Tweedy Browne Buys HSBC Holdings; Reduces Google, Union Pacific

Tweedy Browne, a private investment management firm with more than 90-year experience in value investing, which derives its approach from the late well-known investor Benjamin Graham, disclosed that it had 45 equities in its portfolio during the fourth quarter of 2013. Its investments have a market value of approximately $559,880,000.

Tweedy Browne’s new position

During the quarter, Tweedy Browne’s team purchased 853,500 shares of HSBC Holdings plc (ADR) (NYSE:HSBC) for $10.97 per share. Its investment in the company accounts for 1.67% of its portfolio.

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During the third quarter of 2013, HSBC Holdings plc (ADR) (NYSE:HSBC) reported a 10% increase in revenue due to fewer losses from bad loans and tighter cost control. The bank delivered a pre-tax profit of $5.1 billion.  It also disclosed that it is cooperating with the Financial Conduct Authority of Britain regarding a connection with the global investigation regarding currency market trading manipulation.

The latest report from Forensic Asia indicated that HSBC Holdings plc (ADR) (NYSE:HSBC) might need new capital of around $58.3 billion and $110.6 billion to be able to comply with the 2019 Basel III milestone.

The shares of HSBC Holdings plc (ADR) (NYSE:HSBC) are currently trading around $55.73 per share in New York on Tuesday. Over the past 52-week range, the stock price of the bank climbed from $50.38 to its highest level at $58.71 per share.

Tweedy Browne’s reduced positions

The investment management firm reduced its stockholdings in Google Inc (NASDAQ:GOOG) to 6,100 shares. The stock price of the search engine giant is currently trading around $1,161.22 per share, up by $10.81 per share or nearly 1%.

Google Inc (NASDAQ:GOOG) recently introduced its smart contact lens project, which is intended to measure the glucose levels in tears. The company already completed its multiple clinical research studies on the smart contact lenses and it is in talks with the FDA regarding the possibility of bringing the product to market.

Over the past 52 weeks, the stock price of Google Inc (NASDAQ:GOOG) rose from $695.52 to $1,164 per share.

Tweedy Browne also reduced its stake In Union Pacific Corporation (NYSE:UNP) to 48,135 shares, UniFirst Corp. (NYSE:UNF) to 11,135 shares, Total SA (NYSE:TOT) to 43,485 shares, The Bank of New York Mellon Corporation (NYSE:BK) to 175,045 shares, and Leucadia National Corp. (NYSE:LUK) to 232,120 shares.