Senator Investment Group LP recently filed their 13F report for the third quarter of 2022, which ended on 2022-09-30.
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.
Senator Investment Group is a private hedge fund sponsor based out of New York City. The company was founded in 2008 by co-founders Alexander Mathew Klabin and Douglas Nathan Silverman, who continue to take an active role in the company today acting as the firm’s co-CEOs and portfolio managers. The company utilizes bottom up analysis to make its investment decisions, typically focusing its asset allocations in the value stocks of various companies. Senator Investment Group invests in a variety of public equity and fixed income markets on a global scale, making sure that its asset allocations are properly diversified. The company invests most heavily in the consumer discretionary sector, which alone makes up over a fifth of total asset allocations, and also invests in the health care, finance, consumer staples, energy, information technology, transports, and materials sectors, among others to a lesser degree, in order of decreasing amount allocated. Its market value is currently $10.4 billion and has been growing in recent years. Senator Investment Group currently holds close to $12 billion in total assets under management spread across 9 accounts, all of which are discretionary accounts. Both of the firm’s total number of accounts and total assets under management have been increasing in recent years with its total number of accounts growing from 7 two years prior to its current amount and its total assets under management growing from just over $5 billion three years ago to well over twice that amount today. The company currently has 29 employees taking care of its clients, all of which are pooled investment vehicles. Senator Investment Group’s majority ownership is held by Klabin Family Investments LLC and Silverman Family Investments LLC, each of which hold approximately a third of total ownership, with the remaining ownership split amongst Bsch Master I Sub, Bsch Master II Sub, and various key executives.
As of the latest 13F report, the guru’s equity portfolio contained 49 stocks valued at a total of $1.10Bil. The top holdings were HUM(8.82%), ALL(5.26%), and BMRN(5.01%).
According to GuruFocus data, these were Senator Investment Group LP’s top five trades of the quarter.
Allstate Corp
The guru established a new position worth 465,000 shares in NYSE:ALL, giving the stock a 5.26% weight in the equity portfolio. Shares traded for an average price of $124.25 during the quarter.
On 11/11/2022, Allstate Corp traded for a price of $130.19 per share and a market cap of $34.53Bil. The stock has returned 17.04% over the past year.
GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Allstate Corp has a price-book ratio of 1.96, a EV-to-Ebitda ratio of 34.33 and a price-sales ratio of 0.70.
The price-to-GF Value ratio is 0.88, earning the stock a GF Value rank of 6.
Shell PLC
The guru sold out of their 1,345,000-share investment in NYSE:SHEL. Previously, the stock had a 5.03% weight in the equity portfolio. Shares traded for an average price of $51.53 during the quarter.
On 11/11/2022, Shell PLC traded for a price of $53.88 per share and a market cap of $198.19Bil. The stock has returned 24.59% 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, Shell PLC has a price-earnings ratio of 4.70, a price-book ratio of 1.05, a price-earnings-to-growth (PEG) ratio of 1.31, a EV-to-Ebitda ratio of 2.70 and a price-sales ratio of 0.62.
The price-to-GF Value ratio is 0.83, earning the stock a GF Value rank of 7.
Amazon.com Inc
The guru established a new position worth 450,000 shares in NAS:AMZN, giving the stock a 4.62% weight in the equity portfolio. Shares traded for an average price of $126.4 during the quarter.
On 11/11/2022, Amazon.com Inc traded for a price of $96.63 per share and a market cap of $985.79Bil. The stock has returned -44.50% 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, Amazon.com Inc has a price-earnings ratio of 88.65, a price-book ratio of 7.17, a price-earnings-to-growth (PEG) ratio of 2.12, a EV-to-Ebitda ratio of 18.71 and a price-sales ratio of 1.96.
The price-to-GF Value ratio is 0.50, earning the stock a GF Value rank of 4.
PayPal Holdings Inc
The guru established a new position worth 570,000 shares in NAS:PYPL, giving the stock a 4.46% weight in the equity portfolio. Shares traded for an average price of $88.67 during the quarter.
On 11/11/2022, PayPal Holdings Inc traded for a price of $86.8 per share and a market cap of $98.95Bil. The stock has returned -57.58% 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, PayPal Holdings Inc has a price-earnings ratio of 44.06, a price-book ratio of 4.91, a price-earnings-to-growth (PEG) ratio of 1.97, a EV-to-Ebitda ratio of 19.97 and a price-sales ratio of 3.44.
The price-to-GF Value ratio is 0.38, earning the stock a GF Value rank of 4.
Cenovus Energy Inc
Senator Investment Group LP reduced their investment in NYSE:CVE by 3,190,000 shares. The trade had a 4.34% impact on the equity portfolio. During the quarter, the stock traded for an average price of $17.77.
On 11/11/2022, Cenovus Energy Inc traded for a price of $20.87 per share and a market cap of $39.45Bil. The stock has returned 66.16% 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, Cenovus Energy Inc has a price-earnings ratio of 10.46, a price-book ratio of 1.99, a EV-to-Ebitda ratio of 4.05 and a price-sales ratio of 0.78.
The price-to-GF Value ratio is 1.03, 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.
Want to provide feedback on this article? Have questions or concerns? Get in touch with us here, or email us at [email protected]!
This article is general in nature and does not represent the opinions of GuruFocus or any of its affiliates. This article is not intended to be financial advice, nor does it constitute investment advice or recommendations. It was written without regard to your individual situation or financial goals. We aim to bring you fundamental, data-driven analysis, The information on this site is in no way guaranteed for completeness, accuracy or in any other way.
