Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Nasdaq  >  Google Inc    GOOGL

GOOGLE INC (GOOGL)

SummaryNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets 

TIP SHEET: Manning & Napier Fund Into Selective Equities

share with twitter share with LinkedIn share with facebook
share via e-mail
0
02/13/2012 | 09:15pm CEST

--Moderately overweight on equities

--Favors stocks whose growth prospects not heavily reliant on Europe, macroeconomic environment

--Increases exposure to Google, Amazon, Time Warner

 
   By Amy Or 
   Of  
 
 

January's equities rally may have prompted some investors to pile back into the asset class, but Manning & Napier's investment manager is cautious, especially regarding what to buy.

"We are biased towards companies that have unique growth drivers that would divorce them from what's going on in Europe," said Christian Andreach, co-head of global equities at Manning & Napier, and one of several managers of the Pro-Blend Extended Term Series (MNBAX). "We'd like to see rotation into companies that have compelling and identifiable growth tailwinds and are not dependent on government spending and cyclical consumer spending. In other words, companies who control their own destiny."

Equities indices, like the S&P 500 and the Dow Jones Industrial Average, have risen about 5% so far this year and in a rather stable trajectory, as investors shift their focus onto company fundamentals and away from the global economic slowdown and Europe's sovereign debt crisis. The rally prompted a few seasoned managers to preach the benefits of owning stock.

Last week, money manager BlackRock Inc. (>> BlackRock, Inc.) Chief Executive Larry Fink said he thinks investors should "be 100% invested in equities" on their low valuations and high dividend yields, while billionaire investors Warren Buffett said owning equities are far better over the long term than bonds or gold--two assets that "enjoy maximum popularity at peaks of fear."

The Pro-Blend Extended Term Series doesn't have as aggressive an attitude toward equities like some seasoned investment managers. It is a $1.2 billion lifestyle fund which receives a four star rating from Morningstar and three stars from S&P Capital IQ. It is moderately overweight with a 58% allocation to equities. Bonds, principally intermediate-term fixed income instruments, account for just over a third of the assets. The fund has a mandate to keep equities within the 40%-70% range.

"There's no real big asset allocation call," Andreach said.

Prudent stock selection, coupled with infrequent stock turnover, allowed the fund to consistently outperform peers. In a 3-year timeframe, the fund was up 14.4% over other asset allocation funds' 13.7%, S&P Capital IQ said. The margin widened to one percentage point when considering performance over the last 10 years. In a 5-year timeframe, the fund was up 2.93%, 0.85 percentage points better than its category.

Catering to investors with a seven to 20 year investment horizon, the fund has recently increased exposure to names like Google Inc. (>> Google Inc), Amazon.com Inc. (>> Amazon.com, Inc.) and Time Warner Inc. (>> Time Warner Inc.), believing these companies have excelled in their traditional business, and have much room for growth providing media content.

"Content becomes much more valuable. The days of a cable company just making money off laying the cable lines are over," he said. "Time Warner has tremendous media content, 10% free cash flow yield and growth in their ability to command higher pricing."

S&P Capital IQ mutual fund analyst Todd Rosenbluth said many of the stocks the fund holds, including Time Warner, Walt Disney Co. (>> The Walt Disney Company) and Hess Corp. (>> Hess Corp.), are undervalued stocks that are very attractive in this low interest rate environment.

But Rosenbluth said compared to peers, Manning & Napier's fund generates less income.

"Google, for example, is not a dividend paying stock," he said. "Also, the fund has more equities than peers, resulting in less yield."

Andreach said its fund would be a good fit to investors whose "retirement, while not an immediate concern for them, is at least near enough on the time horizon that they seek some degree of long term capital appreciation."

-By Amy Or, Dow Jones Newswires, +1 212 416 3142, [email protected]

(TALK BACK: We invite readers to send us comments on this or other financial news topics. Please email us at [email protected] Readers should include their full names, work or home addresses and telephone numbers for verification purposes. We reserve the right to edit and publish your comments along with your name; we reserve the right not to publish reader comments.)

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on GOOGLE INC
01:13p ALPHABET INC. (NASDAQ : GOOGL) May Dethrone Amazon.com, Inc. (NASDAQ:AMZN) On Ho..
12:20p Apple works with Hertz to manage small autonomous fleet
11:45aDJALPHABET : Silicon Valley, Not Willing to Wait, Forges Ahead on Boosting Minimum..
02:01aDJALPHABET : U.S. Tech Firms Feel the Heat in Europe
06/27 ALPHABET : EU hits Google with $2.7B fine for abusing weaker rivals
06/27 BlackBerry seeks sales force to match software focus
06/27 EU hits Google with record $2.7 billion fine
06/27 ALPHABET : Announces Date of Second Quarter 2017 Financial Results Conference Ca..
06/27DJALPHABET : Google Slapped With $2.7 Billion EU Fine Over Search Results -- 5th U..
06/27 NEW EDUCATIONAL EXPERIENCES FOR LEAR : GOOGL) Google Earth
More news
Sector news : Search Engines
06/26 Exclusive - Aston Martin electric car goes limited edition after LeEco exit
06/26DJFACEBOOK : Is Going Hollywood, Seeking Scripted TV Programming
06/25DJFACEBOOK : Is Going Hollywood, Seeking Scripted TV Programming
06/23DJADRs End Higher; Steelmakers, Online Retailers Trade Actively
06/23DJNASPERS : Fiscal Year Net Profit Jumps
More sector news : Search Engines
News from SeekingAlpha
2015 DEAR GOOGLE : Intel Can Build Your $50 Android One Phone
2015 M&A DAILY : Paving Way For Apple Car?
2015 APPLE TV : The Amazon Ban Won't Hurt A Bit
2015 Raven Industries Worth A Look At New 52-Week Lows And Exciting Future With Go..
2015 It's Nvidia Tegra X1 Inside Google's Pixel C Laptop
Advertisement
Financials ($)
Sales 2017 107 839 M
EBIT 2017 28 814 M
Net income 2017 24 027 M
Finance 2017 81 458 M
Yield 2017 -
P/E ratio 2017 27,93
P/E ratio 2018 23,63
EV / Sales 2017 5,26x
EV / Sales 2018 4,29x
Capitalization 648 637 M
More Financials
Income Statement Evolution
More Financials
Consensus 
Mean consensus OUTPERFORM
Number of Analysts 44
Average target price 1 057 $
Spread / Average Target 12%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
Lawrence E. Page Chief Executive Officer & Director
Sergey Mikhaylovich Brin President & Director
Eric E. Schmidt Executive Chairman
Ruth Porat Chief Financial Officer & Senior Vice President
Louis John Doerr Independent Director
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
GOOGLE INC648 637
ALPHABET19.64%648 637
BAIDU6.81%61 066
ALTABA INC38.71%51 398
NAVER CORP--.--%25 093
YAHOO JAPAN CORPORATIO..9.80%25 030
More Results