Mairs and Power: Top 4th-Quarter Trades

Mairs and Energy (Trades, Portfolio) just lately disclosed its portfolio updates for the fourth quarter of 2019.

Minnesota-primarily based Mairs and Energy (Trades, Portfolio) is an expenditure agency that was launched in 1931. Its cash are designed from a portfolio of companies that have high-quality expansion likely and are trading at what the portfolio administrators feel to be reasonable valuations. When analyzing expansion likely, the agency aims to employ a regular, disciplined long-phrase assessment tactic primarily based on earlier previously mentioned-average expansion, sturdy returns on invested funds and tough aggressive advantages.

Dependent on the previously mentioned standards, the agency selected to decrease its holdings in Abbott Laboratories (NYSE:ABT) and Schlumberger Ltd. (NYSE:SLB) and maximize its positions in Motorola Options Inc. (NYSE:MSI) and Eli Lilly and Co. (NYSE:LLY).

Abbott Laboratories

Mairs and Energy (Trades, Portfolio) lessened its stake in Abbott Laboratories by 382,866 shares, or sixteen.four%. The trade had a -.39% impression on the equity portfolio. Shares traded about an average of $eighty three.86 for the quarter.


Abbott Laboratories is a overall health treatment and clinical device organization primarily based in Chicago. Its most well-liked brands consist of FreeStyle (handheld blood glucose screens), Make certain (nourishment beverages) and Similac (nutritional solutions for infants).

On Feb. 21, shares of Abbott traded about $87.28 for a market place cap of $154.46 billion and a price tag-earnings ratio of forty two.four. According to the Peter Lynch chart, the inventory is trading previously mentioned its honest benefit.


GuruFocus has assigned Abbott a monetary strength score of five out of ten and a profitability score of 8 out of ten. The equity-to-asset ratio of .46 and curiosity coverage of 7.03% are rated lower than 66.sixty one% of competition, although the return on funds of forty seven.19% is beating 87.58% of competition. Over the earlier three decades, both of those revenue and internet revenue have developed drastically.


Abbott proceeds to advantage from the aging inhabitants in the earth (particularly in the U.S.). Through the 2019 fourth quarter, product sales of its diabetes treatment solutions greater thirty.five%, although the units in its coronary heart failure phase noticed double-digit product sales expansion as effectively.


The agency bought 649,318 shares of Schlumberger, cutting down the situation by 50.forty two%. The trade impacted the equity portfolio by -.27%. Through the quarter, shares traded at an average price tag of $35.85 apiece.


Dependent in Houston, Schlumberger is a major international oilfield providers organization. It specializes in delivering providers and devices to oil companies, like platforms, drilling methods and asset consulting.

On Feb. 21, Schlumberger shares traded about $33.forty two for a market place cap of $46.26 billion. According to the Peter Lynch chart, shares are trading about their honest benefit.


Schlumberger has a GuruFocus monetary strength score of four out of ten and a profitability score of 7 out of ten. The Altman Z-score of one.four suggests that the organization is in the monetary distress zone, while the equity-to-asset ratio of .forty two is average for the marketplace. Profits and internet