Insight into the Latest Investment Moves and Stock Adjustments for Q3 2024
Established in 1985, the T. Rowe Price Equity Income Fund is renowned for its conservative, value-oriented investment strategy. Managed by John Linehan since November 2015, the fund focuses on achieving high dividend income and long-term capital growth by primarily investing in large-cap stocks that are either dividend stalwarts or are perceived as undervalued. The recent N-PORT filing for the third quarter of 2024 offers a detailed look into the fund's latest strategic decisions.
New Additions to the Portfolio
The T Rowe Price Equity Income Fund (Trades, Portfolio) expanded its portfolio by adding six new stocks. Noteworthy new acquisitions include:
- Thermo Fisher Scientific Inc (TMO, Financial), purchasing 105,000 shares, which now comprise 0.36% of the portfolio, valued at approximately $64.95 million.
- Rockwell Automation Inc (ROK, Financial), with 118,359 shares, making up about 0.18% of the portfolio, valued at around $31.77 million.
- Expand Energy Corp (EXE, Financial), adding 369,872 shares, accounting for 0.17% of the portfolio, with a total value of approximately $30.42 million.
Significant Increases in Existing Positions
The fund also increased its stakes in 25 existing stocks, with significant boosts in:
- CSX Corp (CSX, Financial), adding 1,505,000 shares, resulting in a 152.79% increase in share count, impacting the portfolio by 0.29%, and bringing the total value to approximately $85.98 million.
- Kenvue Inc (KVUE, Financial), with an additional 1,717,187 shares, increasing the total to 13,187,187 shares, marking a 14.97% rise in share count, valued at about $305.02 million.
Complete Exits
In a strategic move, the fund completely sold out its position in one company during the third quarter of 2024:
- The Goldman Sachs Group Inc (GS, Financial): All 119,000 shares were sold, impacting the portfolio by -0.31%.
Reductions in Key Holdings
Adjustments were made in 90 stocks, with significant reductions including:
- News Corp (NWSA, Financial), where 3,338,776 shares were sold off, leading to a 24.35% decrease in shares and a -0.53% portfolio impact. The stock had an average trading price of $27.17 during the quarter, with a -4.08% return over the past three months and an 8.64% year-to-date return.
- Union Pacific Corp (UNP, Financial), reducing the stake by 220,000 shares, a 68.75% decrease, impacting the portfolio by -0.29%. The stock traded at an average price of $242.48 during the quarter, returning 4.60% over the past three months and 1.59% year-to-date.
Portfolio Overview and Sector Allocation
As of the third quarter of 2024, the T Rowe Price Equity Income Fund (Trades, Portfolio)'s portfolio included 121 stocks. Top holdings were 2.27% in Elevance Health Inc (ELV, Financial), 2.25% in Southern Co (SO, Financial), 2.1% in MetLife Inc (MET, Financial), 2.07% in Chubb Ltd (CB, Financial), and 2.06% in GE Aerospace (GE, Financial). The fund's investments are primarily concentrated across 11 industries, reflecting a diverse sector allocation.
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.
