Through 2013’s first three quarters, Tweedy Browne (Trades, Portfolio)’s Global Value Fund returned 14.2%, underperforming its MSCI EAFE index benchmark’s 19.21%, but nearly doubling it since inception, at 10.24% versus 5.65%. As the market climbed over the year, fund managers found fewer and fewer bargain-priced stocks, “but we have plenty of dry powder should the markets present us with opportunity,” they wrote in their investor letter.
To the $6.17 billion portfolio, only one stock was added during the fourth quarter: Antofagasta PLC (LSE:ANTO, Financial), and significant additions were made to GlaxoSmithKline PLC (LSE:GSK, Financial) and HSBC Holdings PLC (LSE:HSBA, Financial).
Antofagasta PLC (LSE:ANTO, Financial)
Tweedy Browne (Trades, Portfolio) purchased 3,205,425 shares of Antofagasta PLC at a fourth quarter average price of $8. The new holding represents 0.71% of the portfolio, and its share price is about the same since the purchase.
Antofagasta PLC is engaged in copper mining (including exploration and development), the transportation of freight by rail and road and the distribution of water. Antofagasta PLC has a market cap of $8.08 billion; its shares were traded at around $8.20 with a P/E ratio of 13.20 and P/S ratio of 2.09.
The dividend yield of Antofagasta Plc stocks is 1.68%. Antofagasta PLC had an annual average earnings growth of 21.40% over the past 10 years. GuruFocus rated Antofagasta PLCĂ‚ the business predictability rank of 2-star.
GlaxoSmithKline PLC (LSE:GSK, Financial)
Tweedy Brown increased their position in GlaxoSmithKline PLC by 913.24% in the third quarter, enlarging it to 0.89% of the portfolio, with 1,845,053 new shares added, for a total of 2,047,086. The firm established the position in the first quarter of 2013 and has been adding to it quarterly since. The share price is up 4% from the average they paid.
GlaxoSmithKline PLC is a UK company discovering drugs, vaccines and other health care products. GlaxoSmithKline PLC has a market cap of $80.1 billion; its shares were traded at around $16.50 with a P/E ratio of 22.10 and P/S ratio of 3.08. The dividend yield of GlaxoSmithKline PLC stocks is 4.67%. GlaxoSmithKline PLC had an annual average earnings growth of 0.90% over the past 10 years.
HSBC Holdings PLC (LSE:HSBA, Financial)
Tweedy Browne (Trades, Portfolio) bought 3,126,370 shares of HSBC Holdings at a fourth quarter average price of $7. This grew the holding by 46.56% to 1.8% of the portfolio. The company’s share price is up by about 14% from the average price paid.
Tweedy Browne (Trades, Portfolio) began buying HSBC Holdings in the second quarter of 2012 when the price averaged $5. It has been a year since they last added to their holding.
HSBC Holdings PLC is a banking and financial services organization based in the UK, with about 58 million customers and four businesses: Retail Banking and Wealth Management, Commercial Banking, Global Banking and Markets, and Global Private Banking. HSBC Holdings PLC has a market cap of $125.41 billion; its shares were traded at around $6.69 with a P/E ratio of 13.10 and P/S ratio of 2.52. The dividend yield of HSBC Holdings PLC stocks is 4.17%.Ă‚
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