Latest news with #valueinvesting
Yahoo
a day ago
- Business
- Yahoo
Tweedy Browne International Value Reduces Stake in Zurich Insurance Group AG by 74.44%
Exploring the Strategic Moves of Tweedy Browne International Value (Trades, Portfolio) in Q2 2025 Warning! GuruFocus has detected 4 Warning Signs with XSWX:ROG. Tweedy Browne International Value (Trades, Portfolio) recently submitted its N-PORT filing for the second quarter of 2025, shedding light on its strategic investment decisions during this period. The Tweedy, Browne Global Value Fund, established on June 15, 1993, is managed by a team of seasoned investment professionals, including Roger R. de Bree, Frank H. Hawrylak, Jay Hill, Sean McDonald, Thomas H. Shrager, John D. Spears, and Robert Q. Wyckoff, Jr. The fund adheres to a "Ben Graham" value-oriented approach, focusing on securities trading at discounts to intrinsic value. Primarily investing in foreign equity securities, the fund also explores U.S. equities when attractive opportunities arise, with a focus on developed markets and some exposure to emerging markets. Currency risk is mitigated by hedging foreign currency exposure back into the U.S. dollar where feasible. Summary of New Buy Tweedy Browne International Value (Trades, Portfolio) added a total of two stocks to its portfolio, including: The most significant addition was Azelis Group NV (XBRU:AZE), with 1,462,410 shares, accounting for 0.54% of the portfolio and a total value of 23.23 million. The second largest addition was Nakanishi Inc (TSE:7716), consisting of 543,990 shares, representing approximately 0.17% of the portfolio, with a total value of 7,140,470. Key Position Increases Tweedy Browne International Value (Trades, Portfolio) also increased stakes in a total of seven stocks, including: The most notable increase was in Nippon Sanso Holdings Corp (TSE:4091), with an additional 953,285 shares, bringing the total to 1,357,200 shares. This adjustment represents a significant 236.01% increase in share count, a 0.84% impact on the current portfolio, with a total value of 51,330,150. The second largest increase was in Teleperformance SE (XPAR:TEP), with an additional 253,802 shares, bringing the total to 809,227. This adjustment represents a significant 45.7% increase in share count, with a total value of 78.20 million. Summary of Sold Out Tweedy Browne International Value (Trades, Portfolio) completely exited three holdings in the second quarter of 2025, as detailed below: Johnson & Johnson (NYSE:JNJ): Sold all 177,077 shares, resulting in a -0.68% impact on the portfolio. Tarkett SA (XPAR:TKTT): Liquidated all 1,527,083 shares, causing a -0.66% impact on the portfolio. Key Position Reduces Tweedy Browne International Value (Trades, Portfolio) also reduced positions in 19 stocks. The most significant changes include: Reduced Zurich Insurance Group AG (XSWX:ZURN) by 136,083 shares, resulting in a -74.44% decrease in shares and a -2.21% impact on the portfolio. The stock traded at an average price of CHF 571.99 during the quarter and has returned -2.04% over the past three months and 8.87% year-to-date. Reduced BAE Systems PLC (LSE:BA.) by 3,928,420 shares, resulting in a -42.83% reduction in shares and a -1.85% impact on the portfolio. The stock traded at an average price of 17.77 during the quarter and has returned 9.75% over the past three months and 62.70% year-to-date. Portfolio Overview At the end of the second quarter of 2025, Tweedy Browne International Value (Trades, Portfolio)'s portfolio included 90 stocks. The top holdings included 3.63% in Roche Holding AG (XSWX:ROG), 3.58% in Nestle SA (XSWX:NESN), 3.55% in Safran SA (XPAR:SAF), 3.49% in United Overseas Bank Ltd (SGX:U11), and 3.36% in Novartis AG (XSWX:NOVN). The holdings are mainly concentrated in 10 of the 11 industries: Industrials, Consumer Defensive, Financial Services, Healthcare, Basic Materials, Consumer Cyclical, Technology, Energy, Communication Services, 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. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
4 days ago
- Business
- Yahoo
The Best Artificial Intelligence (AI) Stock to Buy With the Market At All-Time Highs
Key Points Alphabet stock is still trading at a cheap multiple. It has many growth vectors to benefit from artificial intelligence. Margin can help the company's profits explode in the next few years. These 10 stocks could mint the next wave of millionaires › The S&P 500 keeps soaring to new highs, making it feel impossible to find a cheap large-cap stock to buy today. This is especially true in technology and artificial intelligence (AI). Stocks such as Nvidia and Microsoft have price-to-earnings (P/E) ratios approaching 40 or higher, making them risky for investors. Growth expectations are high for many companies, which can make it increasingly difficult to buy stocks for your investment portfolio, especially if you care about value investing. That isn't the case with every AI stock. Here's why Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) is the one AI stock you can buy right now with stocks at all-time highs. Alphabet's matrix of growth Some pundits have deemed Alphabet -- parent company of Google -- an AI loser because of competition from ChatGPT. I think this underplays the big picture. Alphabet has perhaps the most to gain from AI through its various subsidiaries, while also employing the best data advantage of any big technology player because of all the user data from Google, YouTube, and other properties. AI is not going to eliminate Google Search -- it will take it to the next level. AI overviews are already growing like a weed for Google Search results, while the Gemini chatbot is helping with advanced conversational queries. An explosion in new AI technologies will greatly expand the addressable market for Google and its related properties. That's why revenue is growing at a 10% annual rate for Google Services, even though it generated $77 billion in revenue just in the first quarter. Another way Alphabet can benefit from AI demand is Google Cloud, which is growing revenue at an astonishing 28% year-over-year clip, and is close to surpassing $50 billion in annualized revenue (it may surpass that mark next quarter). AI workloads will need huge amounts of specialized computing power to function, which Google Cloud is set to provide. Let's not forget self-driving start-up Waymo, which is taking over the streets of America's big cities, using Alphabet's infrastructure, engineering, and AI expertise. It is an entire matrix of growth for Alphabet that can be supercharged by AI. Profit margin expansion? AI requires a lot of upfront spending on data centers and computer chips in order to train and operate. Alphabet is planning to spend $75 billion on capital expenditures in 2025, mostly related to AI. This will increase depreciation and require steady growth in order to get a return on this investment, which some investors are skeptical about. Google Cloud used to be unprofitable, but it posted an 18% operating margin last quarter, a number that can keep expanding as it reaches larger scale. Due to these factors plus better hiring efficiency employed by Alphabet coming out of the pandemic, I think Alphabet's profit margins are set to keep inching higher over the next few years. Its operating margin recently hit a record of 33%. With huge operating leverage on its fixed-cost investments, I think this figure can grow to 40% over the long term, which is similar to Microsoft. With revenue at $359 billion that could grow to $400 billion or even $500 billion within a decade, a 40% operating margin could help Alphabet grow its operating income to $200 billion within a few years. That would make it the most profitable company in the world. Buybacks and a cheap stock With all the earnings flowing to its balance sheet, Alphabet is returning capital to shareholders through buybacks and dividends. It pays a dividend yielding 0.42% that is set to grow steadily, while shares outstanding have fallen by 12% in the last 10 years. Alphabet plans to keep repurchasing stock at these cheap prices. It has a P/E ratio of 21, which is the cheapest among the "Magnificent Seven" stocks. This is shocking to see, given how much Alphabet can benefit from AI and cloud computing growth. Add everything up, and Alphabet looks like a fantastic stock to buy today, even with the market at all-time highs. Trump's Tariffs Could Create $1.5 Trillion AI Gold Rush The Motley Fool's analysts are tracking a massive shift in U.S. tech. Over $1.5 trillion is already flowing into infrastructure, AI, and advanced manufacturing… and the number keeps climbing. Following a major tariff policy shift, a new AI Gold Rush is taking shape, and we think . It builds the tech infrastructure that Apple, OpenAI, and others suddenly can't live without. We just released a full write-up on this under-the-radar stock — and why now might be the exact moment to move. Continue » *Stock Advisor returns as of July 21, 2025 Brett Schafer has positions in Alphabet. The Motley Fool has positions in and recommends Alphabet, Microsoft, and Nvidia. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. The Best Artificial Intelligence (AI) Stock to Buy With the Market At All-Time Highs was originally published by The Motley Fool
Yahoo
4 days ago
- Business
- Yahoo
Warren Buffett Doesn't Want to Control a Company; Says Just Invest in ‘Wonderful' Businesses and Let Them Do the Rest
Warren Buffett, the longtime chairman and CEO of Berkshire Hathaway (BRK.B) (BRK.A), is celebrated for his disciplined, value-oriented approach to investing. In his 1981 shareholder letter, Buffett articulated a principle that continues to guide Berkshire's acquisition strategy: 'we would rather buy 10% of Wonderful Business T at X per share than 100% of T at 2X per share.' This philosophy stands in contrast to the prevailing mindset among many corporate managers, who often prioritize full ownership and control, sometimes at the expense of economic rationality. That's because Buffett's reasoning is rooted in a focus on maximizing real economic benefits rather than expanding managerial domain or inflating accounting figures. More News from Barchart 2 Recession-Proof Dividend Stocks to Buy for the Second Half of 2025 UnitedHealth Stock Spirals Lower Again. Don't Buy the Dip. This Self-Driving Car Stock Is Surging on a Major Nvidia Boost Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. In fact, the legendary investor has frequently cautioned that managers who stress 'accounting appearance over economic substance usually achieve little of either.' This perspective reflects his belief that the true measure of an investment lies in its underlying value, not in the optics of ownership or the ability to consolidate earnings on financial statements. Throughout his career, Buffett has demonstrated a willingness to take significant minority stakes in high-quality businesses when the price is right, rather than overpaying for full control. This approach allows Berkshire Hathaway to benefit from the growth and profitability of leading companies without incurring the risks or costs associated with outright acquisitions. Notably, this strategy has led to successful long-term investments in firms such as Coca-Cola (KO), American Express (AXP), and Moody's (MCO), where Berkshire's minority positions have generated substantial returns. Buffett's stance also reflects his broader skepticism of empire-building — a tendency among some executives to pursue acquisitions for the sake of expanding their influence, rather than to create genuine shareholder value. He has repeatedly emphasized that capital should be allocated where it can generate the highest real return, regardless of whether that means owning a small piece or the entirety of a business. The relevance of Buffett's 1981 guidance is evident in today's market environment, where mergers and acquisitions remain a central feature of corporate strategy. As companies face pressure to grow and diversify, the temptation to pursue large, transformative deals can be strong. Yet Buffett's preference for economic substance over managerial control serves as a reminder that disciplined, value-driven decision-making is often the more prudent path. Buffett's enduring influence is grounded in his consistency and transparency. His annual letters, including the 1981 edition, offer investors and business leaders a blueprint for rational capital allocation and long-term thinking. By prioritizing real economic benefits over the allure of control or superficial accounting gains, Buffett has built Berkshire Hathaway into one of the world's most respected and successful conglomerates — a testament to the power of value-driven leadership On the date of publication, Caleb Naysmith did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
4 days ago
- Business
- Globe and Mail
The Best Artificial Intelligence (AI) Stock to Buy With the Market At All-Time Highs
Key Points Alphabet stock is still trading at a cheap multiple. It has many growth vectors to benefit from artificial intelligence. Margin can help the company's profits explode in the next few years. These 10 stocks could mint the next wave of millionaires › The S&P 500 keeps soaring to new highs, making it feel impossible to find a cheap large-cap stock to buy today. This is especially true in technology and artificial intelligence (AI). Stocks such as Nvidia and Microsoft have price-to-earnings (P/E) ratios approaching 40 or higher, making them risky for investors. Growth expectations are high for many companies, which can make it increasingly difficult to buy stocks for your investment portfolio, especially if you care about value investing. That isn't the case with every AI stock. Here's why Alphabet (NASDAQ: GOOG)(NASDAQ: GOOGL) is the one AI stock you can buy right now with stocks at all-time highs. Alphabet's matrix of growth Some pundits have deemed Alphabet -- parent company of Google -- an AI loser because of competition from ChatGPT. I think this underplays the big picture. Alphabet has perhaps the most to gain from AI through its various subsidiaries, while also employing the best data advantage of any big technology player because of all the user data from Google, YouTube, and other properties. AI is not going to eliminate Google Search -- it will take it to the next level. AI overviews are already growing like a weed for Google Search results, while the Gemini chatbot is helping with advanced conversational queries. An explosion in new AI technologies will greatly expand the addressable market for Google and its related properties. That's why revenue is growing at a 10% annual rate for Google Services, even though it generated $77 billion in revenue just in the first quarter. Another way Alphabet can benefit from AI demand is Google Cloud, which is growing revenue at an astonishing 28% year-over-year clip, and is close to surpassing $50 billion in annualized revenue (it may surpass that mark next quarter). AI workloads will need huge amounts of specialized computing power to function, which Google Cloud is set to provide. Let's not forget self-driving start-up Waymo, which is taking over the streets of America's big cities, using Alphabet's infrastructure, engineering, and AI expertise. It is an entire matrix of growth for Alphabet that can be supercharged by AI. Profit margin expansion? AI requires a lot of upfront spending on data centers and computer chips in order to train and operate. Alphabet is planning to spend $75 billion on capital expenditures in 2025, mostly related to AI. This will increase depreciation and require steady growth in order to get a return on this investment, which some investors are skeptical about. Google Cloud used to be unprofitable, but it posted an 18% operating margin last quarter, a number that can keep expanding as it reaches larger scale. Due to these factors plus better hiring efficiency employed by Alphabet coming out of the pandemic, I think Alphabet's profit margins are set to keep inching higher over the next few years. Its operating margin recently hit a record of 33%. With huge operating leverage on its fixed-cost investments, I think this figure can grow to 40% over the long term, which is similar to Microsoft. With revenue at $359 billion that could grow to $400 billion or even $500 billion within a decade, a 40% operating margin could help Alphabet grow its operating income to $200 billion within a few years. That would make it the most profitable company in the world. GOOG PE Ratio data by YCharts. Buybacks and a cheap stock With all the earnings flowing to its balance sheet, Alphabet is returning capital to shareholders through buybacks and dividends. It pays a dividend yielding 0.42% that is set to grow steadily, while shares outstanding have fallen by 12% in the last 10 years. Alphabet plans to keep repurchasing stock at these cheap prices. It has a P/E ratio of 21, which is the cheapest among the " Magnificent Seven" stocks. This is shocking to see, given how much Alphabet can benefit from AI and cloud computing growth. Add everything up, and Alphabet looks like a fantastic stock to buy today, even with the market at all-time highs. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,040%* — a market-crushing outperformance compared to 182% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. See the stocks » *Stock Advisor returns as of July 21, 2025
Yahoo
4 days ago
- Business
- Yahoo
The 3 Buffett-Backed Dividend Stocks That Beat the Market in 2025
With Warren Buffett at the helm, Berkshire Hathaway transformed from a struggling textile manufacturer into one of the world's most successful and diversified holding companies. The 'Oracle of Omaha' built his empire through disciplined value investing, acquiring only high-quality businesses and the best dividend-paying stocks the market has to offer. As the man himself says, 'Buy into a company because you want to own it, not because you want the stock to go up.' So, it's no surprise that many investors try to emulate his portfolio. Thanks to Berkshire Hathaway's latest 13F-HR filing, we can review its current holdings. However, there are 36 publicly traded U.S. stocks on this list, and not everyone can diversify across that many companies —at least without using fractional shares. More News from Barchart With a 5.6% Yield, This Dividend Aristocrat Pays Monthly. Is It a Buy Here? Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Today, I'm covering Berkshire Hathaway's latest holdings and identifying its top three dividend stocks held, based on price performance, Wall Street ratings, and yields, so that you might consider them for your long-term portfolio. How I Came Up With The Following Stocks I keep several watchlists on Barchart, one of which tracks Berkshire Hathaway's latest holdings. From there, I clicked on the Screen button to go to the Stock Screener page. After that, I added the following filters: YTD Percent Change: Over 1%. This limits the results to stocks with positive stock price movement year-to-date. YTD Performance Difference from Market: Over 1%. This filter compares the difference between the stock's percentage price performance to that of the S&P 500, so the list only includes companies that have outperformed the broader market this year. Current Analyst Rating: 3.5 (Moderate Buy) to 5 (Strong Buy). Number of Analysts: 12 or more. Annual Dividend Yield: Blank. Watchlist: Warren Buffett Stocks After running the screen, I got nine companies, which I arranged from highest to lowest dividend yield. Now, let's dive into the top three. Coca-Cola Company (KO) Is it any surprise that Coca-Cola takes the top spot? The global beverage company is a favorite among dividend investors for its strong cash flow, stable business structure, and decades-long history of dividend payments. But exactly how long are we talking about here? Well, the company has paid dividends since 1920, marking 2025 as its 105th consecutive year of dividend payments. Even better, it has increased its payouts for 63 straight years, earning it the well-deserved title of Dividend King. While KO stock's price performance has been choppy this year thanks to the chaos surrounding U.S. President Donald Trump's tariff negotiations, it has still managed to grow 10.99% YTD. Today, the company pays a $2.04 annual dividend, which reflects around a 2.95% yield. Analysts rate KO stock as a strong buy. Bank of America Corp (BAC) Next up is Bank of America, the second-largest bank in the U.S. The company boasts a broad customer base, solid balance sheet, and over $4 trillion in managed assets through its wealth management business. It's also the nations top lender for small businesses in the US, which arguably gives it a strong foothold in the real, everyday American economy. BAC stock has grown 10.10% YTD. The company pays $1.04 per share annually, which translates to a yield of approximately 2.14%. It also has a consensus strong buy rating from 20 analysts. Kroger Company (KR) Last but not least is Kroger Company, one of the largest supermarket chains in the United States. The company operates more than 2,700 stores across, including food production facilities, fuel centers, pharmacies, and more. Although KR stock has the lowest analyst rating on this list at 4.10 (translating to a moderate buy), it's the top-performing stock out of the three, with an 18.36% YTD return. Since reinstating dividends in 2006 after an 18-year hiatus (1988), the company has consistently increased its payouts. 2025 marks its 19th consecutive year, with a notable increase from $1.28 to $1.40- today that reflects around a 1.93% yield. It also means Kroger is six short years away from a potential Dividend Aristocrat title. Not only that, Kroger boasts the highest 5-year dividend growth rate on this list at 103.33%. Final Thoughts Copying portfolios from investing legends like Warren Buffett can be a great way to start your long-term investment journey. However, it still pays to learn due diligence and know the ins and outs of your chosen companies. This involves understanding how it ticks, its business model, financial performance, and whether the company aligns with your goals, risk tolerance, and investment horizon. On the date of publication, Rick Orford did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
