The Vanguard Health Care Fund (Trades, Portfolio) sold shares of the following stocks in the first quarter.
The Merck & Co. Inc. (MRK, Financial) stake was trimmed by 10.53%, impacting the portfolio by -0.35%.
The company, which delivers health solutions through its medicines, vaccines and biologic therapies, has a market cap of $155.5 billion and an enterprise value of $171.65 billion.
GuruFocus gives the company a profitability and growth rating of 6 out of 10. Its return on equity of 4.12% and return on assets of 1.70% are underperforming 54% of companies in the Global Drug Manufacturers - Major industry. Its financial strength is rated 5 out of 10. The cash-debt ratio of 0.39 is below the industry median of 0.64.
Vanguard is the largest guru shareholder of the company with 0.9% of outstanding shares, followed by Barrow, Hanley, Mewhinney & Strauss with 0.53% and Dodge & Cox with 0.51%.
The Vertex Pharmaceuticals Inc. (VRTX, Financial) stake was reduced by 11.78%. The trade had an impact of -0.35% on the portfolio.
The company, which develops small molecule drugs, has a market cap of $38.07 billion and an enterprise value of $36.22 billion.
GuruFocus gives the company a profitability and growth rating of 6 out of 10. The ROE of 12.02% and ROA of 6.67% are outperforming 89% of companies in the Global Biotechnology industry. Its financial strength is rated 7 out of 10. The cash-debt ratio of 4.16 is below the industry median of 73.06.
The largest shareholder of the company among the gurus is Jim Simons (Trades, Portfolio) with 0.74% of outstanding shares, followed by Pioneer Investments (Trades, Portfolio) with 0.51% and Manning & Napier Advisors Inc. with 0.35%.
The fund trimmed 11.34% off its Abbott Laboratories (ABT, Financial) position. The transaction had an impact of -0.27% on the portfolio.
The company, which manufactures medical devices, blood glucose monitoring kits, nutritional healthcare products, diagnostic products and equipment and branded generic drugs, has a market cap of $102.98 billion and an enterprise value of $121.03 billion.
GuruFocus gives the company a profitability and growth rating of 7 out of 10. The ROE of 1.51% and ROA of 0.66% are outperforming 52% of companies in the Global Medical Devices industry. Its financial strength is rated 5 out of 10. The cash-debt ratio of 0.19 is below the industry median of 2.32.
PRIMECAP Management (Trades, Portfolio) is another notable guru shareholder of the company with 0.83% of outstanding shares, followed by Diamond Hill Capital (Trades, Portfolio) with 0.6% and Jeremy Grantham (Trades, Portfolio) with 0.27%.
The fund reduced its Bristol-Myers Squibb Co. (BMY, Financial) holding by 3.80%, impacting the portfolio by -0.25%.
The biopharmaceutical company has a market cap of $83.9 billion and an enterprise value of $84.94 billion.
GuruFocus gives the company a profitability and growth rating of 7 out of 10. While the ROE of 6.71% is outperforming the sector, the ROA of 2.75% is underperforming 54% of companies in the Global Drug Manufacturers - Major industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 0.88 is below the industry median of 3.53.
Another notable guru shareholder of the company is Dodge & Cox with 1.78% of outstanding shares, followed by Simons with 0.88%, Spiros Segalas (Trades, Portfolio) with 0.45% and PRIMECAP Management with 0.4%.
Vanguard reduced its Eli Lilly and Co. (LLY, Financial) position by 4.76%. The trade had an impact of -0.23% on the portfolio.
The pharmaceutical company has a market cap of $85.1 billion and an enterprise value of $92.07 billion.
GuruFocus gives the company a profitability and growth rating of 7 out of 10. The ROE of 8.13% and ROA of 2.66% are underperforming 69% of companies in the Global Drug Manufacturers – Major industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 0.41 is below the industry median of 3.53.
With 5.02% of outstanding shares, PRIMECAP Management is the company's largest guru shareholder, followed by Simons with 0.39% and Ken Fisher (Trades, Portfolio) with 0.34%.
The HCA Healthcare Inc. (HCA, Financial) holding was trimmed by 9%, impacting the portfolio by -0.18%.
The company, which operates general acute care and psychiatric hospitals, has a market cap of $34.24 billion and an enterprise value of $68.25 billion.
GuruFocus gives the company a profitability and growth rating of 8 out of 10. The ROA of 7.59% and return on capital of 31.88% are outperforming 68% of companies in the Global Medical Care industry. Its financial strength is rated 4 out of 10. The cash-debt ratio of 0.03 is below the industry median of 0.28.
The company's largest guru shareholder is Larry Robbins (Trades, Portfolio) with 3.52% of outstanding shares, followed by Bill Nygren (Trades, Portfolio) with 1.23% and Glenn Greenberg (Trades, Portfolio) with 0.83%.
The fund trimmed 9.04% off its Cerner Corp. (CERN, Financial) position. The trade had an impact of -0.17% on the portfolio.
The company, which provides software, remote hosting, wellness and other related services, has a market cap of $18.99 billion and an enterprise value of $18.52 billion.
GuruFocus gives the company a profitability and growth rating of 9 out of 10. The ROE of 18.79% and ROA of 13.74% are outperforming 82% of companies in the Global Health Information Services industry. Its financial strength is rated 7 out of 10. The cash-debt ratio of 2.07 is below the industry median of 8.37.
Manning & Napier is another notable guru shareholder of the company with 3.52% of outstanding shares, followed by Pioneer Investments with 0.08% and Joel Greenblatt (Trades, Portfolio) with 0.04%.
Disclosure: I do not own any stocks mentioned in this article.
