Insight into Nygren's Latest Portfolio Adjustments and Key Financial Decisions
Bill Nygren (Trades, Portfolio), a seasoned portfolio manager at The Oakmark Fund, The Oakmark Select Fund, and the Oakmark Global Select Fund, has recently disclosed his investment activities for the first quarter of 2024. With a Master's in Finance from the University of Wisconsin-Madison and a B.S. in Accounting from the University of Minnesota, Nygren is a committed value investor. His strategy focuses on acquiring stakes in undervalued companies where he perceives a significant gap between the market price and the intrinsic business value. His investment decisions are guided by a thorough analysis of a company's stock price, free cash flows, and management effectiveness.
Summary of New Buys
During the first quarter of 2024, Bill Nygren (Trades, Portfolio) expanded his portfolio by adding three new stocks:
- Deere & Co (DE, Financial) was the standout addition with 1,326,293 shares, making up 2.66% of the portfolio and valued at $544.76 million.
- Kenvue Inc (KVUE, Financial) followed, with 11,087,915 shares, representing 1.16% of the portfolio and a total investment of $237.95 million.
- Delta Air Lines Inc (DAL, Financial) was also included with 3,654,698 shares, accounting for 0.85% of the portfolio, valued at $174.95 million.
Key Position Increases
Nygren also made significant increases to existing positions, notably:
- Charles Schwab Corp (SCHW, Financial) saw an addition of 2,300,000 shares, bringing the total to 8,183,000 shares. This adjustment increased the share count by 39.1% and impacted the portfolio by 0.81%, with a total value of $591.96 million.
- Citigroup Inc (C, Financial) was also augmented by 2,375,000 shares, reaching a new total of 9,219,200 shares. This represents a 34.7% increase in share count, with a total value of $583.02 million.
Summary of Sold Out Positions
In the same quarter, Bill Nygren (Trades, Portfolio) exited several positions:
- Amazon.com Inc (AMZN, Financial) was completely sold off, with all 1,538,300 shares liquidated, impacting the portfolio by -1.28%.
- HCA Healthcare Inc (HCA, Financial) also saw a complete exit with 856,996 shares sold, resulting in a -1.27% portfolio impact.
Key Position Reductions
Reductions were also part of Nygren's Q1 strategy:
- KKR & Co Inc (KKR, Financial) was reduced by 2,000,000 shares, a -33.73% decrease, impacting the portfolio by -0.91%. The stock traded at an average price of $91.97 during the quarter.
- Equifax Inc (EFX, Financial) saw a reduction of 550,000 shares, a -65.48% decrease, impacting the portfolio by -0.75%. The stock's average trading price was $254.48 during the quarter.
Portfolio Overview
As of the first quarter of 2024, Bill Nygren (Trades, Portfolio)'s portfolio included 55 stocks. The top holdings were:
- 3.35% in Alphabet Inc (GOOGL, Financial)
- 2.91% in ConocoPhillips (COP, Financial)
- 2.89% each in General Motors Co (GM, Financial) and Charles Schwab Corp (SCHW, Financial)
- 2.88% in Wells Fargo & Co (WFC, Financial)
The portfolio is predominantly invested across 10 industries, with significant allocations in Financial Services, Communication Services, Energy, Healthcare, Industrials, Technology, Consumer Cyclical, Consumer Defensive, Basic Materials, and Real Estate.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
