Donald Smith & Co recently filed their 13F report for the second quarter of 2022, which ended on 2022-06-30.
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.
Donald G. Smith was the Chief Investment Officer of Donald Smith & Co from its founding in 1980 until he passed away in 2019. He began his career as an analyst with Capital Research Company and subsequently worked at Capital Guardian Trust Co. In 1980, he became the CIO of Home Insurance Company and the President of Home Portfolio Advisors, Inc., which he bought and re-named to Donald Smith & Co.
Smith was awarded a B.S. in Finance and Accounting by the University of Illinois, an MBA by Harvard University and a J.D. from UCLA Law School and was admitted to the Bar Association of California. He once volunteered for Ben Graham at UCLA to conduct a study on a low P/E strategy.
As of the latest 13F report, the guru’s equity portfolio contained 62 stocks valued at a total of $2.22Bil. The top holdings were AER(7.55%), UNM(6.76%), and TMHC(5.65%).
According to GuruFocus data, these were Donald Smith & Co’s top five trades of the quarter.
The Mosaic Co
Donald Smith & Co reduced their investment in NYSE:MOS by 855,965 shares. The trade had a 2.07% impact on the equity portfolio. During the quarter, the stock traded for an average price of $61.34.
On 08/12/2022, The Mosaic Co traded for a price of $54.85 per share and a market cap of $18.94Bil. The stock has returned 62.97% over the past year.
GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, The Mosaic Co has a price-earnings ratio of 6.28, a price-book ratio of 1.63, a EV-to-Ebitda ratio of 4.15 and a price-sales ratio of 1.23.
The price-to-GF Value ratio is 0.95, earning the stock a GF Value rank of 3.
United States Steel Corp
The guru established a new position worth 2,555,249 shares in NYSE:X, giving the stock a 2.06% weight in the equity portfolio. Shares traded for an average price of $27.5 during the quarter.
On 08/12/2022, United States Steel Corp traded for a price of $25.25 per share and a market cap of $5.99Bil. The stock has returned -9.37% over the past year.
GuruFocus gives the company a financial strength rating of 7 out of 10 and a profitability rating of 5 out of 10.
In terms of valuation, United States Steel Corp has a price-earnings ratio of 1.48, a price-book ratio of 0.58, a EV-to-Ebitda ratio of 1.05 and a price-sales ratio of 0.31.
The price-to-GF Value ratio is 1.06, earning the stock a GF Value rank of 6.
Euronav NV
Donald Smith & Co reduced their investment in NYSE:EURN by 2,588,961 shares. The trade had a 0.99% impact on the equity portfolio. During the quarter, the stock traded for an average price of $12.
On 08/12/2022, Euronav NV traded for a price of $16 per share and a market cap of $3.22Bil. The stock has returned 104.05% over the past year.
GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 4 out of 10.
In terms of valuation, Euronav NV has a price-book ratio of 1.71, a EV-to-Ebitda ratio of 45.70 and a price-sales ratio of 7.29.
The price-to-GF Value ratio is 2.49, earning the stock a GF Value rank of 1.
MGIC Investment Corp
During the quarter, Donald Smith & Co bought 1,683,780 shares of NYSE:MTG for a total holding of 3,217,697. The trade had a 0.95% impact on the equity portfolio. During the quarter, the stock traded for an average price of $13.16.
On 08/12/2022, MGIC Investment Corp traded for a price of $15.12 per share and a market cap of $4.59Bil. The stock has returned 3.34% over the past year.
GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 7 out of 10.
In terms of valuation, MGIC Investment Corp has a price-earnings ratio of 6.52, a price-book ratio of 1.00, a price-earnings-to-growth (PEG) ratio of 0.91, a EV-to-Ebitda ratio of 4.75 and a price-sales ratio of 4.29.
The price-to-GF Value ratio is 1.04, earning the stock a GF Value rank of 6.
Textainer Group Holdings Ltd
During the quarter, Donald Smith & Co bought 731,074 shares of NYSE:TGH for a total holding of 2,298,902. The trade had a 0.9% impact on the equity portfolio. During the quarter, the stock traded for an average price of $32.38.
On 08/12/2022, Textainer Group Holdings Ltd traded for a price of $34.09 per share and a market cap of $1.59Bil. The stock has returned -4.15% over the past year.
GuruFocus gives the company a financial strength rating of 2 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Textainer Group Holdings Ltd has a price-earnings ratio of 5.84, a price-book ratio of 0.98, a price-earnings-to-growth (PEG) ratio of 0.38, a EV-to-Ebitda ratio of 11.91 and a price-sales ratio of 1.87.
The price-to-GF Value ratio is 1.16, earning the stock a GF Value rank of 3.
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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