Donald Smith
measures the valuation of companies with price to book (P/B)
ratios. He loves to buy good companies that are sold at
historical low P/B ratios. In the first quarter, he bought five
new positions that are sold that low P/B ratios. Buying stocks at
low P/B ratios was also an original idea of Ben Graham.
Donald Smith
's firm found that from 1951 to 2009 stocks in the lowest
price-to-tangible book value decile had the highest long-term
returns, delivering a 15.4% return versus 10.7% for the S&P
500.
Donald Smith
buys Exelon Corp, WPX Energy Inc, Xl Group Plc, Adv Oil&Gas
Ltd, Radioshack Corp, AbitibiboWater etc during the 3-months
ended 03/31/2012, according to the most recent filings of his
investment company,
Donald Smith
& Co. As of 03/31/2012, Donald Smith & Co. owns 94 stocks
with a total value of $3.4 billion. These are the details of the
buys and sells.
- New Purchases:
EXC
,
WPX
,
AAV
,
RSH
,
VLO
,
- Added Positions:
XL
,
ABH
,
ANAT
,
AYR
,
GM
,
- Reduced Positions:
AUY
,
IWM
,
TSO
,
LPX
,
MDY
,
UFS
,
VOXX
,
BANR
,
EPL
,
ORI
,
GLT
,
IMOS
,
COCO
,
- Sold Out:
PNW
,
SMI
,
TAST
,
S
,
For the details of Donald Smith's stock buys and sells, go to
http://www.gurufocus.com/StockBuy.php?GuruName=Donald+Smith
These are the top 5 holdings of Donald Smith
- Dillards Inc-A (
DDS
) - 3,626,897 shares, 6.6% of the total portfolio. Shares
reduced by 10.25%
- Ingram Micro (
IM
) - 9,909,259 shares, 5.3% of the total portfolio. Shares added
by 1.02%
- Micron Tech (
MU
) - 22,055,146 shares, 5.2% of the total portfolio. Shares
reduced by 1.88%
- Jetblue Airways (
JBLU
) - 29,522,839 shares, 4.2% of the total portfolio. Shares
reduced by 1.31%
- Mi Devlpmnts -A (
MIM
) - 4,059,745 shares, 4.1% of the total portfolio. Shares
reduced by 13.62%
New Purchase: Exelon Corp (
EXC
)
Donald Smith initiated holdings in Exelon Corp. His purchase
prices were between $38.46 and $42.07, with an estimated average
price of $37.13. The impact to his portfolio due to this purchase
was 2.8%. His holdings were 2,475,608 shares as of 03/31/2012.
Exelon Corp has a market cap of $33.12 billion; its shares were
traded at around $38.91 with a P/E ratio of 10.13 and P/S ratio
of 1.73. The dividend yield of Exelon Corp stocks is 5.4%. Exelon
Corp had an annual average earnings growth of 8.5% over the past
10 years.
New Purchase: WPX Energy Inc (
WPX
)
Donald Smith initiated holdings in WPX Energy Inc. His purchase
prices were between $14.75 and $19.67, with an estimated average
price of $16.61. The impact to his portfolio due to this purchase
was 1.7%. His holdings were 3,198,595 shares as of 03/31/2012.
WPX Energy, Inc. is a natural gas and oil company focused on the
exploitation and development of unconventional properties. WPX
Energy Inc has a market cap of $3.46 billion; its shares were
traded at around $17.43 with and P/S ratio of 0.87.
New Purchase: Adv Oil&gas Ltd (
AAV
)
Donald Smith initiated holdings in Adv Oil&gas Ltd. His
purchase prices were between $3.31 and $4.38, with an estimated
average price of $3.43. The impact to his portfolio due to this
purchase was 0.97%. His holdings were 9,935,183 shares as of
03/31/2012. Advantage Oil and Gas Ltd., formerly Advantage Energy
Income Fund, is an intermediate oil and natural gas corporation,
engaged in the exploration and development of oil and natural gas
properties in Alberta and Saskatchewan in Canada. Adv Oil&gas
Ltd has a market cap of $518.04 million; its shares were traded
at around $3.11 with and P/S ratio of 1.46.
New Purchase: RadioShack Corp (
RSH
)
Donald Smith initiated holdings in RadioShack Corp. His purchase
prices were between $6.22 and $10.96, with an estimated average
price of $7.49. The impact to his portfolio due to this purchase
was 0.53%. His holdings were 2,950,129 shares as of 03/31/2012.
RadioShack Corp has a market cap of $467.82 million; its shares
were traded at around $4.72 with a P/E ratio of 9.61 and P/S
ratio of 0.11. The dividend yield of RadioShack Corp stocks is
2.65%.
New Purchase: Valero Energy (
VLO
)
Donald Smith initiated holdings in Valero Energy. His purchase
prices were between $19.61 and $28.56, with an estimated average
price of $23.29. The impact to his portfolio due to this purchase
was 0.41%. His holdings were 552,292 shares as of 03/31/2012.
Valero Energy Corporation owns and operates refineries in the
United States and Canada with a combined throughput capacity of
approximately two million BPD, making it one of the nation's top
refiners of petroleum products. Valero Energy has a market cap of
$12.51 billion; its shares were traded at around $22.54 with a
P/E ratio of 6.42 and P/S ratio of 0.1. The dividend yield of
Valero Energy stocks is 2.66%. Valero Energy had an annual
average earnings growth of 6.5% over the past 10 years.
Sold Out: Pinnacle West (
PNW
)
Donald Smith sold out his holdings in Pinnacle West. His sale
prices were between $46.39 and $48.53, with an estimated average
price of $44.6. Pinnacle West Capital is engaged, through its
subsidiaries, in the generation, transmission, and distribution
of electricity and selling energy, products and services; in real
estate development; and in venture capital investment. Pinnacle
West has a market cap of $5.31 billion; its shares were traded at
around $48.6 with a P/E ratio of 15.88 and P/S ratio of 1.64. The
dividend yield of Pinnacle West stocks is 4.32%. Pinnacle West
had an annual average earnings growth of 2.3% over the past 5
years.
Sold Out: Semicon Mfg-adr (
SMI
)
Donald Smith sold out his holdings in Semicon Mfg-adr. His sale
prices were between $2.33 and $2.86, with an estimated average
price of $2.41. SEMICONDUCTOR MANUFACTURING INTERNATIONAL
CORPORATION is one of the semiconductor foundries in the world
and the largest and most advanced foundry in Mainland China,
providing integrated circuit manufacturing service at 0. Semicon
Mfg-adr has a market cap of $1.33 billion; its shares were traded
at around $2.42 with and P/S ratio of 1.01.
Sold Out: Carrols Restaurant (
TAST
)
Donald Smith sold out his holdings in Carrols Restaurant. His
sale prices were between $11.02 and $15.42, with an estimated
average price of $11.28. CARROLS RESTAURANT GROUP, INC.,
operating through its subsidiaries, including Carrols
Corporation, is one of the largest restaurant companies in the
United States. Carrols Restrnt has a market cap of $130.39
million; its shares were traded at around $5.65 with a P/E ratio
of 7.41 and P/S ratio of 0.16.
Sold Out: Sprint Nextel (
S
)
Donald Smith sold out his holdings in Sprint Nextel. His sale
prices were between $2.12 and $2.98, with an estimated average
price of $2.3. Sprint Nextel offers a comprehensive range of
wireless and wireline communications services to consumer,
business and government customers. Sprint Nextel has a market cap
of $7.46 billion; its shares were traded at around $2.48 with and
P/S ratio of 0.22.
Here is the complete portfolio of Donald Smith. Also check out
the Undervalued Stocks, Top Growth Companies, and High Yield
stocks of Donald Smith.About GuruFocus: GuruFocus.com tracks the
stocks picks and portfolio holdings of the world's best
investors. This value investing site offers stock screeners and
valuation tools. And publishes daily articles tracking the latest
moves of the world's best investors. GuruFocus also provides
promising stock ideas in 3 monthly newsletters sent to
Premium Members
.