Longview Partners (Guernsey) LTD recently filed their 13F report for the fourth quarter of 2022, which ended on 2022-12-31.
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.
Longview Partners (Guernsey) is an investment management firm that is owned by its employees. The company is based out of St. Peter Port, Channel Islands and currently operates as a subsidiary of Northill Capital LLP. Longview Partners (Guernsey) focuses on owning a concentrated number of holdings each with an absolute return objective. The company conducts its research in house and utilizes a fundamental analysis with a bottom up stock picking approach to make its investment decisions, believing that “one of the greatest tools for the management of performance risk is adequate diversification” and that the “only way to adequately ensure true diversification is to consider the commonality of the business risks across all holdings in our portfolio.” Longview Partners (Guernsey) invests on an absolute returns basis and do not use index weightings, typically owning 35 equities within the Global Equity Portfolio. The company’s investment process focuses on quality, locating efficient and effective allocation and return on investments, industry stability, and consistency and predictability of revenue; business fundamentals, comparing the companies against market expectations; and valuation, utilizing its Discounted Cash Flow Analysis. Longview Partners (Guernsey) currently has over $20 billion in total assets under management spread across 73 accounts. Almost all of the accounts are discretionary, with the 3 non-discretionary accounts totally $7.25 billion in assets. Its total number of accounts has been relatively stable, only showing moderate growth from 62 accounts in 2010, but its total amount of assets under management has grown significantly from $2.6 billion five years ago to almost eight times that amount today. The majority of its clients are pension and profit sharing plans, which alone is approximately one third of its client base, and also includes pooled investment vehicles, corporations, state or municipal government entities, high net worth individuals, charities, and insurance companies, among others, in order of decreasing clientele. The company currently offers Global Equity, its core strategy, and the Long Only Absolute Return.
As of the latest 13F report, the guru’s equity portfolio contained 26 stocks valued at a total of $12.59Bil. The top holdings were TJX(4.83%), HCA(4.82%), and STT(4.73%).
According to GuruFocus data, these were Longview Partners (Guernsey) LTD’s top five trades of the quarter.
W.W. Grainger Inc
Longview Partners (Guernsey) LTD reduced their investment in NYSE:GWW by 770,209 shares. The trade had a 3.23% impact on the equity portfolio. During the quarter, the stock traded for an average price of $564.36.
On 02/15/2023, W.W. Grainger Inc traded for a price of $666.54 per share and a market cap of $33.68Bil. The stock has returned 44.39% 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, W.W. Grainger Inc has a price-earnings ratio of 22.17, a price-book ratio of 12.31, a price-earnings-to-growth (PEG) ratio of 1.59, a EV-to-Ebitda ratio of 14.72 and a price-sales ratio of 2.22.
The price-to-GF Value ratio is 1.18, earning the stock a GF Value rank of 3.
Fidelity National Information Services Inc
The guru sold out of their 4,109,967-share investment in NYSE:FIS. Previously, the stock had a 2.66% weight in the equity portfolio. Shares traded for an average price of $71.04000000000001 during the quarter.
On 02/15/2023, Fidelity National Information Services Inc traded for a price of $67.81 per share and a market cap of $40.24Bil. The stock has returned -37.03% 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, Fidelity National Information Services Inc has a price-book ratio of 0.89, a EV-to-Ebitda ratio of -4.68 and a price-sales ratio of 2.87.
The price-to-GF Value ratio is 0.48, earning the stock a GF Value rank of 4.
Medtronic PLC
During the quarter, Longview Partners (Guernsey) LTD bought 1,772,017 shares of NYSE:MDT for a total holding of 6,647,342. The trade had a 1.09% impact on the equity portfolio. During the quarter, the stock traded for an average price of $81.05.
On 02/15/2023, Medtronic PLC traded for a price of $83.40000000000001 per share and a market cap of $110.94Bil. The stock has returned -15.87% 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, Medtronic PLC has a price-earnings ratio of 25.90, a price-book ratio of 2.14, a EV-to-Ebitda ratio of 14.33 and a price-sales ratio of 3.63.
The price-to-GF Value ratio is 0.75, earning the stock a GF Value rank of 10.
L3Harris Technologies Inc
Longview Partners (Guernsey) LTD reduced their investment in NYSE:LHX by 441,874 shares. The trade had a 0.79% impact on the equity portfolio. During the quarter, the stock traded for an average price of $225.51.
On 02/15/2023, L3Harris Technologies Inc traded for a price of $212.87 per share and a market cap of $40.53Bil. The stock has returned -1.12% over the past year.
GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, L3Harris Technologies Inc has a price-earnings ratio of 36.96, a price-book ratio of 2.22, a price-earnings-to-growth (PEG) ratio of 5.00, a EV-to-Ebitda ratio of 18.92 and a price-sales ratio of 2.43.
The price-to-GF Value ratio is 0.93, earning the stock a GF Value rank of 6.
Alphabet Inc
During the quarter, Longview Partners (Guernsey) LTD bought 1,047,750 shares of NAS:GOOGL for a total holding of 5,845,581. The trade had a 0.73% impact on the equity portfolio. During the quarter, the stock traded for an average price of $95.03.
On 02/15/2023, Alphabet Inc traded for a price of $94.68000000000001 per share and a market cap of $1,214.18Bil. The stock has returned -30.14% over the past year.
GuruFocus gives the company a financial strength rating of 9 out of 10 and a profitability rating of 10 out of 10.
In terms of valuation, Alphabet Inc has a price-earnings ratio of 20.80, a price-book ratio of 4.78, a price-earnings-to-growth (PEG) ratio of 0.82, a EV-to-Ebitda ratio of 12.90 and a price-sales ratio of 4.38.
The price-to-GF Value ratio is 0.66, earning the stock a GF Value rank of 8.
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.
When GuruFocus covers insider information, we only track open market or the private purchase and sale of common stock with the transaction code of P or S. Therefore, all the transactions mentioned in this article are only the ones with transaction code of P or S.
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