Hussman Strategic Advisers founder John Hussman (Trades, Portfolio) established 28 new stakes during the quarter, 10 of which were in technology companies.
With technology stocks representing 28.1% of his holdings, Hussman’s current portfolio is composed of 191 total stocks.
His top five technology investments for the quarter are Sanmina Corp. (SANM, Financial), II-VI Inc. (IIVI, Financial), Jabil Inc. (JBL, Financial), Skyworks Solutions Inc. (SWKS, Financial) and Oclaro Inc. (OCLR, Financial).
Sanmina
In his largest new technology purchase for the quarter, Hussman bought 100,000 shares of Sanmina for an average price of $37.97 per share, giving it 0.84% portfolio space. He previously sold out of the stock in the first quarter of 2017.
The electronics manufacturer has a market cap of $2.74 billion; its shares were trading around $36.40 on Wednesday with a price-earnings (P/E) ratio of 13.31, a price-book (P/B) ratio of 1.59 and a price-sales (P/S) ratio of 0.42.
The Peter Lynch chart below shows the stock is trading evenly with its fair value.
GuruFocus ranked Sanmina’s financial strength 7 of 10 and its profitability and growth 6 of 10. The company does not pay a dividend.
Donald Smith (Trades, Portfolio) is the company’s largest shareholder among the gurus with 2.87% of outstanding shares. In all, 10 gurus own the stock.
II-VI
Having previously sold out of II-VI in the first quarter, Hussman established a new holding of 100,000 shares for an average price of $32.36 per share, giving it a portfolio weight of 0.76%.
The electronic components manufacturer has a market cap of $2.28 billion; its shares were trading around $36.18 on Wednesday with a P/E ratio of 29.89, a P/B ratio of 2.69 and a P/S ratio of 2.48.
According to the Peter Lynch chart below, the stock is trading above its fair value.
GuruFocus ranked II-VI’s financial strength 7 of 10 and its profitability and growth 8 of 10. The company does not pay a dividend.
With 5.7% of its outstanding shares, Barrow, Hanley, Mewhinney & Strauss is the company’s largest guru shareholder. Jim Simons (Trades, Portfolio), Chuck Royce (Trades, Portfolio) and Mariko Gordon (Trades, Portfolio) also hold the stock.
Jabil
After selling out of Jabil in second-quarter 2016, he initiated a new stake of 100,000 shares, paying an average price of $29.40 per share. The trade expanded the portfolio 0.65%.
The electronics manufacturer has a market cap of $5.59 billion; its shares were trading around $31.19 on Wednesday with a P/E ratio of 48.73, a P/B ratio of 2.42 and a P/S ratio of 0.32.
Based on the Peter Lynch chart below, the stock appears to be trading above its fair value.
GuruFocus ranked Jabil’s financial strength 5 of 10 and its profitability and growth 6 of 10. The company’s trailing dividend yield is 1.04% and its forward dividend yield is 1.05%. Over the past five years, the company has grown its dividend at a rate of 1.9% per year.
Among the gurus invested in Jabil, PRIMECAP Management (Trades, Portfolio) is its largest shareholder among the gurus with 2.16% of outstanding shares. A total of eight gurus own the stock.
Skyworks Solutions
Hussman bought 20,000 shares of Skyworks Solutions for an average price of $102.72 per share, giving it 0.43% portfolio space. He previously sold out of the stock in the fourth quarter of 2015.
The semiconductor manufacturer has a market cap of $19.19 billion; its shares were trading around $104.43 on Wednesday with a P/E ratio of 20.07, a P/B ratio of 4.96 and a P/S ratio of 5.59.
As illustrated in the Peter Lynch chart below, the stock appears to be trading above its fair value.
GuruFocus ranked Skyworks’ financial strength 9 of 10 and its profitability and growth 9 of 10. The company’s trailing dividend yield is 1.08% and its forward dividend yield is 1.22%.
Manning & Napier Advisors Inc. is the company’s largest shareholder among the gurus with 1.09% of outstanding shares. Richard Snow (Trades, Portfolio), Joel Greenblatt (Trades, Portfolio), Lee Ainslie (Trades, Portfolio) and David Dreman (Trades, Portfolio) are also shareholders.
Oclaro
Hussman purchased 200,000 shares of Oclaro for an average price of $9.05 per share, expanding the portfolio 0.41%.
The laser and optical components manufacturer has a market cap of $1.53 billion; its shares were trading around $9.13 on Wednesday with a P/E ratio of 17.24, a P/B ratio of 3.33 and a P/S ratio of 2.35.
The Peter Lynch chart below shows the stock is trading about evenly with its fair value.
GuruFocus ranked Oclaro’s financial strength 8 of 10 and its profitability and growth 3 of 10. The company does not pay a dividend.
With 0.7% of outstanding shares, Royce is the company’s largest guru shareholder. Ken Heebner (Trades, Portfolio), the Matthews Asia Small Companies Fund (Trades, Portfolio), Scott Black (Trades, Portfolio), Greenblatt and Paul Tudor Jones (Trades, Portfolio) are also shareholders.
The other five technology companies Hussman established positions in during the quarter are Baidu Inc. (BIDU, Financial), Qorvo Inc. (QRVO, Financial), Juniper Networks Inc. (JNPR, Financial), Qualys Inc. (QLYS, Financial) and Intel Corp. (INTC, Financial).
Disclosure: I do not own any stocks mentioned.
