Howard Marks (Trades, Portfolio) is the chairman of Oaktree Capital Management LP, which was founded in 1995. The firm made the following trades in the third quarter:
The firm almost closed its position in Allergan PLCÂ (AGN, Financial), cutting it by 93.18%. The transaction had an impact of -3.07% on the portfolio.
Allergan is a specialty pharmaceutical company. It is engaged in developing, manufacturing and distributing generic, brand and biosimilar products. During the third quarter, total net revenues grew 4.4% year over year and 1.7% quarter on quarter. Diluted earnings per share increased 52.1% from the same quarter of a year before.
GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The return on equity (ROE) of 17.67% and return on assets (ROA) of 10.38% are outperforming 80% of the companies in the Global Drug Manufacturers - Specialty & Generic industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 0.84 is below the industry median of 2.59.
Oaktree sold out of JD.com Inc. ADR (JD, Financial) with an impact of -1.2% on the portfolio.
The company is an online direct sales company in China. It acquires products from suppliers and sells them directly to customers through its website and mobile applications. Third-quarter net revenues increased 38% from the same quarter of the year prior and non-GAAP gross profit had an increase of 59%.
GuruFocus gives the stock a profitability and growth rating of 3 out of 10. The ROE of -28.47% and ROA of -8.95% are underperforming 85% of the companies in the Global Internet Content & Information industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 1.55 is below the industry median of 8.22.
Dodge & Cox is the largest shareholder of the company among the gurus with 3.09% of outstanding shares, followed by Chase Coleman (Trades, Portfolio) with 2.36%, Andreas Halvorsen (Trades, Portfolio) with 1.92%, Ken Fisher (Trades, Portfolio) with 0.68%, Ruane Cunniff (Trades, Portfolio) with 0.26%, Chris Davis (Trades, Portfolio) with 0.15% and Steven Cohen (Trades, Portfolio) with 0.06%.
The firm exited its position in BRF SA ADRÂ (BRFS, Financial) with an impact of -1.07% on the portfolio.
The company produces fresh and frozen protein foods. It includes marinated, frozen, whole and cut Chester rooster and turkey meats, specialty meats, frozen processed meats, frozen prepared entrees and portioned products. Net operating revenues grew 2.7% in the third quarter and the company sold more than 1.2 million tons of food worldwide during the period.
GuruFocus gives the stock a profitability and growth rating of 7 out of 10. The ROE of 11.41% and ROA of 3.64% are outperforming 50% of the companies in the Global Packaged Foods industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 0.35 is below the industry median of 0.58.
The largest shareholder of the company among the gurus is Jim Simons (Trades, Portfolio) with 1.11% of outstanding shares, followed by Steven Cohen (Trades, Portfolio) with 0.05% and Manning & Napier Advisors Inc. with 0.03%.
Oaktree reduced its position in Taiwan Semiconductor Manufacturing Co. (TSM, Financial) by 21.82%. The trade had an impact of -0.98% on the portfolio.
The company manufactures, tests and sells computer-aided designs of integrated circuits and other semiconductor devices, it also manufactures masks. Third-quarter net sales grew 22.5% year over year and 17.4% quarter on quarter. The company reported a 29% year over year increase for gross profit and a 28.4% increase for net income.
GuruFocus gives the stock a profitability and growth rating of 9 out of 10. The ROE of 24.72% and ROA of 17.87% are outperforming 94% of the companies in the Global Semiconductors industry. Financial strength has a rating of 8 out of 10. The cash-debt ratio of 2.75 is above the industry median of 2.56.
Ken Fisher (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.56% of outstanding shares, followed by Sarah Ketterer (Trades, Portfolio) with 0.13%, Jeremy Grantham (Trades, Portfolio) with 0.12%, Howard Marks (Trades, Portfolio) with 0.07%, Jim Simons (Trades, Portfolio) with 0.05%, Pioneer Investments (Trades, Portfolio) with 0.05%, Frank Sands (Trades, Portfolio) with 0.03% and Ron Baron (Trades, Portfolio) with 0.03%.
The firm divested its stake in Anthem Inc. (ANTX, Financial) with an impact of -0.87% on the portfolio.
Anthem is a health benefits company that offers a spectrum of network-based managed care plans to large and small employers, individuals, Medicaid and Medicare markets.
GuruFocus gives the stock a profitability and growth rating of 8 out of 10. The ROA of 9.61% and return on capital (ROC) of 3.61% are underperforming 65% of the companies in the Global Health Care Plans industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.16 is below the industry median of 1.36.
Oaktree exited Banco Santander Chile ADR (BSAC, Financial) with an impact of -0.66% on the portfolio.
The company provides commercial and retail banking services, foreign currency loans and financial services such as management, leasing, advisory services, mutual fund management and securities brokerage. Total loans grew 1.8% from a quarter before and 6.2% from the same quarter a year ago. Net income grew 4.9% from the second quarter but decreased 5.6% from the third quarter of a year before.
GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The ROE of 20.40% and ROA of 1.58% are outperforming 80% of the companies in the Global Banks - Regional - Latin America industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 0.27 is below the industry median of 2.02.
John Rogers (Trades, Portfolio) is the largest shareholder of the company among the gurus with 0.24% of outstanding shares, followed by Jim Simons (Trades, Portfolio) with 0.22% and RS Investment Management (Trades, Portfolio) with 0.02%.
The firm sold out of Blackstone Group LP (BX, Financial) with an impact of -0.51% on the portfolio.
The company is an alternative asset manager. It also provides financial advisory services, including corporate and mergers and acquisitions advisory, restructuring and reorganization advisory and fund placement services.
GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The ROE of 8.97% and ROA of 3.73% are outperforming 62% of the companies in the Global Asset Management industry. Financial strength has a rating of 6 out of 10 with a cash-debt ratio of 2.45.
The largest shareholder of the company among the gurus is John Rogers (Trades, Portfolio) with 0.12% of outstanding shares, followed by Jim Simons (Trades, Portfolio) with 0.07%, Julian Robertson (Trades, Portfolio) with 0.05% and Tom Gayner (Trades, Portfolio) with 0.04%.
Disclosure: I do not own any shares of any stocks mentioned in this article.
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