Pzena Investment Management disclosed having the largest position at the end of the fourth quarter in a global specialty and generic pharmaceutical company, Mylan NV (NASDAQ:MYL). After the fund had lowered its stake in it by 4% the position counted 20.96 million shares that were valued $574.21 million. Mylan’s stock lost 25.18% over the last 12 months, and on February 22nd it had a closing price of $31.26. The company is trading at a price-to-earnings ratio of 20.35, and it has a market cap of $16.12 billion. 39 smart money investors from our table were bullish on this stock at the end of the third quarter of 2018, down by one from one quarter earlier.
The second largest stake the fund held on December 31, 2018, was in Omnicom Group Inc. (NYSE:OMC), a global media, marketing and communications holding company, headquartered in NYC, with a market cap of $16.92 billion. During the fourth quarter of 2018, Pzena Investment Management lowered its stake in it by 7% to 6.88 million shares, with a value of $504.09 million, accounting for 2.94% of the fund’s equity portfolio. Omnicom Group recently reported its financial results for the fourth quarter of 2018, and disclosed a net income of $399.2 million, up by $144.8 million or 56.9% from $254.4 million it delivered in the same quarter of 2017, and a diluted net income per common share of $1.77, which is by 62.4% more than in the corresponding quarter of 2017. Over the last six months, the company’s stock gained 8.9%, and it had a closing price of $75.63 on February 22nd. Omnicom Group is trading at a price-to-earnings ratio of 12.96.
During the fourth quarter of 2018, the fund initiated the biggest new position in Lear Corporation (NYSE:LEA), acquiring 2.77 million shares, with a value of $339.86 million. Lear Corporation is an automotive seating and automotive electrical systems manufacturer with a market cap of $9.73 billion. It is trading at a price-to-earnings ratio of 8.98, and over the last 12 months, its stock price went down by 19.79%, having its closing price on February 22nd of $155.62. The second biggest new position during the fourth quarter Pzena Investment Management obtained in Cigna Corp (NYSE:CI), by purchasing 733,368 shares, which were valued around $139.28 million.
Pzena Investment Management lost faith in some of the companies in its portfolio and decided to completely sell its positions. The biggest drop was Cubic Corporation (NYSE:CUB) in which the fund previously held $12.41 million worth a position, on the account of 169,939 shares. The next in line is State Street Corp (NYSE:STT), whose 61,957 shares with a value of $5.19 million Pzena Investment Management completely sold out. And, the third biggest stake the fund had said goodbye to during the fourth quarter of 2018, was the one that included 99,108 shares of Bristow Group Inc (NYSE:BRS), which had a value of $1.20 million.
Disclosure: None
This article was originally published at Insider Monkey.
