Founder and CEO of Dallas-based Maverick Capital Lee Ainslie (Trades, Portfolio) started the firm back in 1993 with $38 million. The following are a few of his notable trades during the third quarter.
Ainslie increased his stake in Liberty Global PLC. (LBTYK) by 127.87% with an impact of 4.79% on the portfolio. The holding is 8.53% of his total assets.
The company provides video, broadband internet, fixed-line telephone and mobile services across 14 countries. During the third quarter, revenue grew by 4% year over year.Â
GuruFocus gives Liberty Global a profitability and growth rating of 4 out of 10 with negative returns (ROE -10.92%, ROA -2.03%) that are underperforming 72% of the companies in the Global Pay TV industry. Financial strength has a rating of 6 out of 10, with a weak cash to debt of 0.02 that is far below the industry median of 0.42.
Dodge & Cox is the largest guru shareholder with 2.46% of outstanding shares, followed by Chris Davis (Trades, Portfolio) with 2% and First Eagle Investment (Trades, Portfolio) with 1.42%.
Ainslie bought 6,937,928 new shares of Pfizer Inc. (PFE) with an impact of 3.73% on the portfolio.
The company applies science and its resources to bring therapies to people that extend and improve their lives through the discovery, development and manufacture of healthcare products. Third quarter revenues increased 6% year over year, while adjusted Income grew by 2%.
The stock looks expensive at the current price of $32.39. The DCF calculator gives a fair value of $10.97, estimating the stock is highly overvalued by 195%. GuruFocus gives Pfizer a profitability and growth rating of 7 out of 10 with good returns (ROE 11.93%, ROA 5.02%) that are outperforming 56% of the companies in the Global Drug Manufacturers industry. Financial strength has a rating of 6 out of 10, with a cash to debt of 0.53 that is below the industry median of 1.47.
James Barrow (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.88% of outstanding shares, followed by Dodge & Cox with 0.73% and Ken Fisher (Trades, Portfolio) with 0.52%.
Ainslie also had another new position, buying 7,901,276 shares of ARRIS Group Inc. (ARRS) with an impact of 3.52% on the portfolio.Â
The company is a media entertainment and data communications solutions provider. It operates in two business segments: Customer Premises Equipment, and Network & Cloud. Third quarter results were in line with the expectations of the company, but revenue declined by 13.1% compared to the third quarter 2014.
The stock looks expensive at the current price of $31.99. The DCF calculator gives a fair value of $18.3, estimating the stock is overvalued by 75%. GuruFocus gives ARRIS Group a profitability and growth rating of 7 out of 10 since the company has strong returns like ROE of 15.29% and ROA of 5.74% that are outperforming 73% of the companies in the Global Communication Equipment industry. Financial strength has a rating of 5 out of 10, with a cash to debt of 0.50 that is far below the industry median of 2.08
The company's largest shareholder among the gurus is HOTCHKIS & WILEY with 5.5% of outstanding shares, followed by Ainslie with 5.39% and First Pacific Advisors (Trades, Portfolio) with 4.06%.
Ainslie also bought 3,692,620 new shares of Pinnacle Foods Inc. (PF) with an impact of 2.65% on the portfolio. The holding is 3.73% of his total assets.
The stock looks expensive at the current price of $42.76. The DCF calculator gives a fair value of $15.41, estimating the stock is highly overvalued by 177%. GuruFocus gives Pinnacle Foods a profitability and growth rating of 5 out of 10. The company has positive returns (ROE 9.78%, ROA 3.26%) that are outperforming 56% of the companies in the Global Packaged Foods industry. Financial strength has a rating of 5 out of 10, with a cash to debt of 0.03 that is far below the industry median of 0.50.
Ainslie is largest shareholder of the company among the gurus, with 3.17% of outstanding shares, followed by RS Investment Management (Trades, Portfolio) with 2.92% and Pioneer Investments (Trades, Portfolio) with 0.51%.
Ainslie also increased his stake in CIT Group Inc. (CIT) by 345.29% with an impact of 2.4% on his portfolio. The holding is 3.1% of his total assets.
The company provides financing, leasing and advisory services principally to middle market companies in industries primarily in North America, and equipment financing and leasing solutions to the transportation industry worldwide.Â
The stock looks undervalued. The DCF calculator gives a fair value of $66.89, while the stock is trading with a price of about $42, estimating the stock has a margin of safety of 37%. GuruFocus gives CIT Group a profitability and growth rating of 8 out of 10 with good returns (ROE 12.52%, ROA 2.28%) that are outperforming 50% of the companies in the Global Credit Services industry. Financial strength has a rating of 7 out of 10, with a cash to debt of 0.38 that is far below the industry median of 0.85
The company's largest shareholder among the gurus is John Paulson (Trades, Portfolio) with 3.49% of outstanding shares, followed by First Pacific Advisors (Trades, Portfolio) with 2.65% and Steven Romick (Trades, Portfolio) with 2.42%.
Ainslie increased his stake in Sensata Technologies Holding N.V. (ST) by 129.27% with an impact of 2.36% on the portfolio. The holding is 4.19% of his total assets.
The stock looks expensive at the current price of $44.68. The DCF calculator gives a fair value of $12.52, estimating the stock is highly overvalued by 257%. GuruFocus gives Sensata Technologies Holding a profitability and growth rating of 7 out of 10. Financial strength has a rating of 5 out of 10, with a cash to debt of 0.10 that is below the industry median of 1.24.
John Griffin (Trades, Portfolio) is largest shareholder of the company among the gurus with 3.93% of outstanding shares, followed by Ainslie and Jim Simons (Trades, Portfolio) with 0.12%.
Another stake Ainslie increased was Anheuser-Busch Inbev SA. (BUD) by 129.27% with an impact of 2.36% on the portfolio. The holding is 8.53% of his total assets.
The stock looks expensive at the current price of $126.85. The DCF calculator gives a fair value of $101.11, estimating the stock is overvalued by 25%. GuruFocus gives Anheuser-Busch a profitability and growth rating of 7 out of 10, the company has strong returns like ROE 36.70%, ROA 12.76% that are underperforming 89% of the companies in the Global Beverages - Brewers industry. Financial strength has a rating of 7 out of 10, with a cash to debt of 0.13 that is below the industry median of 0.45
The company’s largest shareholder among the gurus is Tom Russo (Trades, Portfolio) with 0.32% of outstanding shares, followed by Ken Fisher (Trades, Portfolio) with 29% and Ainslie with 0.13%.
