The Alchemist's Way - Charles Brandes High-Impact Sells in Review

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The Gurus can teach us many things. A huge financial loss can be experiential fire. In the alchemical process of smelting inner wealth from outer loss, that fire can transform a mere billionaire into a wise Guru.

Charles Brandes , for example, demonstrates that it's not just about money, it's about character. Not many investors can survive and thrive after free-falling a drop of more than $100 billion in assets under management, but Brandes did, and he is still one of America's richest. According to Forbes, as of March 2013, Brandes Investment Partners managed around $27.2 billion, a far cry from the firm's $120 billion six years ago.

Today the Brandes Investment portfolio, led by Guru Charles Brandes , lists 169 stocks, 11 of them new, with a total value of $7.98 billion and a quarter-over-quarter turnover of 5%. The top three sector weights in the portfolio are technology at 24%, financial services at 19.1% and communication services at 13.9%. Charles Brandes 's 12-month average return is 16.89%; he's averaged 6.4% since inception.

The Brandes portfolio shows these high-impact decreases as of the second quarter of 2013.

Boston Scientific Inc. ( BSX ): Reduced

Impact to Portfolio: - 1.54%

Up 104% over 12 months, Boston Scientific Inc. has a market cap of $15.44 billion; its shares were traded at around $11.54. The P/B ratio is 2.30.

Boston Scientific Inc. is a developer, manufacturer and marketer of medical devices that are used in a range of interventional medical specialties. The company's products are used in interventional cardiology, endoscopy, peripheral interventions, urology/women's health, neuromodulation, electrophysiology and others.

Historical share pricing, revenue and net income:



Guru Action: As of June 30, 2013, Charles Brandes reduced his position by 96.31%, selling 16,285,728 shares at an average price of $8.48, for a gain of 35.6%. His current shares remaining are 624,088.

Charles Brandes has averaged a gained of 97% on 465,173 shares bought at an average price of $5.84 per share. On shares sold, he has averaged a gain of 23% on 72,937,900 shares sold at an average price of $9.36 per share.

News Corporation ( NWSA ): Reduced

Impact to Portfolio: - 1.19%

Up 8% over 12 months, News Corporation has a market cap of $6.46 billion; its shares were traded at around $17.05 with a P/S of 0.70.

News Corporation is a diversified media and information services company focused on creating and distributing authoritative and engaging content to consumers. The company comprises businesses across a range of media, including news and information services, digital real estate services, book publishing, digital education, and sports programming and pay TV distribution.

Historical share pricing, revenue and net income:



Guru Action: As of June 30, 2013, Charles Brandes reduced his position by 53.87%, selling 3,044,640 shares at an average price of $15.52, for a gain of 10%.

TE Connectivity Ltd. ( TEL ): Reduced

Impact to Portfolio: - 1.09%

Up 53% over 12 months, TE Connectivity Ltd. has a market cap of $21.75 billion; its shares were traded at around $52.49. The P/B ratio is 2.80. The dividend yield is 1.76%.

TE Connectivity Ltd. is a company that designs and manufactures electronic products that connect and protect the flow of power and data.

Historical share pricing, revenue and net income:



Guru Action: As of June 30, 2013, Charles Brandes reduced his position by 18.75%, selling 2,202,757 shares at an average price of $43.79, for a gain of 20.1%. His current shares remaining are 9,546,231.

In five years of pure gains, Charles Brandes has averaged a gained of 49% on 16,574,638 shares bought at an average price of $35.33 per share. On shares sold, he has averaged a gain of 38% on 7,028,407 shares sold at an average price of $38.23 per share.

His trading history:




Seagate Technology PLC ( STX ): Reduced

Impact to Portfolio: - 0.93%

Up 30% over 12 months, Seagate Technology PLC has a market cap of $14.62 billion; its shares were traded at around $41.78. The P/B ratio is 4.20. The dividend yield is 3.57%.

Seagate Technology PLC is a provider of electronic data storage products. Its products include hard disk drives, commonly referred to as disk drives, hard drives or HDDs. The company produces a range of electronic data storage products.

Historical share pricing, revenue and net income:



Guru Action: As of June 30, 2013, Charles Brandes reduced his position by 54.54%, selling 2,084,836 shares at an average price of $40.28, gaining 1.6%. His current shares remaining are 1,737,924.

In another remarkable five-year history of only gains, Charles Brandes has averaged a 60% gain on 5,181,044 shares bought at an average price of $25.61 per share. On shares sold, he has averaged a 19% gain on 3,443,120 shares sold at an average price of $34.28 per share.



Charles Brandes is the chairman of Brandes Investment Partners. He started the firm in 1974. He manages multiple portfolios including U.S. equity and Global Equity. He has a net worth of $1.1 billion as of September 2013, according to Forbes.

Here is the complete portfolio of Charles Brandes.

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Also check out:

1. Charles Brandes's Undervalued Stocks
2. Charles Brandes's Top Growth Companies
3. Charles Brandes's High Yield stocks
4. Stocks that Charles Brandes keeps buying





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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Stocks

Referenced Stocks: BSX , NWSA , STX , TEL

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