Bruce Berkowitz (Trades, Portfolio) is the founder and the managing member of the Fairholme Fund (Trades, Portfolio). He concentrates his investments in a relatively small number of companies. During the fourth quarter he sold many stocks.
The investor reduced his stake in Bank of America Corp. (BAC) by 85.80% and the deal had an impact of -10.6% on the portfolio.
The company through its banking and various nonbanking subsidiaries throughout the U.S. and in selected international markets provides a diversified range of banking and nonbanking financial services and products through five business segments: Consumer and Business Banking, Consumer Real Estate Services, Global Wealth and Investment Management, Global Banking and Global Markets.
Consumer and Business Banking is comprised of deposits and consumer lending. Third quarter number of mobile banking users was up 14%, and Global Banking loan balances (EOP) grew 11%.
GuruFocus gives the stock a profitability and growth rating of 4 out of 10 with weak returns of ROE of 5.98% and ROA of 0.77% that are underperforming 69% of the companies in the Global Banks - Global industry. Financial strength has a rating of 6 out of 10 with a cash-to-debt of 0.63 that is below the industry median of 2.37.
Dodge & Cox is the company's largest shareholder among the gurus with 1.8% of outstanding shares followed by James Barrow (Trades, Portfolio) with 0.82%, HOTCHKIS & WILEY with 0.47%, Ken Fisher (Trades, Portfolio) with 0.42% and Bill Nygren (Trades, Portfolio) with 0.34%.
The guru reduced his stake in Canadian Natural Resources Ltd. (CNQ) by 88.60%. The deal had an impact of -4.82% on the portfolio.
It is a Canadian-based senior independent energy company engaged in the acquisition, exploration, development, production, marketing and sale of crude oil, NGLs and natural gas. The third quarter was a strong operational quarter, as it continued to make significant progress in reducing costs while maintaining effective, efficient and reliable operations across its business segments. Despite a significant drop in capital program spending, average production has increased 11%.
GuruFocus gives the stock a profitability and growth rating of 7 out of 10 with positive returns of ROE of 1.53% and ROA of 0.71% that are overperforming 77% of the Global Oil & Gas E&P industry. Financial strength has a rating of 6 out of 10 with a cash-to-debt of 0.45 that is a few below the industry median of 0.51.
The company’s largest shareholder among the gurus is First Eagle Investment (Trades, Portfolio) with 1.55% of outstanding shares followed by T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.7%, David Winters (Trades, Portfolio) with 0.21% and Ruane Cunniff (Trades, Portfolio) with 0.07%.
The investor exited his stake in Citigroup Inc. (C) with an impact of -4.3% on the portfolio.
It is a financial services holding company whose businesses provide consumers, corporations, governments and institutions with a range of financial products and services, including consumer banking, credit cards, corporate and investment banking, securities brokerage and wealth management. Fourth quarter net income was $1.02 per diluted share compared to 6 cents per diluted share in the fourth quarter 2014, and revenues grew 4% from the same quarter of a year before.
GuruFocus gives the stock a profitability and growth rating of 5 out of 10 with strong returns of ROE of 7.61% and ROA of 0.95% that are overperforming 53% of the companies in the Global Banks - Global industry. Financial strength has a rating of 6 out of 10 with a cash-to-debt of 0.60 that is below the industry median of 2.37.
Barrow is the company's largest shareholder among the gurus with 0.72% of outstanding shares followed by HOTCHKIS & WILEY with 0.53%, Fisher with 0.4%, First Pacific Advisors (Trades, Portfolio) with 0.37%, Steven Romick (Trades, Portfolio) with 0.32% and Nygren with 0.3%.
The guru reduced his stake in Leucadia National (Trades, Portfolio) Corp. (LUK) by 55.48%. The deal had an impact of -3.31% on the portfolio.
The company through its subsidiaries is engaged in a variety of businesses, including investment banking and capital markets, beef processing, manufacturing, energy projects, asset management and real estate and other investments, which include Berkadia, Linkem and Garcadia.
GuruFocus gives the stock a profitability and growth rating of 8 out of 10 with weak returns of ROE of 2.62% and ROA of 0.56% that are underperforming 67% of the companies in the Global Capital Markets industry. Financial strength has a rating of 6 out of 10 with a cash-to-debt of 4.27 that is far below the industry median of 9,999.
The company’s largest shareholder among the gurus is First Pacific Advisors (Trades, Portfolio) with 4.89% of outstanding shares followed by Fairholme Fund (Trades, Portfolio) with 1.43%, Berkowitz with 1.25%, Charles Brandes (Trades, Portfolio) with 1.24% Columbia Wanger (Trades, Portfolio) with 1.04% and Murray Stahl (Trades, Portfolio) with 0.31%.
The investor almost closed his stake in International Business Machines Corp. (IBM) cutting it by 93.65%. The deal had an impact of -2.95% on the portfolio.
The company creates business value for clients and solves business problems through integrated solutions that leverage information technology and knowledge of business processes. During the third quarter the company again made progress in the transformation of its business to higher value, with strong growth in its strategic imperatives and expanded operating margins. Net income from continuing operations had a 14% decrease and operating (non-GAAP) net income had a decrease of 11%.
GuruFocus gives the stock a profitability and growth rating of 8 out of 10 with strong returns of ROE of 101.07% and ROA of 11.75% that are overperforming 84% of the companies in the Global Information Technology Services industry. Financial strength has a rating of 8 out of 10, with a cash-to-debt of 0.21 that is far below the industry median of 13.08.
Warren Buffett (Trades, Portfolio) is largest shareholder of the company among the gurus, with 8.35% of outstanding shares followed by Prem Watsa (Trades, Portfolio) with 0.14%, Diamond Hill Capital (Trades, Portfolio) with 0.13%, Ruane Cunniff (Trades, Portfolio) with 0.13% and Jeremy Grantham (Trades, Portfolio) with 0.11%.
The guru exited his stake in National Oilwell Varco Inc. (NOV) with an impact of -1.79% on the portfolio.
The company is a provider in the design, manufacture and sale of equipment and components used in oil and gas drilling, completion and production operations and the provision of oilfield services to the upstream oil and gas industry.
GuruFocus gives the stock a profitability and growth rating of 7 out of 10 with negative returns of ROE of -4.13% and ROA of -2.50% that are underperforming 58% of the companies in the Global Oil & Gas Equipment & Services industry. Financial strength has a rating of 4 out of 10, with a cash-to-debt of 0.53 that is a few below the industry median of 0.46.
The company's largest shareholder among the gurus is Dodge & Cox with 5.66% of outstanding shares followed by First Eagle Investment (Trades, Portfolio) with 5.53%, Mason Hawkins (Trades, Portfolio) with 2.88%, Nygren with 0.95%, Sarah Ketterer (Trades, Portfolio) with 0.5% and John Rogers (Trades, Portfolio) with 0.45%.
The investor reduced his stake in American International Group Inc. (AIG) by 63.45%. The deal had an impact of -0.77% on the portfolio.
It is a holding company that, through its subsidiaries, is engaged in insurance and insurance-related activities in the U.S. and abroad. In 2015, the company returned almost $12 billion of capital to shareholders in the form of share repurchases and dividends; through Feb. 11, it repurchased another $2.5 billion of outstanding AIG common shares. Fourth quarter net loss was $1.50 per diluted share compared to net income of 46 cents per diluted share for the prior-year quarter.
GuruFocus gives the stock a profitability and growth rating of 4 out of 10 with weak returns of ROE of 2.16% and ROA of 0.43% that are underperforming 75% of the companies in the Global Insurance - Diversified industry. Financial strength has a rating of 6 out of 10 with a cash-to-debt of 0.06 that is far below the industry median of 9,999.
Carl Icahn (Trades, Portfolio) is the company's largest shareholder among the gurus with 3.68% of outstanding shares followed by HOTCHKIS & WILEY with 1.33%, John Paulson (Trades, Portfolio) with 1.01%, First Pacific Advisors (Trades, Portfolio) with 0.81%, Romick with 0.69% and Richard Pzena (Trades, Portfolio) with 0.66%.
The guru reduced his stake in Berkshire Hathaway Inc. (BRK.B) by 6.01%. The deal had an impact of -0.13% on the portfolio.
It is a holding company owning subsidiaries engaged in a number of diverse business activities, including insurance and reinsurance, freight rail transportation, utilities and energy, finance, manufacturing, service and retailing.
GuruFocus gives the stock a profitability and growth rating of 7 out of 10 with easy returns of ROE of 9.38% and ROA of 4.28% that are overperforming 55% of the companies in the Global Insurance - Diversified industry. Financial strength has a rating of 4 out of 10 with a cash-to-debt of 0.78 that is far below the industry median of 9,999.
The company's largest shareholder among the gurus is Bill Gates (Trades, Portfolio) with 3.03% of outstanding shares followed by Fisher with 0.23%, Ruane Cunniff (Trades, Portfolio) with 0.2%, David Rolfe (Trades, Portfolio) with 0.17% Lou Simpson (Trades, Portfolio) with 0.11%, Tom Russo (Trades, Portfolio) with 0.11%, Chris Davis (Trades, Portfolio) with 0.06% and Tom Gayner (Trades, Portfolio) with 0.06%.
