Akre Capital Management, the firm founded by Chuck Akre (Trades, Portfolio), recently disclosed its portfolio for the second quarter of 2023, which ended on June 30, 2023. Akre, who has over two decades of experience in the securities business, has built a reputation for his strategic investment decisions. His firm's portfolio for Q2 2023 comprised of 19 stocks with a total value of $12 billion.
Top Holdings
The firm's top holdings for the quarter were Mastercard Inc. (MA) with 19.23% of the portfolio, Moody's Corporation (MCO, Financial) with 15.30%, and American Tower Corp (AMT, Financial) with 10.90%.
Top Trades of the Quarter
The firm made significant changes in its investments in Moody's Corporation, O'Reilly Automotive Inc, and American Tower Corp. Let's delve into the details of these trades.
Moody's Corporation (MCO, Financial)
Akre Capital Management reduced its investment in Moody's Corporation by 422,562 shares, impacting the equity portfolio by 1.14%. The stock traded at an average price of $316.84 during the quarter. As of August 15, 2023, Moody's Corporation had a market cap of $61.25 billion and a stock price of $333.89, returning 4.44% over the past year. GuruFocus rated the company's financial strength and profitability 5/10 and 10/10, respectively. The company's valuation ratios include a P/E ratio of 43.03, P/B ratio of 19.49, PEG ratio of 6.72, EV/Ebitda ratio of 28.66, and P/S ratio of 11.13.
O'Reilly Automotive Inc (ORLY, Financial)
The firm also reduced its stake in O'Reilly Automotive Inc by 68,415 shares, impacting the equity portfolio by 0.51%. The stock traded at an average price of $914.92 during the quarter. As of August 15, 2023, O'Reilly Automotive had a market cap of $57.48 billion and a stock price of $953.81, returning 29.25% over the past year. GuruFocus rated the company's financial strength and profitability 5/10 and 10/10, respectively. The company's valuation ratios include a P/E ratio of 26.47, PEG ratio of 1.33, EV/Ebitda ratio of 18.54, and P/S ratio of 3.93.
American Tower Corp (AMT, Financial)
Lastly, Akre Capital Management reduced its investment in American Tower Corp by 253,751 shares, impacting the equity portfolio by 0.46%. The stock traded at an average price of $195.65 during the quarter. As of August 15, 2023, American Tower Corp had a market cap of $86.57 billion and a stock price of $185.7, returning -32.16% over the past year. GuruFocus rated the company's financial strength 3/10 and profitability 9/10. The company's valuation ratios include a P/E ratio of 89.71, P/B ratio of 16.76, PEG ratio of 9.06, EV/Ebitda ratio of 24.08, and P/S ratio of 7.95.
In conclusion, Akre Capital Management (Trades, Portfolio)'s Q2 2023 portfolio update provides valuable insights into the firm's investment strategy and top trades. It's always interesting to see how seasoned firms like Akre's firm navigate the market, and these updates can serve as a useful reference for other investors.
