Guru Murray Stahl (Trades, Portfolio) added 1,403,749 shares to his stake in Silver Wheaton Corp. (SLW, Financial) in the first quarter.
Silver Wheaton was incorporated on Aug. 23, 1994, and is engaged in the sale of silver and gold. The company is the largest precious metal streaming company in the world today. The company has agreements for 22 operating mines and seven development-stage projects. Silver Wheaton looks to provide value for investors by providing a dividend yield, participation in the exploration success of the mines underlying its current agreements and additional growth through the acquisition of new streams that can potentially provide future growth and profit.
Silver Wheaton has a market cap of $6.89 billion, an enterprise value of $7.38 billion, a P/B ratio of 1.55 and a dividend yield of 1.17.
Stahl is a Brooklyn College graduate with more than 30 years of investment experience. He began his investing career in 1978 shortly after his graduation. He spent 16 years at Bankers Trust Company as a senior portfolio manager and research analyst.
In 1994, Stahl decided to found his own firm Horizon Kinetics, an investment firm originally founded on the belief that a short-term investment approach, widely adopted with the modernization of financial markets, produces suboptimal returns over the long term. In contrast the firm believes that investors are better served by extending their investment time and using the power of compounding. The firm primarily focuses on independent, fundamental research and often takes a contrarian approach to value investing.
Silver Wheaton is also traded in Canada, Germany, Switzerland and the U.K.
Below is a Peter Lynch Chart for Silver Wheaton.
Stahl may have decided to increase his stake in Silver Wheaton because of the company's strong revenue growth over the previous 10 years. The company's revenues were $70.9 million in December 2005, and it has grown to $648 million, an average increase of 24% over the last 10 years. The company's gross profits have also grown exponentially during that timespan going from $33.1 million in December 2005 to $259.9 million in December 2015, an average of 23% annually that also may have influenced Stahl.
Cheers to your investment success.
