HENNESSY ADVISORS INC recently filed their 13F report for the first quarter of 2022, which ended on 2022-03-31.
The 13F report details which stocks were in a guru’s equity portfolio at the end of the quarter, though investors should note that these filings are limited in scope, containing only a snapshot of long positions in U.S.-listed stocks and American depository receipts as of the quarter’s end. They are not required to include international holdings, short positions or other types of investments. Still, even this limited filing can provide valuable information.
Hennessy Advisors Inc. is an investment management firm based out of Novato, California. The company was established in 1989 by Neil J. Hennessy, who remains with the company today acting as its President, Chairman, and CEO. The company launched its first mutual fund in 1996 and would acquire Cornerstone Value and Cornerstone Growth Funds in 2000 before having its IPO in 2002. The firm would continue to expand its business and offerings through acquisitions, merging with Lindner Asset Management and acquiring a wide variety of funds including SYM Select Growth, Henlopen, and other funds. Hennessy Advisors has grown from its inception to now have 19 employees of which 8 are investment professionals. The company conducts its research internally and invests in the growth stocks of companies in the public equity and fixed income markets on a global scale. Hennessy Advisors invests most heavily in the utilities and telecommunications sector, which alone makes up over a third of its total asset allocations, and also invests in the energy, finance, consumer discretionary, materials, health care, and industrials sectors, among others to a lesser degree, in order of decreasing allocation. None of the company’s holdings exceed 3% of its total asset allocations and the company has a relatively low turnover rate of 6.25%. Hennessy Advisors holds over $5.5 billion in total assets under management spread across 16 accounts, all of which are discretionary. Both of its total number of accounts and total assets under management have been increasing in recent years with its total managed assets growing significantly from $900 million back in 2010 to over 6 times that amount today. The company currently caters exclusively to investment companies. Hennessy Advisors offers a wide array of mutual funds including its Cornerstone Growth Fund, Large Value Fund, Technology Fund, Japan Fund, and Equity and Income Fund.
As of the latest 13F report, the guru’s equity portfolio contained 296 stocks valued at a total of $1,908,000,000. The top holdings were KMI(1.73%), OKE(1.70%), and AA(1.66%).
According to GuruFocus data, these were HENNESSY ADVISORS INC’s top five trades of the quarter.
EQT Corp
The guru established a new position worth 807,800 shares in NYSE:EQT, giving the stock a 1.46% weight in the equity portfolio. Shares traded for an average price of $24.35 during the quarter.
On 05/12/2022, EQT Corp traded for a price of $37.71 per share and a market cap of $14,182,801,000. The stock has returned 81.84% over the past year.
GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 6 out of 10.
In terms of valuation, EQT Corp has a price-book ratio of 1.72, a EV-to-Ebitda ratio of -13.54 and a price-sales ratio of 1.66.
The price-to-GF Value ratio is 1.31, earning the stock a GF Value rank of 3.
The Home Depot Inc
The guru sold out of their 27,100-share investment in NYSE:HD. Previously, the stock had a 0.64% weight in the equity portfolio. Shares traded for an average price of $347.27 during the quarter.
On 05/12/2022, The Home Depot Inc traded for a price of $289.69 per share and a market cap of $320,748,569,000. The stock has returned -12.35% over the past year.
GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 10 out of 10.
In terms of valuation, The Home Depot Inc has a price-earnings ratio of 20.01, a price-earnings-to-growth (PEG) ratio of 1.50, a EV-to-Ebitda ratio of 14.09 and a price-sales ratio of 2.17.
The price-to-GF Value ratio is 0.83, earning the stock a GF Value rank of 9.
The Kroger Co
The guru sold out of their 216,800-share investment in NYSE:KR. Previously, the stock had a 0.56% weight in the equity portfolio. Shares traded for an average price of $49.57 during the quarter.
On 05/12/2022, The Kroger Co traded for a price of $54.22 per share and a market cap of $41,063,981,000. The stock has returned 43.52% over the past year.
GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 9 out of 10.
In terms of valuation, The Kroger Co has a price-earnings ratio of 26.11, a price-book ratio of 4.39, a price-earnings-to-growth (PEG) ratio of 2.64, a EV-to-Ebitda ratio of 9.68 and a price-sales ratio of 0.33.
The price-to-GF Value ratio is 1.40, earning the stock a GF Value rank of 3.
Marathon Petroleum Corp
The guru established a new position worth 118,000 shares in NYSE:MPC, giving the stock a 0.53% weight in the equity portfolio. Shares traded for an average price of $76.02 during the quarter.
On 05/12/2022, Marathon Petroleum Corp traded for a price of $92.74 per share and a market cap of $50,564,769,000. The stock has returned 60.78% over the past year.
GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 7 out of 10.
In terms of valuation, Marathon Petroleum Corp has a price-earnings ratio of 5.55, a price-book ratio of 2.13, a EV-to-Ebitda ratio of 7.59 and a price-sales ratio of 0.43.
The price-to-GF Value ratio is 1.11, earning the stock a GF Value rank of 3.
Energy Transfer LP
The guru established a new position worth 881,000 shares in NYSE:ET, giving the stock a 0.52% weight in the equity portfolio. Shares traded for an average price of $9.91 during the quarter.
On 05/12/2022, Energy Transfer LP traded for a price of $10.66 per share and a market cap of $32,311,400,000. The stock has returned 19.73% over the past year.
GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 7 out of 10.
In terms of valuation, Energy Transfer LP has a price-earnings ratio of 9.87, a price-book ratio of 1.03, a EV-to-Ebitda ratio of 7.59 and a price-sales ratio of 0.42.
The price-to-GF Value ratio is 1.00, earning the stock a GF Value rank of 5.
Please note, the numbers and facts quoted are as of the writing of this article and may not factor in the latest trading data or company announcements.
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