7-15-08
The 18th most-viewed portfolio on Stockpickr is Cascade Investments, the trading vehicle of billionaire Bill Gates, the founder of Microsoft (MSFT) and one of the richest people in the world. Cascade was founded in 1994 and is based in Kirkland, Wash. Many investors aren't aware that Gates' portfolio is a matter of public record.
One of the top stocks in Gates' Cascade portfolio is the North American railroad Canadian National Railway (CNI). The company has 20,400 route miles and transports petroleum, grain, fertilizers, chemicals, metals, minerals, forest products, coal, automobile products and consumer products. The company recently announced that it spent $650,000 lobbying the U.S. government during the first quarter. Its earnings call is scheduled for July 21. The stock has a P/E of 11, a PEG ratio of 1.1 and a yield of 1.9%.
Canadian National shows up in a Stockpickr portfolio called Top Dividend Increasers for the Week Ending 01-26-08; it increased its dividend by 10% in January. That portfolio also includes Polaris Industries (PII). with a P/E of 12 and a PEG of 0.97; Donaldson (DCI), with a P/E of 21 and a PEG of 1.68; and Bar Harbor Bankshares (BHB), with a P/E of 11.
Another top stock that Cascade owns is Republic Services (RSG), the solid-waste collection and disposal service company. The company recently agreed to acquire Allied Waste Industries (AW) for $6.24 billion in stock. The stock has a P/E of 18, a PEG of 1.52 and a yield of 2.3%.
Republic is also owned by Rockefeller Financial Services, a New York City-based investment manager with $2.8 billion under management. Societe Generale's wealth management division, SG Private Banking, recently acquired a minority stake in Rockefeller Financial Services. Rockefeller Financial also owns Exxon Mobil (XOM), with a P/E of 11 and a PEG of 0.83; Wal-Mart Stores (WMT), with a P/E of 18 and a PEG of 1.4; and Honeywell International (HON), with a P/E of 15 and a PEG of 1.07.
Bill Gates also owns Fomento Econmico Mexicano (FMX), a Latin American beverage company with three subsidiaries: Coca-Cola FEMSA, FEMSA Cerveza and FEMSA Comercio. It recently published its annual report, which showed an increase in net income of 22.7%. The stock has a P/E of 18, a PEG of 0.97 and a yield of 1.1%.
Fomento is also held by Eminence Capital, a New York-based hedge fund with $5 billion under management. Eminence also owns Oracle (ORCL), with a P/E of 20 and a PEG of 1.04, and Koninklijke Philips Electronics (PHG), with a P/E of 6 and a PEG of 1.15.
For more ideas, check out Bill Gates' Cascade Investments portfolio at Stockpickr.com.
