Jeff Ubben (Trades, Portfolio), founder, CEO and chief investment officer of ValueAct Holdings LP, added to half a dozen stakes in the third quarter.
Ubben increased the position in Alliance Data Systems Corp. (ADS, Financial), a Plano, Texas-based loyalty and marketing solutions provider, by more than 52% with the purchase of 1,712,090 shares for an average price of $213.31 per share. The transaction had a 3.19% impact on the portfolio.
Ubben is Alliance Data Systems’ leading shareholder among the gurus with a stake of 3,287,910 shares. His stake represents 5.69% of the company’s outstanding shares.
Alliance Data Systems has a price-earnings (P/E) ratio of 22.18, a forward P/E of 11.25, a price-book (P/B) ratio of 6.89 and a price-sales (P/S) ratio of 1.77. GuruFocus gives Alliance Data Systems a Financial Strength rating of 4/10 and a Profitability and Growth rating of 9/10 with return on equity (ROE) of 30.73% that is higher than 92% of the companies in the Global Credit Services industry and return on assets (ROA) of 3.05% that is higher than 60% of the companies in that industry.
Alliance Data Systems sold for $210.14 per share at market close Tuesday. The DCF Calculator gives Alliance Data Systems a fair value of $234.88 with an 11% margin of safety.
Ubben boosted the stake in Seagate Technology PLC (STX, Financial), a California-based data storage company, by nearly 218% with the purchase of 6,539,490 shares for an average price of $32.46 per share. The deal had a 2.19% impact on the portfolio.
Richard Pzena (Trades, Portfolio) is Seagate’s leading shareholder among the gurus with a stake of 11,068,116 shares. The stake is 3.76% of Seagate’s outstanding shares.
Seagate Technology has a P/E ratio of 30.56, a forward P/E of 11.89, a P/B ratio of 7.45 and a P/S ratio of 1.03. GuruFocus gives Seagate a Financial Strength rating of 5/10 and a Profitability and Growth rating of 6/10 with ROE of 22.30% that is higher than 92% of the companies in the Global Data Storage industry and ROA of 4.42% that is higher than 61% of the companies in that industry.
Seagate sold for $38.51 per share Tuesday. The DCF Calculator gives Seagate a fair value of $13.48.
Ubben raised the position in Trinity Industries Inc. (TRN, Financial), a Dallas-based conglomerate, by more than 107% with the purchase of 6,421,000 shares for an average price of $22.88 per share. The transaction had a 1.35% impact on the portfolio.
Ubben is Trinity Industries’ leading shareholder among the gurus with a stake of 12,421,000 shares. The stake is 8.16% of Trinity Industries’ outstanding shares.
Trinity Industries has a P/E ratio of 8.67, a forward P/E of 18.12, a P/B ratio of 1.07 and a P/S ratio of 0.81. GuruFocus gives Trinity a Financial Strength rating of 5/10 and a Profitability and Growth rating of 8/10 with ROE of 13.32% that is higher than 78% of the companies in the Global Railroads industry and ROA of 5.32% that is higher than 72% of the companies in that industry.
Trinity sold for $26.99 per share Tuesday. The DCF Calculator gives Trinity a fair value of $33.28 with a 19% margin of safety.
Ubben increased the stake in Morgan Stanley (MS, Financial), a New York-based financial services company, by more than 10% with the purchase of 3.9 million shares for an average price of $29.83 per share. The deal had a 1.09% impact on the portfolio.
Ubben is Morgan Stanley’s leading shareholder among the gurus with a stake of 38 million shares. The stake is 2.03% of Morgan Stanley’s outstanding shares.
Morgan Stanley has a P/E ratio of 16, a forward P/E of 12.90, a P/B ratio of 1.04 and a P/S ratio of 2.26. GuruFocus gives Morgan Stanley a Financial Strength rating of 5/10 and a Profitability and Growth rating of 5/10 with ROE of 6.24% that is higher than 61% of the companies in the Global Capital Markets industry and ROA of 0.64% that is lower than 58% of the companies in that industry.
Morgan Stanley sold for $40 per share Tuesday. The DCF Calculator gives Morgan Stanley a fair value of $26.65.
Ubben hiked the stake in Twenty-First Century Fox Inc. (FOX, Financial), a New York-based mass media company, by more than 6% with the purchase of 3 million shares for an average price of $26.06 per share. The transaction had a 0.65% impact on the portfolio.
Ubben is Twenty-First Century Fox’s leading shareholder among the gurus with a stake of 50,326,334 shares. The stake is 2.71% of Twenty-First Century Fox’s outstanding shares.
Twenty-First Century Fox has a P/E ratio of 18.09, a forward P/E of 14.22, a P/B ratio of 3.71 and a P/S ratio of 1.92. GuruFocus gives Twenty-First Century Fox a Financial Strength rating of 5/10 and a Profitability and Growth rating of 8/10 with ROE of 20.22% that is higher than 83% of the companies in the Global Media – Diversified industry and ROA of 5.99% that is higher than 69% of the companies in that industry.
Twenty-First Century Fox sold for $27.4 per share Tuesday. The DCF Calculator gives Twenty-First Century Fox a fair value of $16.27.
Ubben boosted the stake in CBRE Group Inc. (CBG, Financial), a Los Angeles-based real estate company, by more than 5% with the purchase of 1,684,260 shares for an average price of $28.54 per share. The deal had a 0.41% impact on the portfolio.
Ubben is CBRE’s leading shareholder among the gurus with a stake of 34,620,054 shares. The stake is 10.26% of CBRE’s outstanding shares.
CBRE has a P/E ratio of 19.76, a forward P/E of 20.37, a P/B ratio of 3.25 and a P/S ratio of 0.73. GuruFocus gives CBRE a Financial Strength rating of 5/10 and a Profitability and Growth rating of 7/10 with ROE of 17.60% that is higher than 83% of the companies in the Global Real Estate Services industry and ROA of 4.77% that is higher than 69% of the companies in that industry.
CBRE sold for $28.63 per share Tuesday. The DCF Calculator gives CBRE a fair value of $15.52.
Disclosure: I do not own any stocks mentioned in this article.
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