During the second quarter, Richard Perry (Trades, Portfolio), co-founder of Perry Capital, acquired a new holding in St. Jude Medical Inc. (STJ, Financial).
Perry purchased 265,000 shares at an average price of $71.31 per share. The transaction had an impact of 1.44% on his portfolio and is among his top 10 holdings for the quarter.
Not to be confused with the children’s hospital, St. Jude develops, manufactures and distributes cardiovascular medical devices. It was established in 1976 and is headquartered in St. Paul, Minnesota. It produces devices for cardiac rhythm management, cardiovascular and atrial fibrillation therapy and neurostimulation medical devices for chronic pain management.
St. Jude has a market cap of $23.8 billion with an enterprise value of $29.2 billion. It has a price-earnings (P/E) ratio of 36.3 with a forward P/E of 20.7. Its price-book (P/B) ratio is 5.6, and its price-sales (P/S) ratio is 4.12. GuruFocus ranked its financial strength 5 of 10 and its profitability and growth 7 of 10.
The company has an operating margin of 16.1% and a net margin of 11.4%. Its Piotroski F-Score is 5, indicating a stable financial condition. In addition, its Altman Z-Score is 2.99, placing it in the safe zone.
Other gurus invested in the company are Jeremy Grantham (Trades, Portfolio), Ken Fisher (Trades, Portfolio), Jim Simons (Trades, Portfolio), Mario Gabelli (Trades, Portfolio), Manning & Napier Advisors Inc., Leucadia National (Trades, Portfolio) and John Keeley (Trades, Portfolio).
Perry owns stock in 11 mid-to-large cap companies and is worth $1.43 million. His quarter-over-quarter turnover rate is 2%. He founded Perry Capital LLC in 1988. Perry Capital invests in public and private equity markets, real estate, debt and hedging markets. The firm also lends money to other investors at high interest rates.
Disclosure: I do not own stock in any companies mentioned in the article.
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