7 Negative Assets in Gurus' Portfolios

Gurus' holdings with falling prices and returns

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Jul 26, 2017
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While gurus hold positions in these companies, the stock price and returns continue to fall. These are the worst-performing stocks over the last three months with a long-term presence in more than four gurus’ portfolios.

O'Reilly Automotive Inc. (ORLY) had a negative performance of 29.3% over the last six months. Three mutual funds hold the stock with a total weight of 1.95% on their portfolios.

The company has a market cap of $16.78 billion, and the stock is trading with a price-sales (P/S) ratio of 2.03. The price of $186.85 is 37.02% below its 52-week high and 8.85% above its 52-week low. Over the last 10 years, it returned a gain of 451%.

Over the last five years, O'Reilly Automotive reported a gain of 16% for revenue and 23.80% for earnings per share (EPS).

The return on equity (ROE) of 61.03% and return on assets (ROA) of 14.32% are outperforming 91% of other companies in the Global Specialty Retail industry.

Ruane Cunniff (Trades, Portfolio) with 1.93% of outstanding shares is the largest investor among the gurus followed by Spiros Segalas (Trades, Portfolio) with 1.56%, Chuck Akre (Trades, Portfolio) with 0.91%, Pioneer Investments (Trades, Portfolio) with 0.62%, Jim Simons (Trades, Portfolio) with 0.56% and Lee Ainslie (Trades, Portfolio) with 0.56%.

AT&T Inc. (T) had a negative performance of 10.0% over the last six months. Despite this, five mutual funds are holding the stock with a total weight of 0.32% on their portfolios.

The company has a market cap of $222.74 billion, and the stock is trading with a P/S ratio of 1.38. The price of $36.23 is 16.71% below its 52-week high and 1.17% above its 52-week low. Over the last 10 years, it returned a loss of 9%.

The ROE of 10.24% and ROA of 3.12% are outperforming 56% of other companies in the Global Telecom Services industry.

The largest shareholder among the gurus is Barrow, Hanley, Mewhinney & Strauss with 0.27% followed by PRIMECAP Management (Trades, Portfolio) with 0.23%, Pioneer Investments with 0.23%, Richard Perry (Trades, Portfolio) with 0.1%, Mario Gabelli (Trades, Portfolio) with 0.03% and Richard Pzena (Trades, Portfolio) with 0.01%.

Simon Property Group Inc. (SPG) had a negative performance of 9.5% over the last six months. Despite this, three mutual funds are holding the stock with a total weight of 0.28% on their portfolios.

The company has a market cap of $49.96 billion, and the stock is trading with a P/S ratio of 9.22. The price of $161.57 is 30.14% below its 52-week high and 6.59% above its 52-week low. Over the last 10 years, it returned a gain of 94%.

The ROE of 41.16% and ROA of 5.86% are outperforming 74% of other companies in the Global REIT - Retail industry.

Simons with 0.34% of outstanding shares is the largest investor among the gurus followed by Chris Davis (Trades, Portfolio) with 0.07%, Manning & Napier Advisors Inc. with 0.03%, Ron Baron (Trades, Portfolio) with 0.03%, Pioneer Investments with 0.03%, Ray Dalio (Trades, Portfolio) with 0.02% and Caxton Associates (Trades, Portfolio) with 0.01%.

Sealed Air Corp. (SEE) had a negative performance of 7.4% over the last six months. Despite this, three mutual funds are holding the stock with a total weight of 0.26% on their portfolios.

The company has a market cap of $8.87 billion, and the stock is trading with a P/S ratio of 1.43. The price of $45.20 is 10.51% below its 52-week high and 8.53% above its 52-week low. Over the last 10 years, it returned a gain of 63%.

The ROE of 58.65% and ROA of 4.55% are outperforming 52% of other companies in the Global Packaging & Containers industry.

The largest shareholder among the gurus is Manning & Napier Advisors with 1.28% followed by Pioneer Investments with 1.26%, First Eagle Investment (Trades, Portfolio) with 0.52%, Simons with 0.46%, Joel Greenblatt (Trades, Portfolio) with 0.1%, Paul Tudor Jones (Trades, Portfolio) with 0.09%, Gabelli with 0.05% and Signature Select Canadian Fund (Trades, Portfolio) with 0.03%.

TJX Companies Inc. (TJX) had a negative performance of 8.2% over the last six months. Despite this, four mutual funds are holding the stock with a total weight of 0.63% on their portfolios.

The company has a market cap of $43.04 billion, and the stock is trading with a P/S ratio of 1.32. The price of $68.70 is 21.01% below its 52-week high and 0.37% above its 52-week low. Over the last 10 years, it returned a gain of 385%.

The ROE of 51.97% and ROA of 18.79% are outperforming 96% of other companies in the Global Apparel Stores industry.

PRIMECAP Management with 1.9% of outstanding shares is the largest investor among the gurus followed by Ruane Cunniff with 1.46%, Diamond Hill Capital (Trades, Portfolio) with 0.62%, David Rolfe (Trades, Portfolio) with 0.28% and Pioneer Investments with 0.16%.

Lululemon Athletica Inc. (LULU) had a negative performance of 10.1% over the last six months. Despite this, three mutual funds are holding the stock with a total weight of 0.15% on their portfolios.

The company has a market cap of $8.48 billion, and the stock is trading with a P/S ratio of 3.58. The price of $61.90 is 24.19% below its 52-week high and 31.23% above its 52-week low. Over the last 10 years, it returned a gain of 343%.

The ROE of 23.31% and ROA of 19.13% are outperforming 87% of other companies in the Global Apparel Stores industry.

Argan Inc. (AGX) had a negative performance of 15.1% over the last three months. Despite this, three mutual funds are holding the stock with a total weight of 0.26% on their portfolios.

The company has a market cap of $994.81 billion, and the stock is trading with a P/S ratio of 1.30. The price of $64.30 is 16.43% below its 52-week high and 40.85% above its 52-week low. Over the last 10 years, it returned a gain of 755%.

The ROE of 23.93% and ROA of 13.79% are outperforming 93% of other companies in the Global Engineering and Construction industry.

Simons with 7.97% of outstanding shares is the largest investor among the gurus followed by Greenblatt with 1.17%, Scott Black (Trades, Portfolio) with 0.07%, Jones with 0.04% and Caxton Associates with 0.03%.

Disclosure: I do not own any shares of any stocks mentioned in this article.