On July 31, 2023, FMR LLC, a renowned investment firm, executed a significant transaction involving Flowserve Corp (FLS, Financial). The firm reduced its holdings in Flowserve Corp, a leading manufacturer and aftermarket service provider of comprehensive flow control systems. This article provides an in-depth analysis of the transaction, the profiles of FMR LLC and Flowserve Corp, and the implications of the transaction on both entities.
Details of the Transaction
FMR LLC reduced its stake in Flowserve Corp by 48.83%, selling 5,299,605 shares at a trade price of $37.76 per share. This transaction left FMR LLC with a total of 5,553,637 shares in Flowserve Corp, representing 0.02% of their portfolio and 4.23% of Flowserve Corp's total shares. The transaction had a -0.02% impact on FMR LLC's portfolio.
Profile of FMR LLC
FMR LLC, also known as Fidelity, was founded in 1946 by Edward C. Johnson II. The firm has a rich history of taking risks and buying stocks with growth potential. Fidelity's investment philosophy is based on promoting trailblazing individuals and constant innovation and research. As of the date of this article, Fidelity holds 5049 stocks, with a total equity of $1,090.64 trillion. The firm's top holdings include Apple Inc (AAPL, Financial), Amazon.com Inc (AMZN, Financial), Meta Platforms Inc (META, Financial), Microsoft Corp (MSFT, Financial), and NVIDIA Corp (NVDA, Financial). The firm's top sectors are Technology and Healthcare.
Overview of Flowserve Corp
Flowserve Corp, based in the USA, is a leading manufacturer and aftermarket service provider of comprehensive flow control systems. The company's products and services are used in several global industries, including oil and gas, chemical, power generation, and water management. Flowserve Corp has a market capitalization of $5.15 billion. The company's stock is currently priced at $39.24, with a PE ratio of 21.80. According to GuruFocus, the stock is fairly valued, with a GF Value of $37.71. Since its IPO in 1972, Flowserve Corp's stock has gained 8620%. The stock has a GF Score of 72/100, indicating good outperformance potential.
Comparison with Other Gurus
Other gurus who hold Flowserve Corp's stock include HOTCHKIS & WILEY, Mario Gabelli (Trades, Portfolio), and Ken Fisher (Trades, Portfolio). However, the guru with the most shares in Flowserve Corp is First Eagle Investment (Trades, Portfolio) Management, LLC.
Analysis of Flowserve Corp's Stock Performance
Since the transaction, Flowserve Corp's stock has gained 3.92%. The stock has also gained 26.01% year-to-date. Flowserve Corp's financial strength is rated 6/10, with an interest coverage of 4.63. The company's profitability rank is 7/10, and its growth rank is 3/10. The company's GF Value rank is 3/10, and its momentum rank is 10/10.
Conclusion
The transaction executed by FMR LLC has had a significant impact on its portfolio and its position in Flowserve Corp. Despite the reduction in its stake, FMR LLC remains a significant shareholder in Flowserve Corp. The transaction also reflects FMR LLC's dynamic investment strategy and its commitment to maximizing returns for its clients. As for Flowserve Corp, the company continues to demonstrate strong performance in the market, making it an attractive investment for gurus and other investors.
