52.11 with a P/E ratio of 8.3 and P/S ratio of 0.4. Wellpoint Inc. had an annual average earning growth of 21.6% over the past 10 years.
Shenandoah Telecommunications Company is a holding company which provides a broad range of telecommunications services through its operating subsidiaries. Shenandoah Telecommunications Co has a market cap of $440.2 million; its shares were traded at around $18.57 with a P/E ratio of 16.9 and P/S ratio of 2.7. The dividend yield of Shenandoah Telecommunications Co stocks is 1.7%. Shenandoah Telecommunications Co had an annual average earning growth of 16.2% over the past 10 years.
Tweedy Browne buys 21st Century Insurance Group, McDonald's Corp., Arthur J. Gallagher & Co., Automatic Data Processing Inc., sells Burlington Northern Santa Fe Corp., Wellpoint Inc., Shenandoah Telecommunications Co during the 3-months ended 03/31/2010, according to the most recent filings of his investment company, Tweedy Browne CO LLC. Tweedy Browne owns 56 stocks with a total value of $2.6 billion. These are the details of the buys and sells.
- New Purchases: ADP, AJG, MCD, TW,
- Added Positions: BRO, CTAS, JNJ, PM,
- Reduced Positions: ANAT, GKSR, JEF, NSC, UL, UNP,
- Sold Out: SHEN, WLP,
This is the sector weightings of his portfolio:
| Consumer Goods | 26.9% |
| Financials | 22% |
| Industrials | 15.7% |
| Consumer Services | 14.9% |
| Oil & Gas | 7.9% |
| Health Care | 6.6% |
| Telecommunications | 5% |
| Basic Materials | 0.4% |
These are the top 5 holdings of Tweedy Browne
- PHILIP MORRIS INTERNATIONAL INC (PM) - 4,519,256 shares, 9.01% of the total portfolio. Shares added by 3.28%
- CocaCola FEMSA S.A.B. De C.V. (KOF) - 2,359,628 shares, 6% of the total portfolio. Shares reduced by 7.01%
- Berkshire Hathaway Inc. (BRK.A) - 1,230 shares, 5.73% of the total portfolio. Shares added by 564.86%
- Emerson Electric Co. (EMR) - 2,898,904 shares, 5.58% of the total portfolio. Shares reduced by 17.07%
- Comcast Corp. Special (CMCSK) - 7,703,736 shares, 5.29% of the total portfolio. Shares reduced by 12.45%
Added: Brown & Brown Inc. (BRO, Financial)
Tweedy Browne added to their holdings in Brown & Brown Inc. by 572.7%. Their purchase prices were between $16.5 and $18.29, with an estimated average price of $17.58. The impact to their portfolio due to this purchase was 1.5%. Their holdings were 2,575,988 shares as of 03/31/2010.Brown & Brown, Inc. and its subsidiaries offer a broad range of insurance and reinsurance products and services, as well as risk management, third party administration, managed health care, and Medicare set-aside services and programs. Brown & Brown Inc. has a market cap of $2.78 billion; its shares were traded at around $19.57 with a P/E ratio of 18.5 and P/S ratio of 2.9. The dividend yield of Brown & Brown Inc. stocks is 1.6%. Brown & Brown Inc. had an annual average earning growth of 16.2% over the past 10 years. GuruFocus rated Brown & Brown Inc. the business predictability rank of 2.5-star.
Added: Philip Morris International Inc (PM, Financial)
Tweedy Browne added to their holdings in Philip Morris International Inc by 3.28%. Their purchase prices were between $45.51 and $52.89, with an estimated average price of $49.36. The impact to their portfolio due to this purchase was 0.29%. Their holdings were 4,519,256 shares as of 03/31/2010.Philip Morris International is the international tobacco company, with products sold in over 160 countries. Philip Morris International Inc has a market cap of $90.94 billion; its shares were traded at around $48.35 with a P/E ratio of 13.9 and P/S ratio of 1.5. The dividend yield of Philip Morris International Inc stocks is 4.8%.
Added: Johnson & Johnson (JNJ, Financial)
Tweedy Browne added to their holdings in Johnson & Johnson by 2.54%. Their purchase prices were between $62.37 and $65.36, with an estimated average price of $63.98. The impact to their portfolio due to this purchase was 0.11%. Their holdings were 1,712,863 shares as of 03/31/2010.Johnson & Johnson is engaged in the manufacture and sale of a broad range of products in the health care field in many countries of the world. Johnson & Johnson has a market cap of $178.25 billion; its shares were traded at around $64.67 with a P/E ratio of 13.9 and P/S ratio of 2.9. The dividend yield of Johnson & Johnson stocks is 3%. Johnson & Johnson had an annual average earning growth of 11.1% over the past 10 years. GuruFocus rated Johnson & Johnson the business predictability rank of 4.5-star.
Added: Cintas Corp. (CTAS, Financial)
Tweedy Browne added to their holdings in Cintas Corp. by 18.03%. Their purchase prices were between $23.75 and $28.58, with an estimated average price of $25.94. The impact to their portfolio due to this purchase was 0.09%. Their holdings were 556,211 shares as of 03/31/2010.Cintas Corp. provides a specialized service to businesses of all types - from small service and manufacturing companies to major corporations. Cintas Corp. has a market cap of $4.08 billion; its shares were traded at around $26.66 with a P/E ratio of 17.5 and P/S ratio of 1.1. The dividend yield of Cintas Corp. stocks is 1.8%. Cintas Corp. had an annual average earning growth of 6.4% over the past 10 years. GuruFocus rated Cintas Corp. the business predictability rank of 3.5-star.
New Purchase: 21st Century Insurance Group (TW, Financial)
Tweedy Browne initiated holdings in 21st Century Insurance Group. Their purchase prices were between $42.72 and $51.48, with an estimated average price of $46.38. The impact to their portfolio due to this purchase was 0.49%. Their holdings were 270,166 shares as of 03/31/2010.Towers Watson & Co. is a global professional services company that helps organizations improve performance through effective people, risk and financial management. 21st Century Insurance Group has a market cap of $2.05 billion; its shares were traded at around $48.44 with a P/E ratio of 13.7 and P/S ratio of 1.2. The dividend yield of 21st Century Insurance Group stocks is 0.6%.
New Purchase: Mcdonald's Corp. (MCD, Financial)
Tweedy Browne initiated holdings in Mcdonald's Corp.. Their purchase prices were between $61.45 and $67.35, with an estimated average price of $64.21. The impact to their portfolio due to this purchase was 0.25%. Their holdings were 99,404 shares as of 03/31/2010.McDonald's Corporation develops, operates, franchises and services a worldwide system of restaurants that prepare, assemble, package and sell a limited menu of value-priced foods. Mcdonald's Corp. has a market cap of $75.83 billion; its shares were traded at around $70.48 with a P/E ratio of 16.9 and P/S ratio of 3.3. The dividend yield of Mcdonald's Corp. stocks is 3.1%. Mcdonald's Corp. had an annual average earning growth of 14.7% over the past 10 years. GuruFocus rated Mcdonald's Corp. the business predictability rank of 2.5-star.
New Purchase: Automatic Data Processing Inc. (ADP, Financial)
Tweedy Browne initiated holdings in Automatic Data Processing Inc.. Their purchase prices were between $44.54 and $44.59, with an estimated average price of $44.57. The impact to their portfolio due to this purchase was 0.07%. Their holdings were 38,965 shares as of 03/31/2010.Automatic Data Processing, Inc. is one of the largest providers of computerized transaction processing, data communication, and information services in the world. Automatic Data Processing Inc. has a market cap of $21.46 billion; its shares were traded at around $42.5 with a P/E ratio of 17.7 and P/S ratio of 2.4. The dividend yield of Automatic Data Processing Inc. stocks is 3.2%. Automatic Data Processing Inc. had an annual average earning growth of 2.8% over the past 10 years. GuruFocus rated Automatic Data Processing Inc. the business predictability rank of 4-star.
New Purchase: Arthur J. Gallagher & Co. (AJG, Financial)
Tweedy Browne initiated holdings in Arthur J. Gallagher & Co.. Their purchase prices were between $24.91 and $24.95, with an estimated average price of $24.93. The impact to their portfolio due to this purchase was 0.07%. Their holdings were 74,254 shares as of 03/31/2010.Arthur J. Gallagher & Co. and its subsidiaries are engaged in providing insurance brokerage, risk management, employee benefit and other related services to clients in the United States and abroad. Arthur J. Gallagher & Co. has a market cap of $2.61 billion; its shares were traded at around $25.29 with a P/E ratio of 19.2 and P/S ratio of 1.5. The dividend yield of Arthur J. Gallagher & Co. stocks is 5.1%. Arthur J. Gallagher & Co. had an annual average earning growth of 6.1% over the past 10 years.
Reduced: Jefferies Group Inc. (JEF, Financial)
Tweedy Browne reduced to their holdings in Jefferies Group Inc. by 50.83%. Their sale prices were between $23.73 and $27.14, with an estimated average price of $25.56. The impact to their portfolio due to this sale was -0.04%. Tweedy Browne still held 73,605 shares as of 03/31/2010.Jefferies Group, Inc. is a holding company whose affiliated companies, including its principal operating subsidiary, Jefferies & Company, Inc. Jefferies Group Inc. has a market cap of $4.3 billion; its shares were traded at around $25.05 with a P/E ratio of 16.3 and P/S ratio of 1.7. The dividend yield of Jefferies Group Inc. stocks is 1.2%.
Reduced: G&k Services Inc. (GKSR, Financial)
Tweedy Browne reduced to their holdings in G&k Services Inc. by 21.64%. Their sale prices were between $23.52 and $28.13, with an estimated average price of $25.54. The impact to their portfolio due to this sale was -0.05%. Tweedy Browne still held 250,017 shares as of 03/31/2010.G&K Services, Inc. is a market leader in branded identity apparel programs and facility services in the United States, and is the largest such provider in Canada. G&k Services Inc. has a market cap of $490.7 million; its shares were traded at around $26.43 with a P/E ratio of 24.5 and P/S ratio of 0.5. The dividend yield of G&k Services Inc. stocks is 1.1%.
Reduced: Unilever Plc (UL, Financial)
Tweedy Browne reduced to their holdings in Unilever Plc by 27.76%. Their sale prices were between $28.25 and $32.31, with an estimated average price of $30.2. The impact to their portfolio due to this sale was -0.09%. Tweedy Browne still held 297,720 shares as of 03/31/2010.Unilever plc is engaged in manufacturing of branded and packaged consumer goods, including food, detergents and personal care products. Unilever Plc has a market cap of $37.42 billion; its shares were traded at around $28.56 with a P/E ratio of 15 and P/S ratio of 0.7. The dividend yield of Unilever Plc stocks is 4.5%.
Reduced: Norfolk Southern Corp. (NSC, Financial)
Tweedy Browne reduced to their holdings in Norfolk Southern Corp. by 25.89%. Their sale prices were between $46.31 and $56.2, with an estimated average price of $51.91. The impact to their portfolio due to this sale was -0.44%. Tweedy Browne still held 796,678 shares as of 03/31/2010.Norfolk Southern Corp., a Virginia-based holding company, owns two major freight railroads, Norfolk Southern Railway Company and Norfolk Western Railway Company, which operates in numerous states, the District of Columbia and the Province of Ontario. Norfolk Southern Corp. has a market cap of $23.08 billion; its shares were traded at around $59.15 with a P/E ratio of 19.9 and P/S ratio of 2.9. The dividend yield of Norfolk Southern Corp. stocks is 2.3%. Norfolk Southern Corp. had an annual average earning growth of 11.5% over the past 10 years. GuruFocus rated Norfolk Southern Corp. the business predictability rank of 3-star.
Reduced: American National Insurance Company (ANAT)
Tweedy Browne reduced to their holdings in American National Insurance Company by 20.28%. Their sale prices were between $115.61 and $116.26, with an estimated average price of $115.94. The impact to their portfolio due to this sale was -0.55%. Tweedy Browne still held 620,987 shares as of 03/31/2010.American Nat'l Insurance's family of companies offers a broad line of products and services, which include individual and group life and health insurance, and annuities; personal lines property and casualty insurance; credit insurance and mutual funds. American National Insurance Company has a market cap of $2.9 billion; its shares were traded at around $108.1 with a P/E ratio of 32.3 and P/S ratio of 1. The dividend yield of American National Insurance Company stocks is 2.8%.
Reduced: Union Pacific Corp. (UNP)
Tweedy Browne reduced to their holdings in Union Pacific Corp. by 47.75%. Their sale prices were between $60.5 and $74, with an estimated average price of $67.17. The impact to their portfolio due to this sale was -1.4%. Tweedy Browne still held 1,049,244 shares as of 03/31/2010.Union Pacific Corp. consists of one reportable segment, rail transportation, and the company's other product lines. Union Pacific Corp. has a market cap of $37.79 billion; its shares were traded at around $74.79 with a P/E ratio of 19.3 and P/S ratio of 2.7. The dividend yield of Union Pacific Corp. stocks is 1.4%. Union Pacific Corp. had an annual average earning growth of 3.3% over the past 10 years.
Sold Out: Wellpoint Inc. (WLP)
Tweedy Browne sold out their holdings in Wellpoint Inc.. Their sale prices were between $58.29 and $68.06, with an estimated average price of $62.61.WellPoint, Inc. is the largest publicly traded commercial health benefits company in terms of membership in the United States. Wellpoint Inc. has a market cap of $23.13 billion; its shares were traded at around $52.11 with a P/E ratio of 8.3 and P/S ratio of 0.4. Wellpoint Inc. had an annual average earning growth of 21.6% over the past 10 years.
Sold Out: Shenandoah Telecommunications Co (SHEN)
Tweedy Browne sold out their holdings in Shenandoah Telecommunications Co. Their sale prices were between $16.93 and $20.99, with an estimated average price of $18.2.Shenandoah Telecommunications Company is a holding company which provides a broad range of telecommunications services through its operating subsidiaries. Shenandoah Telecommunications Co has a market cap of $440.2 million; its shares were traded at around $18.57 with a P/E ratio of 16.9 and P/S ratio of 2.7. The dividend yield of Shenandoah Telecommunications Co stocks is 1.7%. Shenandoah Telecommunications Co had an annual average earning growth of 16.2% over the past 10 years.
