Chuck Akre
is a veteran investor who established his firm, Akre Capital
Management, in 1999. In the last ten years, he beat the S&P
500 with his cumulative return of 187.9%, compared to the index's
34.9%. When selecting stocks, Akre looks for companies that will
gain real economic value and "that can
and do compound the shareholders capital at above average rates,"
as he says in his second-quarter letter.
In the first quarter, he found just four such stocks: DirecTV (
DTV
), Bank of America Warrants (
BAC.WS.A
), Higher One Holdings (
ONE
) and Artio Global Investors (
ART
).
DirecTV (
DTV
)
Akre bought 900,000 shares of DirecTV at an average price of $47
in the second quarter of 2012. The stock's price has increased
10% since then.
DirecTV is a provider of digital multichannel television
entertainment in the United States and Latin America. DirecTV has
a market cap of $34.13 billion; its shares were traded at around
$51.66 with a P/E ratio of 13.4 and P/S ratio of 1.3. DirecTV had
an annual average earnings growth of 33.4% over the past 10
years. GuruFocus rated DirecTV
the business predictability rank of 2.5-star
.
Bank of America Warrants (
BAC.WS.A
)
Akre purchased 481,000 Bank of America Warrants in the second
quarter.
Higher One Holdings Inc. (
ONE
)
Akre bought 90,690 shares of Higher One Holdings at an average
price of $14 in the second quarter of 2012. The stock has since
dropped 19% from that price.
Higher One Inc. is engaged in providing technology and payment
services to the higher education industry. Higher One Holdings
Inc has a market cap of $636 million; its shares were traded at
around $11.34 with a P/E ratio of 18.7 and P/S ratio of 3.6.
Artio Global Investors (
ART
)
Akre purchased 275,000 shares of Artio Global Investors at an
average price of $4 per share in the second quarter. The stock
has since declined 18% from that price.
Artio Global Investors Inc. is the holding company of Artio
Global Management LLC, a registered investment adviser
headquartered in New York City that actively invests in global
equity and fixed income markets, primarily for institutional and
intermediary clients. Artio Global Investors Inc. has a market
cap of $192.7 million; its shares were traded at around $3.28
with a P/E ratio of 5.4 and P/S ratio of 0.7. The dividend yield
of Artio Global Investors Inc. stocks is 2.5%.
Chuck Akre is a veteran investor who established his firm, Akre
Capital Management, in 1999. In the last ten years, he beat the
S&P 500 with his cumulative return of 187.9%, compared to the
index's 34.9%. When selecting stocks, Akre looks for companies
that will gain real economic value and "that can
and do compound the shareholders capital at above average rates,"
as he says in his second-quarter letter.
In the first quarter, he found just four such stocks: DirecTV (
DTV
), Bank of America Warrants (
BAC.WS.A
), Higher One Holdings (
ONE
) and Artio Global Investors (
ART
).
DirecTV (
DTV
)
Akre bought 900,000 shares of DirecTV at an average price of $47
in the second quarter of 2012. The stock's price has increased
10% since then.
DirecTV is a provider of digital multichannel television
entertainment in the United States and Latin America. DirecTV has
a market cap of $34.13 billion; its shares were traded at around
$51.66 with a P/E ratio of 13.4 and P/S ratio of 1.3. DirecTV had
an annual average earnings growth of 33.4% over the past 10
years. GuruFocus rated DirecTV the business predictability rank
of 2.5-star.
Bank of America Warrants (
BAC.WS.A
)
Akre purchased 481,000 Bank of America Warrants in the second
quarter.
Higher One Holdings Inc. (
ONE
)
Akre bought 90,690 shares of Higher One Holdings at an average
price of $14 in the second quarter of 2012. The stock has since
dropped 19% from that price.
Higher One Inc. is engaged in providing technology and payment
services to the higher education industry. Higher One Holdings
Inc has a market cap of $636 million; its shares were traded at
around $11.34 with a P/E ratio of 18.7 and P/S ratio of 3.6.
Artio Global Investors (
ART
)
Akre purchased 275,000 shares of Artio Global Investors at an
average price of $4 per share in the second quarter. The stock
has since declined 18% from that price.
Artio Global Investors Inc. is the holding company of Artio
Global Management LLC, a registered investment adviser
headquartered in New York City that actively invests in global
equity and fixed income markets, primarily for institutional and
intermediary clients. Artio Global Investors Inc. has a market
cap of $192.7 million; its shares were traded at around $3.28
with a P/E ratio of 5.4 and P/S ratio of 0.7. The dividend yield
of Artio Global Investors Inc. stocks is 2.5%.
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