Yacktman Asset Management LP, the investment management firm founded and headed by Donald Yacktman, disclosed its stockholdings in several companies during the fourth quarter that ended December 31, 2013 based on its latest schedule 13G filings with the Securities and Exchange Commission (SEC).
Disclosed stockholdings
During the fourth quarter, Yacktman held 63,371,951 shares or a 4.2% stake in Twenty-First Century Fox Inc (NASDAQ:FOXA). Mr. Yacktman said the firm modestly reduced its position in the entertainment company during the period because of strong price appreciation.
Yacktman Asset Management also disclosed 32,096,635 shares or a 5.5% stake in SYSCO Corporation (NYSE:SYY). Mr. Yacktman believed that Sysco’s agreement to acquire its largest competitor, U.S. Foods, Inc. is extremely attractive because the combined company will provide significant cost savings opportunities and economies of scale.
In addition, the mutual fund also held 7,755,464 shares or a 10% stake in C.R. Bard, Inc. (NYSE:BCR), 6,094,762 shares or a 4.7% stake in The Clorox Co (NYSE:CLX), and 7,453,620 shares or a 6.6% stake in Apollo Education Group Inc (NASDAQ:APOL).
Furthermore, Yacktman Asset Management also disclosed 1,509,476 shares or a 4.97% stake in Resource America Inc (NASDAQ:REXI), and 529,745 shares or a 1.4% stake in Bancorp Inc (NASDAQ:TBBK).
Top contributors
Yacktman Asset Management manages two funds—the Yacktman Focused Fund and the Yacktman Fund. During the fourth quarter, the funds generated 6.95% and 6.98% returns, respectively.
One of the top contributors in its portfolio was C.R. Bard, Inc. (NYSE:BCR). The stock price of the company increased significantly during the quarter when the company received $800 million in pre-tax proceeds from winning a lengthy patent lawsuit. According to the investment management firm, C.R. Bard is well positioned to become one of the fastest growing health care companies over the next few years. The company recently made acquisitions and increased investments in new technologies using its pre-tax proceeds.
During the quarter, the Yacktman Asset Management also benefited from its stockholdings in The Coca-Cola Company (NYSE:KO) and Microsoft Corporation (NASDAQ:MSFT). The shares of both companies rose during the quarter. The stock price of the software giant gained due to its stronger-than expected earnings and investors’ anticipation for the appointment of a new chief executive officer.
Yacktman Fund closes to new investors
Last month, Yacktman Focused Fund and Yacktman Fund closed to new investors. The investment management firm explained, “We believe it is prudent to restrict flows to preserve the integrity of our investment approach and maintain flexibility. The closure is not related to the level of the market or our ability to find attractive investments currently.”
