Tom Russo Buys Pernod Ricard, Nestle SA, CIE Financiere, Sells Goldman Sachs

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Nov 13, 2014
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Renowned value investor Tom Russo (Trades, Portfolio) runs a concentrated portfolio full of European family run beverage business and he has done very well with them. It is easy to imitate them as his portfolio turnover is very low. He buys and holds, rarely sells. These are some activities of his during the third quarter of 2014. To learn more about him, please read Transcript of Tom Russo’s Talk at Value Investor Conference.

Tom Russo (Trades, Portfolio) buys Pernod Ricard NV, Nestle SA, CIE FINANCIERE RICHEMONT SA, Unilever NV, Precision Castparts Corp, CBS Outdoor Americas Inc, sells Goldman Sachs Group Inc during the 3-months ended 09/30/2014, according to the most recent filings of his investment company, Gardner Russo & Gardner. As of 09/30/2014, Gardner Russo & Gardner owns 111 stocks with a total value of $10.6 billion. These are the details of the buys and sells.

For the details of Tom Russo (Trades, Portfolio)'s stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=Tom+Russo

This is the sector weightings of his portfolio:

Consumer Defensive 59.3%
Financial Services 27.6%
Consumer Cyclical 7.3%
Communication Services 2.4%
Basic Materials 2.4%
Industrials 0.4%
Energy 0.3%
Healthcare 0.1%
Technology 0.1%


These are the top 5 holdings of Tom Russo (Trades, Portfolio)

1. Nestle SA (NSRGY) - 14,981,721 shares, 10.4% of the total portfolio. Shares added by 1.99%

2. Berkshire Hathaway Inc (BRK.A) - 5,082 shares, 9.9% of the total portfolio. Shares added by 0.2%

3. Philip Morris International Inc (PM) - 10,252,495 shares, 8.0% of the total portfolio. Shares added by 0.28%

4. Wells Fargo & Co (WFC) - 14,637,898 shares, 7.1% of the total portfolio. Shares reduced by 0.05%

5. MasterCard Inc (MA) - 9,956,963 shares, 6.9% of the total portfolio. Shares added by 0.68%

Added: Pernod Ricard NV (PDRDF, Financial)

Tom Russo (Trades, Portfolio) added to his holdings in Pernod Ricard NV by 4.95%. His purchase prices were between $112.5 and $120.25, with an estimated average price of $115.76. The impact to his portfolio due to this purchase was 0.26%. His holdings were 5,194,053 shares as of 09/30/2014. Pernod Ricard NV was founded in 1975. The Company is engaged in the production and sale of spirits and wines. Pernod Ricard Nv has a market cap of $30.43 billion; its shares were traded at around $114.64 with a P/E ratio of 24.20 and P/S ratio of 3.10. The dividend yield of Pernod Ricard Nv stocks is 2.00%. Pernod Ricard Nv had an annual average earnings growth of 0.40% over the past 5 years.

Added: Nestle SA (NSRGY, Financial)

Tom Russo (Trades, Portfolio) added to his holdings in Nestle SA by 1.99%. His purchase prices were between $73.16 and $78.252, with an estimated average price of $76.22. The impact to his portfolio due to this purchase was 0.2%. His holdings were 14,981,721 shares as of 09/30/2014. Nestle SA was founded in 1866 and is a company limited by shares incorporated and organized in accordance with the Swiss Code of Obligations. Nestle Sa has a market cap of $236.64 billion; its shares were traded at around $74.19 with a P/E ratio of 22.70 and P/S ratio of 2.50. The dividend yield of Nestle Sa stocks is 2.80%. Nestle Sa had an annual average earnings growth of 6.30% over the past 10 years.

Added: CIE FINANCIERE RICHEMONT SA (CFRHF, Financial)

Tom Russo (Trades, Portfolio) added to his holdings in CIE FINANCIERE RICHEMONT SA by 3.02%. His purchase prices were between $83.35 and $104.25, with an estimated average price of $94.46. The impact to his portfolio due to this purchase was 0.16%. His holdings were 7,243,980 shares as of 09/30/2014. CIE FINANCIERE RICHEMONT SA offers luxury goods in Switzerland and internationally. Cie Financiere Richemont Sa has a market cap of $45.15 billion; its shares were traded at around $86.50 with a P/E ratio of 18.70 and P/S ratio of 3.60. The dividend yield of Cie Financiere Richemont Sa stocks is 0.10%. Cie Financiere Richemont Sa had an annual average earnings growth of 7.90% over the past 10 years. GuruFocus rated Cie Financiere Richemont Sa the business predictability rank of 4-star.

Added: Unilever NV (UN, Financial)

Tom Russo (Trades, Portfolio) added to his holdings in Unilever NV by 2.99%. His purchase prices were between $39.34 and $44.08, with an estimated average price of $41.65. The impact to his portfolio due to this purchase was 0.15%. His holdings were 13,297,615 shares as of 09/30/2014. Unilever NV is a public limited company registered in the Netherlands. Unilever Nv has a market cap of $118.58 billion; its shares were traded at around $39.20 with a P/E ratio of 18.70 and P/S ratio of 1.80. The dividend yield of Unilever Nv stocks is 3.90%. Unilever Nv had an annual average earnings growth of 1.70% over the past 10 years.

Added: Precision Castparts Corp (PCP, Financial)

Tom Russo (Trades, Portfolio) added to his holdings in Precision Castparts Corp by 120.85%. His purchase prices were between $228.5 and $259.51, with an estimated average price of $242.8. The impact to his portfolio due to this purchase was 0.03%. His holdings were 24,680 shares as of 09/30/2014. Precision Castparts Corp was incorporated in the State of Oregon. Precision Castparts Corp has a market cap of $32.33 billion; its shares were traded at around $226.85 with a P/E ratio of 17.70 and P/S ratio of 3.30. The dividend yield of Precision Castparts Corp stocks is 0.10%. Precision Castparts Corp had an annual average earnings growth of 17.10% over the past 10 years. GuruFocus rated Precision Castparts Corp the business predictability rank of 3-star.

Reduced: Goldman Sachs Group Inc (GS, Financial)

Tom Russo (Trades, Portfolio) reduced to his holdings in Goldman Sachs Group Inc by 39.95%. His sale prices were between $163.42 and $187.89, with an estimated average price of $175.68. The impact to his portfolio due to this sale was -0.02%. Tom Russo (Trades, Portfolio) still held 22,893 shares as of 09/30/2014. Goldman Sachs Group Inc was founded in 1869 & incorporated in Delaware. Goldman Sachs Group Inc has a market cap of $82.61 billion; its shares were traded at around $189.68 with a P/E ratio of 11.00 and P/S ratio of 2.60. The dividend yield of Goldman Sachs Group Inc stocks is 1.20%. Goldman Sachs Group Inc had an annual average earnings growth of 2.10% over the past 10 years.

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