HOTCHKIS & WILEY

HOTCHKIS & WILEY

Last Update: 05-12-2017

Number of Stocks: 168
Number of New Stocks: 12

Total Value: $25,544 Mil
Q/Q Turnover: 7%

Countries: USA CAN
Details: Top Buys | Top Sales | Top Holdings  Embed:

HOTCHKIS & WILEY Watch

  • Charles Brandes Sells Western Digital, Citigroup, JPMorgan

    Charles Brandes (Trades, Portfolio) is the chairman of Brandes Investment Partners. During the first quarter the guru sold shares in the following stocks:


    The investor closed his position of Corning Inc. )GLW) with an impact of -1.69% on the portfolio.

      


  • Ken Fisher Buys Vodafone, Daimler, Itau Unibanco

    Fisher Asset Management founder Ken Fisher (Trades, Portfolio) gained 78 new holdings during the first quarter of the year. His top three buys were Vodafone Group PLC (NASDAQ:VOD), Daimler AG (DMLRY) and Itau Unibanco Holding SA (NYSE:ITUB).


    Fisher founded his firm in 1979. He currently serves as the CEO and chief investment officer. The firm uses a top-down approach to determine which countries and sectors will generate the highest returns.

      


  • Hotchkis & Wiley Diversified Value Fund 1st Quarter Commentary

    MARKET COMMENTARY


    The S&P 500 Index increased +6.07% in the first quarter of 2017, continuing a nearly unbroken string of quarterly gains since the beginning of 2013. The rise in equities has triggered debate about the US equity market’s current valuation. Most traditional valuation measures are above historical averages; however, these metrics are below historical averages after adjusting for the low interest rate environment. Our general view is that the broad market, as defined by the S&P 500, is fully valued. Often overlooked, however, is that some market segments contain bargains while others are richly valued. Finding such opportunities has become more difficult in recent years but we continue to observe a large valuation discrepancy between cyclical market segments and those viewed as bond surrogates. Today’s popular stocks are those that have relatively stable earnings and high dividend payouts, like REITs, consumer staples, and regulated utilities. While the underlying businesses are stable, these are mature, slow-growing market segments, and paying 20-25x earnings is a risky proposition in our view. Investing in passive ETFs that track common equity indices is the other preferred strategy of the day, pouring still more investor capital into overvalued stocks and exacerbating the situation. Meanwhile, some market segments that have been shunned trade for half the valuation levels of the more favored areas of the market, and in select circumstances, even trade at a discount to the replacement cost of the business.

      


  • Director Invests in Lonestar Resources

    Director Bernard Lambilliotte purchased 50,000 shares of Lonestar Resources US Inc. (NASDAQ:LONE) for $5 per share on April 13, according to SEC filings.


    Lambilliotte owns 281,441 shares of Lonestar Resources.

      


  • 6 Low P/E Stocks Gurus Are Buying

    Here are six stocks gurus are buying that are trading with low price-earnings (P/E) ratios. Some of them are great investments; others need a double check, according to the DCF calculator.


    Infosys Ltd. ADR (INFY) with a market cap of $31.86 billion is trading with a P/E ratio of 14.84 and a price-sales (P/S) ratio of 3.14. According to the DCF calculator the stock has a fair value of $21.5 while trading at about $13.94. The price has dropped by 22% during the last 12 months and is now 31.90% below its 52-week high and 1.46% above its 52-week low.

      


  • Stocks With Low P/Es and Margins of Safety

    Here are eight stocks gurus are buying that are trading with a very low price-earnings (P/E) ratio. Most of them are greatly undervalued, according to the DCF calculator.


    Unum Group (UNM) with a market cap of $10.3 billion is trading with a P/E ratio of 11.64 and a price-sales (P/S) ratio of 0.97. The price has risen 47% during the last 12 months and is now 1.68% below its 52-week high and 85.04% above its 52-week low.

      


  • Bernard Horn Gains 2 Holdings, Cuts 3 Others

    Bernard Horn (Trades, Portfolio) of the Polaris Global Value Fund purchased two new holdings and exited three others in the third quarter.


    Horn founded Polaris Capital Management in 1995. The firm invests in discounted but high-quality stocks in developed and emerging markets. All trades are managed on a team basis using a consistent process and approach. The investment philosophy is based on two basic beliefs: country and industry are important factors in price, and global market fluctuations produce mispriced stocks.

      


  • Hotchkis & Wiley Trims Corning, Microsoft, Exits HP

    HOTCHKIS & WILEY was formed in Los Angeles in 1980 and has focused exclusively on finding and owning undervalued companies that have a significant potential for appreciation. During the third quarter the guru’s largest sells were the following:


    The firm reduced its stake in Corning Inc. (GLW) by 31.63% with an impact of -1.24% on the portfolio.

      


  • John Burbank Boosts Alibaba, Exits Yahoo

    John Burbank (Trades, Portfolio) III is the chief investment officer of Passport Capital LLC, the global investment firm he founded in 2000. During the third quarter the guru’s largest trades were the following:


    The guru bought 18,783,715 shares in Marvell Technology Group Ltd. (MRVL) with an impact of 5.21% on the portfolio.

      


  • Mariko Gordon Adds 5 New Holdings to Portfolio

    Daruma Capital Management’s Mariko Gordon (Trades, Portfolio) acquired five new holdings in the third quarter.


    Gordon founded Daruma in 1995 in New York and currently serves as CEO. Gordon runs a concentrated portfolio of small to mid-cap stocks because she believes a concentrated portfolio is crucial to truly active management. She believes the best time to acquire a stock is when it offers good value and the factor that will propel the price higher can be identified.

      


  • Richard Perry Exits AIG, Time Warner

    Richard Perry (Trades, Portfolio) co-founded private investment management firm Perry Capital LLC in 1988. During the third quarter the guru’s largest sells were the following:


    His stake in American International Group Inc. (AIG) was closed with an impact of -13.65% on the portfolio.

      


  • Arnold Schneider's Best-Performing Stocks

    Arnold Schneider is president, chief investment officer and principal of Schneider Capital Management Corp. He manages a portfolio composed of 68 stocks with a value of $534 million. The following are the best performers of his investments.


    Marathon Oil Corp. (MRO) with a market cap of $12.01 billion has gained 17.0% year to date. Schneider's stake represents 0.11% of the company's outstanding shares and 2.66% of his total assets.

      


  • Hotchkis & Wiley Narrows Navistar International Position

    Hotchkis & Wiley Capital Management reduced its stake in Navistar International Corp. (NYSE:NAV) by 27.5% on Sept. 30.


    Hotchkis & Wiley was founded in 1980 in Los Angeles. The firm is interested in undervalued companies with considerable potential for appreciation. The investment team examines a company’s tangible assets, sustainable cash flow and potential for improving performance.

      


  • High Yield Small and Mid Caps Opportunities and Risks - Hotchkis & Wiley

    An overlooked opportunity or undue risk?

      


  • Kahn Brothers Trims Pfizer, Citigroup

    Irving Kahn, along with brothers Alan and Thomas, founded Kahn Brothers (Trades, Portfolio) & Company in 1978. The company has more than $800 million in assets under management. During the second quarter the firm’s largest trades were:


    The guru raised its shares in GlaxoSmithKline PLC ADR (GSK) by 188.24% with an impact of 2.08% on the portfolio.

      


  • Guru Buys Barclays, Office Depot, Morgan Stanley

    HOTCHKIS & WILEY was established in Los Angeles in 1980. In both the first and second quarters the guru bought shares in the following stocks:


    Barclays PLC ADR (BCS)

      


  • Hotchkis & Wiley Sells JPMorgan, Boosts Wells Fargo

    HOTCHKIS & WILEY was formed in Los Angeles in 1980 and has focused exclusively on finding and owning undervalued companies that have a significant potential for appreciation. During the second quarter the company traded the following stocks.


    The company reduced its stake in Great Plains Energy Inc. (GXP) by 76.09% with an impact of -0.77% on the portfolio.

      


  • Hotchkis & Wiley Large Cap Diversified Value

    The S&P 500 Index returned +2.5% during the second quarter of 2016. There was wide performance dispersion across sectors, with the best-performing sector (energy) outperforming the worst-performing sector (technology) by more than 14 percentage points. Despite the partial rebound in energy this quarter, over the last 12 months we have observed a massive flight away from cyclical market segments in favor of non-cyclicals. Pundits have described this trend as “risk off”, “flight to safety”, “low volatility”, “bond proxy” etc., but the reality is that non-cyclical businesses now appear to trade at an unusually high premium to cyclical businesses. Macroeconomic shocks like Brexit have only exacerbated the divergence. True to Benjamin Graham, we view stocks trading at discounts to intrinsic value as having a margin of safety. Ironically, it has become difficult to identify a margin of safety in businesses currently perceived as “safe” because their valuations have become stretched. Accordingly, our modest overweight allocation to cyclicals reflects the risk-adjusted valuation opportunities available and not a macroeconomic outlook. The most attractive individual opportunities reside within financials and energy, though we remain slightly underweight both sectors relative to the Russell 1000 Value as only select segments within the sectors offer compelling risk adjusted valuations—albeit highly compelling. Relative to the Russell 1000 Value Index the portfolio is overweight consumer discretionary and technology, underweight consumer staples, and relatively equal-weight other sectors. We do not know when value dislocations will revert, nor are we certain that these dislocations will not widen further before reverting. We have learned from past experience, however, that these cycles inevitably do normalize and we believe that our portfolio is well-positioned to benefit.


    Interest rates declined during the quarter, largely influenced by investors’ flight to US Treasuries in the aftermath of Brexit. The low rate environment has been a stubbornly persistent macroeconomic headwind for most financials, with banks disproportionately affected because their net interest margins are pressured. From a bottom-up fundamental perspective, however, the strengthening posture of US banks has been quite encouraging. Profitability has been solid and capital ratios are at/near all-time highs. All companies subjected to the Fed’s stress test have passed, which improves the potential for increased returns of capital to shareholders. Buying back shares at/below book value can be highly accretive and this group’s payout yield (dividends + share repurchases) currently stands at 8%1. Financials represent the portfolio’s largest sector, though the weight is about equal to that of the Russell 1000 Value—we are overweight banks and underweight REITs.

      


  • Hotchkis & Wiley's Best Investments Year to Date

    HOTCHKIS & WILEY are value investors focusing on important investment parameters such as a company's tangible assets, sustainable cash flow and potential for improving business performance. It manages a portfolio composed of 173 stocks with total value of $23.763 billion.


    Marathon Oil Corp. (MRO)

      


  • Bed Bath & Beyond Among Companies With Growing EPS

    Companies with growing EPS are often good investments as they can return a good profit to investors. Here is a selection of the most undervalued companies, according to the DCF calculator, that have a five-year growing EPS.


    Earnings per share of Bed Bath & Beyond Inc. (BBBY) grew by 10% over the last five years and according to the DCF calculator, the stock at the price of about $45 is undervalued and trading with a margin of safety of 50%.

      


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