Investment Insights from the Fourth Quarter of 2024

Azvalor Blue Chips FI (Trades, Portfolio) recently submitted its report for the fourth quarter of 2024, shedding light on its strategic investment decisions. This fund is known for its focus on international companies, particularly those with high market capitalizations of at least 3 billion Euros. Adhering to the Value Investment philosophy, Azvalor Blue Chips FI (Trades, Portfolio) seeks to acquire companies at prices below their intrinsic value, with a long-term vision. The fund primarily invests in OECD markets but allows for up to 35% exposure in emerging markets. This approach aims to capitalize on prospective appreciation over the medium to long term, without bias towards any specific sector or country.

Summary of New Buy

Azvalor Blue Chips FI (Trades, Portfolio) added a total of 12 stocks, among them:

• The most significant addition was Schlumberger Ltd (SLB, Financial), with 91,711 shares, accounting for 7.42% of the portfolio and a total value of $3.405 million.
• The second largest addition to the portfolio was Tenaris SA (MIL:TEN, Financial), consisting of 158,550 shares, representing approximately 6.25% of the portfolio, with a total value of €2.865 million.
• The third largest addition was Imperial Brands PLC (LSE:IMB, Financial), with 83,676 shares, accounting for 5.6% of the portfolio and a total value of £2.567 million.

Key Position Increases

Azvalor Blue Chips FI (Trades, Portfolio) also increased stakes in a total of 7 stocks, among them:

• The most notable increase was Noble Corp PLC (NE, Financial), with an additional 65,486 shares, bringing the total to 143,651 shares. This adjustment represents a significant 83.78% increase in share count, a 4.34% impact on the current portfolio, with a total value of $4.368 million.
• The second largest increase was Grupo Catalana Occidente SA (XMAD:GCO, Financial), with an additional 35,120 shares, bringing the total to 75,543. This adjustment represents a significant 86.88% increase in share count, with a total value of €2.712 million.

Summary of Sold Out

Azvalor Blue Chips FI (Trades, Portfolio) completely exited 7 holdings in the fourth quarter of 2024, as detailed below:

• Canadian Natural Resources Ltd (CNQ, Financial): Azvalor Blue Chips FI (Trades, Portfolio) sold all 63,516 shares, resulting in a -5.5% impact on the portfolio.
• Newmont Corp (NEM, Financial): Azvalor Blue Chips FI (Trades, Portfolio) liquidated all 24,028 shares, causing a -2.45% impact on the portfolio.

Key Position Reduces

Azvalor Blue Chips FI (Trades, Portfolio) also reduced positions in 10 stocks. The most significant changes include:

• Reduced British American Tobacco PLC (LSE:BATS, Financial) by 54,565 shares, resulting in a -57.5% decrease in shares and a -4.09% impact on the portfolio. The stock traded at an average price of £28.21 during the quarter and has returned 21.73% over the past 3 months and 11.81% year-to-date.
• Reduced Suzano SA (BSP:SUZB3, Financial) by 84,916 shares, resulting in a -52.67% reduction in shares and a -2.09% impact on the portfolio. The stock traded at an average price of R$59.69 during the quarter and has returned 3.18% over the past 3 months and -3.01% year-to-date.

Portfolio Overview

At the fourth quarter of 2024, Azvalor Blue Chips FI (Trades, Portfolio)'s portfolio included 30 stocks. The top holdings included 9.52% in Noble Corp PLC (NE, Financial), 9.43% in Barrick Gold Corp (GOLD, Financial), 8.58% in PrairieSky Royalty Ltd (TSX:PSK, Financial), 7.42% in Schlumberger Ltd (SLB, Financial), and 6.25% in Tenaris SA (MIL:TEN, Financial).

The holdings are mainly concentrated in 7 of the 11 industries: Energy, Basic Materials, Consumer Defensive, Financial Services, Real Estate, Industrials, and Healthcare.

This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.