In addition to his roles as chairman and chief investment officer of the management firm T. Rowe Price, Brian Rogers (Trades, Portfolio) manages the T. Rowe Price Equity Income Fund (PRFDX), an income and value-oriented strategy. Along with managing these funds, Rogers is also a member of the Barron’s Roundtable Team.
The guru recently answered some investing questions from GuruFocus readers. Check out that interview here. Brian Rogers (Trades, Portfolio) released his second quarter portfolio which highlighted several guru-favorite stocks. Rogers’ portfolio includes four new stocks and a total of 116 stocks, valued at $28.456 billion. The following five stocks are his top five holdings as of the close of the second quarter.
General Electric (GE)
Rogers’ largest holding is in General Electric where the guru holds on to 31,286,500 shares of the company’s stock. His position in the company takes up 2.9% of his portfolio and 0.31% of the company’s shares outstanding.
Rogers has not altered his position in GE since the fourth quarter of 2011, and since then the price per share is trading up about 0.3%.
Rogers’ holding history as of the second quarter:
GE is a diversified infrastructure and financial services company. The company provides products and services ranging from aircraft engines, power generation, water processing, and security technology to medical imaging, business and consumer financing, media content and industrial products.
General Electric’s historical revenue and net income:
The Peter Lynch Chart suggests that the company is currently overvalued:
General Electric has a market cap of $266.84 billion. Its shares are currently trading at around $26.61 with a P/E ratio of 21.80, a P/S ratio of 1.90 and a P/B ratio of 2.00. The company had an annual average earnings growth of 7.30% over the past ten years.
JPMorgan Chase (JPM)
Rogers’ largest position is currently in JPMorgan Chase & Co. As of the first quarter Rogers holds on to 13,031,200 shares of the company’s stock, representing 2.6% of his total portfolio and 0.35% of the company’s shares outstanding.
During the first quarter Rogers sold 500,000 shares of the trust in the price range of $54.31 to $61.07, with an estimated average quarterly price of $57.78. The share price has since then dropped roughly -5%.
Rogers’ holding history as of the first quarter:
JPMorgan Chase is a financial services firm and banking institutions in the United States of America with operations worldwide.
JPMorgan Chase’s historical revenue and net income:
The analysis on the company reports that JPMorgan Chase’s dividend yield is close to a one-year low, their operating margin is expanding, the company has shown predictable revenue and earnings growth and the price is nearing a 10-year high.
The Peter Lynch Chart suggests that JPMorgan is currently undervalued:
JPMorgan Chase has a market cap of $221.22 billion. Its shares are currently trading at around $58.45 with a P/E ratio of 14.40, a P/S ratio of 2.30 and a P/B ratio of 1.00. The dividend yield of JPMorgan is at 2.70%. The company had an annual average earnings growth of 9.30% over the past ten years.
Chevron Corp (CVX)
Rogers’ third largest position is in Chevron. As of the close of the quarter the guru held on to 5,366,000 shares. His position represents 2.5% of his total portfolio and 0.28% of the company’s shares outstanding.
Rogers has maintained the same position in Chevron since the third quarter of 2013, and since then the price per share has increased 16%.
Rogers’ holding history as of the close of the second quarter:
Chevron manages its investments in subsidiaries and affiliates and provides administrative, financial, management and technology support to U.S. and international subsidiaries that engage in fully integrated petroleum operations, chemicals operations, mining operations, power generation and energy services.
Chevron’s historical revenue and net income:
The analysis on Chevron reports that the company has issued $8.4 billion of debt over the past three years, its revenue has been in decline over the past year, the price is nearing a 10-year high and its operating margin is expanding.
The Peter Lynch Chart suggests that the company is currently undervalued:
Chevron has a market cap of $245.76 billion. Its shares are currently trading at around $129.10 with a P/E ratio of 12.50, a P/S ratio of 1.10 and a P/B ratio of 1.60. Its dividend yield is at 3.20% currently. The company had an annual average earnings growth 9.20% over the past ten years.
GuruFocus rated Chevron the business predictability rank of 2-star.
Wells Fargo & Co. (WFC, Financial)
Rogers’ fourth largest holding comes from Wells Fargo & Co. The guru currently holds 13,069,600 shares of the company’s stock. His position in the company represents 2.4% of his total portfolio and 0.25% of the company’s shares outstanding.
Over the past quarter Rogers reduced his position -1.88% by selling 250,000 shares of the company’s stock. He sold these shares near the estimated average quarterly price of $50.23 per share. Since then the price per share has increased approximately 2.4%.
Rogers’ historical holding history of Wells Fargo:
Wells Fargo is a financial services companies, providing a range of retail banking and brokerage, asset and wealth management and corporate and investment banking products and services to customers.
Wells Fargo’s historical revenue and net income:
The analysis on Wells Fargo reports that the company’s operating margin is expanding, its dividend yield is close to a 3-year high, its price is near a 10-year high and its revenue has been in decline over the past three years.
The Peter Lynch Chart suggests that the company is currently undervalued:
Wells Fargo has a market cap of $270.89 billion. Its shares were traded at around $51.43 with a P/E ratio of 12.80, a P/S ratio of 3.30 and a P/B ratio of 1.70. The company offers a dividend yield of 2.50%. Wells Fargo had an annual average earnings growth of 4.60% over the past ten years.
Apache Corporation (APA, Financial)
Rogers’ fifth largest holding is in Apache where the guru holds on to 6,000,000 shares of the company’s stock. His position makes up for 2.1% of his total portfolio as well as 1.54% of the company’s shares outstanding.
The guru has held on to the same position in Apache since the third quarter of 2013. Since his last move, the price per share is up approximately 17.7%.
Rogers’ historical holding history of Apache:
Exxon Mobil’s main business is energy, involving exploration for, and production of, crude oil and natural gas, manufacture of petroleum products and transportation and sale of crude oil, natural gas and petroleum products. It is also a manufacturer and marketer of commodity petrochemicals.
Apache Corp’s historical revenue and earnings growth:
The analysis on Apache reports that the company’s revenue per share has been in decline over the past year, its price is near a 2-year high and its asset growth is faster than its revenue growth. On the other hand the analysis also notes that the company’s operating margin is expanding.
The Peter Lynch Chart suggests that the company is currently overvalued:
Apache has a market cap of $37.78 billion. Its shares are currently trading at around $97.94 with a P/E ratio of 22.50, a P/S ratio of 2.50 and a P/B ratio of 1.20. The company had an annual average earnings growth of 8.90% over the past ten years.
GuruFocus rated Apache the business predictability rank of 2.5-star.
Check out Brian Rogers’ complete second quarter portfolio here.
