Guru John Rogers (Trades, Portfolio)Â is the founder of Ariel Investments, which is located in Chicago. It specializes in small and mid-cap stocks based in the U.S.
Rogers has added 801,010 shares of Kindred Biosciences Inc. (KIN, Financial) in the third quarter of 2015, a 45% increase in his holding. He now owns a total of 2,551,234 shares in the stock.
Kindred Biosciences is a pharmaceutical company that creates drugs with the intention of helping suffering animals to enlighten their daily lives. One of the founders of the company is Richard Chin, who previously worked at OneWorld Health, a Bill Gates (Trades, Portfolio) Foundation nonprofit that develops drugs for poverty-stricken patients. Chin was developing drugs at OneWorld Health to fight diseases like malaria and cholera. As he searched relentlessly for new drugs to help patients in the poorest parts of Africa and Asia, he realized that drugs for neglected diseases often come from the veterinary field.
Chin then stumbled onto something that few physicians today know but was common knowledge two centuries ago: The fields of animal medicine and human medicine are brother and sister. Drugs that work for humans almost always work for animals, and drugs that work in animals virtually always work in humans.
Kindred Biosciences has a market cap of $74.67 million, a P/B ratio of 0.90, and a quick ratio of 28.27.
This is a good company to buy for several reasons:
- They are doing something that is helping the world, and both humans and animals can potentially benefit from their services.
- They’re increasing the probability of helping both humans and animals by diversifying their research with the potential possibility of helping both species.
- They have a strong GuruFocus financial ranking of 8/10 and have no debt.
- The company's quick ratio is 28.27, ranked better than 94% of the 880 companies in their field. This means that they can easily meet their short-term financial liabilities.
- The company is at a three-year low in price.
Cheers to your investment success.
Disclaimer: Author does not currently own any shares in this stock.
