Q: Please provide an overview of Davis Opportunity Fund.
A: Davis Opportunity Fund, which invests predominantly in U.S.-listed companies, has the flexibility to own companies of any size (small, mid and large cap) and to weight positions according to the managers��level of conviction. The Fund�� management team ���hristopher Davis, Danton Goei, Tania Pouschine, Ryan Brown, and Dwight Blazin ���re among the most senior members of the Davis research team and exemplars in executing the Davis Investment Discipline.
This report includes candid statements and observations regarding investment strategies, individual securities and economic and market conditions; however, there is no guarantee that these statements, opinions or forecasts will prove to be correct. Equity markets are volatile and an investor may lose money. Past performance is not a guarantee of future results.Q: Please provide some perspectives on the current market environment.
A: Over the past several years, stock prices have advanced steadily and now trade above their levels prior to the financial crisis of 2008��009. From the depths of the crisis to the present time, what is most remarkable in our view is the market�� incredible resilience. Since the stock market is really a market of individual stocks, the market�� recovery reflects the resilience of the underlying individual businesses and the durability of their earnings power. Many businesses have successfully built fortress balance sheets, cut costs, strengthened and expanded their product offerings, invested in their competitive moats, and as a result significantly increased their earnings power. Even after its strong performance in 2013, the U.S. stock market is still trading at a 6% to 7% earnings yield by our estimate and remains positioned for long-term growth based on underlying business fundamentals in our opinion. Within the context of today�� extremely low interest rate and low inflation environment, stocks today represent the most attractive major asset class in our view in both absolute and relative terms.
Top 10 High Dividend Companies To Watch For 2015: Express Scripts Holding Co (ESRX)
Express Scripts Holding Company, incorporated in 2011, provides healthcare management and administration services on behalf of its clients, which include health maintenance organizations (HMOs), health insurers, third-party administrators, employers, union-sponsored benefit plans, workers compensation plans, and government health programs. The Company operates in two segments: Pharmacy Benefit Management (PBM) and Emerging Markets (EM). PBM services include network claims processing, home delivery services, patient care and direct specialty and fertility home delivery to patients, benefit plan design consultation, drug utilization review, formulary management, drug data analysis services, distribution of injectable drugs to patients homes and physicians offices, bio-pharma services, and fulfillment of prescriptions to low-income patients through manufacturer-sponsored patient assistance programs. EM segment provides distribution of pharmaceuticals and medical supplies to providers and clinics, healthcare account administration and implementation of consumer-directed healthcare solutions. In September 2013, it announced the acquisition of the SmartD Medicare Prescription Drug Plan (PDP).
On July 20, 2011, Express Scripts, Inc. (ESI) entered into a merger agreement (the Merger Agreement) with Medco Health Solutions, Inc. (Medco). During the year ended December 31, 2011, it reorganized its FreedomFP line of business from its EM segment into its PBM segment. On April 2, 2012, the Company completed the Merger Agreement, and after which ESI and Medco became the wholly owned subsidiaries of the Company. The Company�� customers include HMOs, health insurers, third-party administrators, employers, union-sponsored benefit plans, government health programs, office-based oncologists, renal dialysis clinics, ambulatory surgery centers, primary care physicians, retina specialists and others.Advisors' Opinion:
- [By Mani]
Express Scripts Holding Company (NASDAQ:ESRX) could deliver relative outperformance in 2014 as the upcoming generic wave should offer a two-fold opportunity for pharmacy benefit managers (PBMs).
Hot Heal Care Stocks To Watch For 2014: African Barrick Gold PLC (ABGLF)African Barrick Gold plc (ABG) is a United Kingdom-based company. The Company is a gold producer in Tanzania. Its operations include exploration and development to mine construction and operation. ABG has resources of approximately 32 million ounces of gold. The Company has three producing mines, all located in northwest Tanzania: Bulyanhulu, Buzwagi and North Mara, and several exploration projects at various stages of development in Tanzania and Kenya. Bulyanhulu is an underground gold mine. Buzwagi is an open pit gold mine. North Mara is an open pit gold mine consisting of three open pit deposits. Advisors' Opinion:
- [By Ben Levisohn]
Over the last several months, ABX has been divesting non-core assets. Starting in mid-2013, the company sold its non-core energy assets. Since then, focus has been on selling Australian gold assets. As we have stated previously, we believe the company will continue to sell noncore assets, focusing primarily on its interests in North America. Barrick had been previously seeking a suitor for its 74% interest in African Barrick (ABGLF); to date, the company remains unsuccessful in disposition of the ABG interest. In addition, we would not be averse to seeing Barrick sell off some or all of its copper assets, if they can get the right price.
Hot Heal Care Stocks To Watch For 2014: Boewe Systec AG (BSY)BOEWE SYSTEC AG is a Germany-based provider of paper management systems. The Company is primarily engaged in the production of inserting systems, for the secure distribution of printed documents and plastic cards. Its product portfolio also includes plastic card personalization and mailing solutions, software for the monitoring and interconnection of various mailroom systems, paper processing solutions, sorting and mail verification systems, and scanners. The Company developed reading technologies used for cutters, cut sheet feeders, enclosure feeders and inserting systems, which are integrated into its software solutions. BOEWE SYSTEC AG�� products are modular, allowing machinery from different manufacturers to be connected into a production line, offering solutions for the automated mailroom. In addition, the Company provides installation, commissioning and maintenance services, as well as spare parts for its products. Advisors' Opinion:
- [By Inyoung Hwang]
U.K. stocks erased losses in the last half hour of trading, leaving the FTSE 100 Index (UKX) little changed, as a rally in British Sky Broadcasting Group Plc (BSY) and SABMiller Plc (SAB) offset Dagong Global Credit Rating Co.�� downgrade of U.S. sovereign debt.
- [By Inyoung Hwang]
BSkyB (BSY) sank 3.3 percent to 822 pence, the biggest slide since May 16, even as the U.K.�� largest pay-TV broadcaster reported sales that topped estimates. The company unveiled a box to link televisions to the Internet and said it will buy back 500 million pounds of shares.
Hot Heal Care Stocks To Watch For 2014: Regal Beloit Corporation(RBC)
Regal Beloit Corporation, together with its subsidiaries, manufactures and sells electric motors and controls, electric generators and controls, and mechanical motion control products primarily in the United States and Asia. The company operates in two segments, Electrical and Mechanical. The Electrical segment manufactures and markets AC and DC commercial, industrial, and commercial refrigeration electric motors and blowers, as well as heating, ventilation, and air conditioning (HVAC) electric motors and blowers. It also provides precision servo motors, electric generators, automatic transfer switches and paralleling switchgear, and control electric power generation equipment; AC and DC variable speed drives and controllers, and other accessories for industrial and commercial applications; and capacitors for use in HVAC systems, high intensity lighting, and other applications. The Mechanical segment manufactures and markets a range of mechanical motion control products, i ncluding worm gears, bevel gears, helical gears, and concentric shaft gearboxes; marine transmissions; after-market automotive transmissions, and ring and pinions; custom gearing; gearmotors; electrical connecting devices; and manual valve actuators, which are used in oil and gas, water distribution and treatment, and chemical processing applications. The company sells its products to original equipment manufacturers, distributors, and end users through its direct sales people and manufacturer?s representative organizations. Regal Beloit Corporation was founded in 1955 and is based in Beloit, Wisconsin.Advisors' Opinion:
- [By Rich Duprey]
Bank of America's (NYSE: BAC ) Merrill Lynch division and Royal Bank of Canada (NYSE: RBC ) have provided HBC with fully committed credit facilities, which, together with the equity commitment provided by the pension plan, is sufficient to close the transaction.