Value investor Seth Klarman (Trades, Portfolio) is portfolio manager of The Baupost Group. During the fourth quarter, he bought shares in the following stocks:
The investor added to his stake in Allergan PLCÂ (AGN, Financial) by 71.46% with an impact of 3.96% on the portfolio.
The company is engaged in developing, manufacturing and distributing generic, brand name and biosimilar products. It recently announced it has entered into a definitive agreement to acquire ZELTIQ Aesthetics Inc. (ZLTQ, Financial) for $56.50 per share, or $2.475 billion.
GuruFocus gives the stock a profitability and growth rating of 5 out of 10. The return on equity (ROE) of 18.53% and return on assets (ROA) of 11.06% are outperforming 79% 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 0.40 is below the industry median of 2.56.
The largest shareholder among the gurus is the Vanguard Health Care Fund (Trades, Portfolio) with 3.6% of outstanding shares, followed by David Tepper (Trades, Portfolio) with 1.27%, John Paulson (Trades, Portfolio) with 1.06%, Klarman with 1.02%, Paul Singer (Trades, Portfolio) with 0.82% and John Griffin (Trades, Portfolio) with 0.46%.
Klarman increased his holding of Twenty-First Century Fox Inc. (FOXA, Financial) by 50.14%. The trade had an impact of 2.36% on the portfolio.
It is a diversified media and entertainment company. It operates in five business segments: Cable Network Programming, Television, Filmed Entertainment, Other Corporate and Eliminations. Second-quarter income from continuing operations was $857 million or 46 cents per share, compared to $674 million or 34 cents per share reported in the prior-year quarter.
GuruFocus gives the stock a profitability and growth rating of 9 out of 10. The ROE of 21.79% and ROA of 6.33% are outperforming 75% of the companies in the Global Media - Diversified industry. Financial strength has a rating of 5 out of 10. The cash-debt ratio of 0.23 is below the industry median of 1.27.
Dodge & Cox is the largest shareholder among the gurus with 3.73% of outstanding shares, followed by Donald Yacktman (Trades, Portfolio) with 2.35%, Barrow, Hanley, Mewhinney & Strauss with 1.68%, the Yacktman Fund (Trades, Portfolio) with 1.08%, the Yacktman Focused Fund (Trades, Portfolio) with 0.68%, Andreas Halvorsen (Trades, Portfolio) with 0.66% and Manning & Napier Advisors Inc. with 0.62%.
The guru acquired 1 million shares in McKesson Corp. (MCK) with an impact of 1.85% on the portfolio.
The company distributes pharmaceuticals, medical supplies and health care information technology that make health care safer while reducing costs. Third-quarter revenues grew 5% year over year and GAAP earnings per diluted share increased 6%.
GuruFocus gives the stock a profitability and growth rating of 8 out of 10. While the ROE of 21.65% is outperforming the sector, the ROA of 3.35% is underperforming 53% of the companies in the Global Medical Distribution industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.27 is below the industry median of 0.65.
The largest shareholder among the gurus is Vanguard Health Care Fund with 3.38% of outstanding shares followed by Charles Brandes (Trades, Portfolio) with 0.49%, Larry Robbins (Trades, Portfolio) with 0.32%, Jana Partners (Trades, Portfolio) with 0.18%, Joel Greenblatt (Trades, Portfolio) with 0.13%, Tepper with 0.13% and Richard Pzena (Trades, Portfolio) with 0.09%.
The guru added to his NorthStar Realty Finance Corp. (NRF) stake by 165.12%. The trade had an impact of 1.81% on the portfolio.
It is a diversified commercial real estate company. It invests in multiple asset classes across commercial real estate that it expects will generate attractive risk-adjusted returns and may take the form of acquiring real estate.
GuruFocus gives the stock a profitability and growth rating of 5 out of 10. The ROE of -11.74% and ROA of -2.31% are underperforming 96% of the companies in the Global REIT - Retail industry. Financial strength has a rating of 3 out of 10. The cash-debt ratio of 0.16 is above the industry median of 0.06.
Jim Simons (Trades, Portfolio) is another notable shareholder among the gurus with 0.78% of outstanding shares followed by Manning & Napier Advisors Inc. with 0.16%.
The guru raised his holding of NorthStar Asset Management Group Inc. (NSAM) by 88.68% with an impact of 1.72% on the portfolio.
It is an asset management company focused on strategically managing real estate and other investment platforms in the U.S. and internationally.
GuruFocus gives the stock a profitability and growth rating of 4 out of 10. The ROE of 33.87% and ROA of 11.34% are outperforming 81% of the companies in the Global Asset Management industry. Financial strength has a rating of 5 out of 10 with cash-debt ratio of 0.18.
Another notable shareholder among the gurus is David Abrams (Trades, Portfolio) with 5.62% of outstanding shares followed by Michael Dell (Trades, Portfolio) with 3.35%, Simons with 0.44% and Chuck Royce (Trades, Portfolio) with 0.03%.
The investor raised his position of Viasat Inc. (VSAT) by 14.09% with an impact of 1.42% on the portfolio.
It is engaged in the provision of high-speed fixed and mobile broadband services. The company also offers satellite and other wireless networks and secure networking systems, products and services. Third-quarter revenues grew 9.5% year over year, and net income decreased 56.5% from the same quarter of a year before.
GuruFocus gives the stock a profitability and growth rating of 7 out of 10. The ROE of 1.71% and ROA of 0.85% are underperforming 58% of the companies in the Global Communication Equipment industry. Financial strength has a rating of 6 out of 10. The cash-debt ratio of 0.34 is below the industry median of 2.10.
Another notable shareholder among the gurus is Mason Hawkins (Trades, Portfolio) with 7.96% of outstanding shares followed by Murray Stahl (Trades, Portfolio) with 0.08% and Paul Tudor Jones (Trades, Portfolio) with 0.01%.
The guru bought a 1,030,000-share stake in Cardinal Health Inc. (CAH) with an impact of 0.98% on the portfolio.
It is a health care services company. It provides pharmaceutical and medical products and services that help pharmacies, hospitals and other health care providers focus on patient care. It also provides medical products to patients in the home. During the second quarter revenue grew 5% year over year but operating earnings decreased 4%. The company reported a 4% decrease for non-GAAP operating earnings.
GuruFocus gives the stock a profitability and growth rating of 6 out of 10. The ROE of 20.59% and ROA of 3.95% are outperforming 54% of the companies in the Global Medical Distribution industry. Financial strength has a rating of 6 out of 10 with cash-debt ratio of 0.34 that is below the industry median of 0.65.
The largest shareholder among the gurus is Barrow, Hanley, Mewhinney & Strauss with 6.77% of outstanding shares followed by Vanguard Health Care Fund with 2.02%, Klarman with 0.33%, Pioneer Investments (Trades, Portfolio) with 0.1%, Ray Dalio (Trades, Portfolio) with 0.04%, First Pacific Advisors (Trades, Portfolio) with 0.03%, Arnold Van Den Berg (Trades, Portfolio) with 0.02% and Greenblatt with 0.02%.
Disclosure: I do not own any shares of any stocks mentioned in this article.
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