Every quarter, many money managers have to disclose what they've bought and sold via "13F" filings. Their latest moves can shine a bright light on smart stock picks.
Today let's look at Barrow, Hanley, Mewhinney & Strauss, one of the biggest value-focused institutional investment companies around. According to the folks at GuruFocus.com, over the 15 years ending in 2011, Barrow, Hanley racked up a cumulative gain of 178%, compared with just 124% for the S&P 500.
The company aims to invest through portfolios that maintain below-average price-to-earnings ratios, below-average price-to-book ratios, and above-market-average dividend yields. It also tends to focus on large-cap companies.
The company's reportable stock portfolio totaled $48.1 billion in value as of June 30, 2012. Its top three holdings, representing a total of almost 10% of the portfolio, were Philip Morris International, American Express, and Pfizer.
So what does Barrow Hanley's latest quarterly 13F filing tell us? Here are a few interesting details:
New holdings include Phillips 66
Among holdings in which Barrow Hanley increased its stake were New York Community Bancorp
Barrow Hanley reduced its stake in a handful of companies, including semiconductor fabrication equipment supplier Applied Materials
Finally, Barrow Hanley unloaded several companies, such as R.R. Donnelly
We should never blindly copy any investor's moves, no matter how talented the investor. But it can be useful to keep an eye on what smart folks are doing, and 13-F forms can be great places to find intriguing candidates for our portfolios.
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Longtime Fool contributor Selena Maranjian, whom you can follow on Twitter, owns shares of Intel, American Express, and Seadrill, but she holds no other position in any company mentioned. Click here to see her holdings and a short bio. The Motley Fool owns shares of Intel and Seadrill. Motley Fool newsletter services have recommended buying shares of Seadrill and Intel, as well as writing a covered strangle position on American Express. The Motley Fool has a disclosure policy.