>
  1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
James Li
James Li
Articles (1489)  | Author's Website |

6 Stocks Added to Most Weighted Portfolio in 2021

Stocks with high combined guru weight as Dow hits record close

During GuruFocus' annual model portfolio rebalance for 2021, the new stocks added to the Most Weighted Model Portfolio were Adaptive Biotechnologies Corp. (NASDAQ:ADPT), AerCap Holdings NV (NYSE:AER), Alibaba Group Holding Ltd. (NYSE:BABA), The Walt Disney Co. (NYSE:DIS), PG&E Corp. (NYSE:PCG) and Trinity Industries Inc. (NYSE:TRN).

Dow closes off intraday high as investors monitor election results and protests

On Wednesday, the Dow Jones Industrial Average closed at new record of 30,829.40, up 437.80 points from Tuesday's close of 30,391.60 despite hitting a new record intraday high of 30,934.99.

058ece0d085413baee262b2f37966ed0.png

The 30-stock index soared Wednesday morning on the heels of the Georgia Senate runoff races leaning toward Democrat candidates. CNBC added that while a Democrat-controlled Senate could result in higher corporate taxes and regulations, the same outcome could facilitate the passing of additional coronavirus stimulus packages. Despite this, stocks sank in afternoon trading amid election result protests taking place at the U.S. Capitol.

Most Weighted Portfolio among top-performing model strategies in 2020

According to the GuruFocus model portfolio pages, the Most Weighted Portfolio gained 23.62% in 2020, outperforming the Standard & Poor's 500 index benchmark return of 16.26% for the year.

As such, investors may find opportunities in stocks that have the largest combined equity portfolio weights among gurus. Premium members can access the Aggregated Portfolio of Gurus, which tracks the number of gurus owning shares and the combined weights.

While the Most Broadly Held model portfolio ranks stocks on the number of gurus owning shares with combined weight acting as a tiebreaker, the Most Weighted model portfolio considers just the combined weight. Six stocks were added to the Most Weighted model portfolio during the 2021 rebalance.

Adaptive Biotechnologies

The Most Weighted model portfolio purchased 152.24 shares of Adaptive Biotechnologies. Shares traded around $56.53 on Wednesday.

09d2176558db41504d480a9a1455ada8.png

The Seattle-based commercial-stage biotech company aims to advance the field of immune-driven medicine by harnessing the inherent biology of the adaptive immune system. According to GuruFocus, the company's cash-to-debt ratio of 18.02 outperforms more than half of global competitors, suggesting good financial strength.

33d35ed694067c820bc113ee9ac7bd64.png

Gurus with large holdings in Adaptive Biotechnologies include Andreas Halvorsen (Trades, Portfolio)'s Viking Global and Julian Robertson (Trades, Portfolio)'s Tiger Management.

89de633689d15fcfe4a2da63b4af3598.png

AerCap

The model portfolio purchased 197.49 shares of AerCap. Shares traded around $46.24 on Wednesday; the stock is modestly undervalued based on its price-to-GF Value ratio of 0.78.

e0e48f96a9ede6a0a4e498c78d411724.png

The Dublin-based company leases and finances commercial aircraft and engines. GuruFocus ranks the company's profitability 8 out of 10 on several positive investing signs, which include a 4.5-star business predictability rank and an operating margin that has increased approximately 0.8% per year on average over the past five years and is outperforming over 98% of global competitors.

eba62f6552a3acdbdeb8bbc14fba3a6f.png

Gurus with large holdings in AerCap include Donald Smith & Co. and David Einhorn (Trades, Portfolio)'s Greenlight Capital Re Ltd. (NASDAQ:GLRE).

Alibaba

The model portfolio purchased 38.68 shares of Alibaba. Shares traded around $235.64 on Wednesday; the stock is modestly undervalued with a price-to-GF Value ratio of 0.74.

fbb66da351298b4de2efbda7a1aa41dd.png

GuruFocus ranks the Chinese e-commerce giant's profitability 9 out of 10 on several positive investing signs, which include profit margins and three-year revenue and earnings growth rates outperforming over 90% of global competitors.

7c0983a6c70e12d76c027767601ba906.png

Gurus with large holdings in Alibaba include PRIMECAP Management (Trades, Portfolio) and Ken Fisher (Trades, Portfolio)'s Fisher Investments.

Walt Disney

The model portfolio purchased 49.69 shares of Walt Disney. Shares traded around $180.78 on Wednesday; the stock is significantly overvalued based on a price-to-GF Value ratio of 1.63.

4234a7c68fab7e893034b5508827f707.png

GuruFocus ranks the Burbank, California-based entertainment giant's profitability 7 out of 10 on the back of operating margins outperforming 64.49% of global competitors.

fd38ae02804e7dba1e5f1f8c42931653.png

PG&E

The model portfolio purchased 722.5 shares of PG&E. Shares traded around $12.41 on Wednesday.

1fafe265df20ad3bafae136c103aeba7.png

GuruFocus ranks the San Francisco-based utility company's financial strength 3 out of 10 on several warning signs, which include a low Piotroski F-score of 2, a weak Altman Z-score of 0.05 and a Beneish M-score that signals possible earnings manipulation.

b30e8440fbed8c54754a73ad9a381bdc.png

Trinity Industries

The model portfolio purchased 341.13 shares of Trinity Industries. Shares traded around $28.12 on Wednesday; the stock is modestly overvalued based on a price-to-GF Value ratio of 1.19.

aab51f516bc4a9524ddb8acc7afe40ce.png

GuruFocus ranks the Dallas-based transportation company's profitability 6 out of 10: Operating margins are outperforming over 76.27% of global competitors despite three-year revenue and earnings growth rates underperforming over half of global transportation companies.

7cd1074e728e947dee33500f110f3263.png

Disclosure: The author has no positions in the stocks mentioned but may initiate positions over the next 2-3 days.

Read more here:

Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

About the author:

James Li
I am an editorial researcher at GuruFocus. I have a Master's in Finance from SMU, and I enjoy writing reports on financial trends and investor portfolios. Follow me on Twitter at @JamesLiGuru!

Visit James Li's Website


Rating: 4.0/5 (1 vote)

Voters:

Comments

Please leave your comment:



Performances of the stocks mentioned by James Li


User Generated Screeners


pjmason14Momentum
wigbertHigh FCF-M2
kosalmmuse6
kosalmmuseBest one1
DBrizanall 2019Feb26
kosalmmuseBest one
DBrizanall 2019Feb25
kosalmmuseNice
kosalmmusehan
MsDale*52-Week Low
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)