Examining CS McKee LP's Q3 2019 vs. Q4 2019 Holdings

CS McKee LP, a Pittsburgh-based investment advisory firm, recently filed its Form 13F with the U.S. Securities and Exchange Commission (SEC), disclosing its Q3 2019 and Q4 2019 holdings. In this blog post, we'll analyze the changes in the company's holdings during the two quarters and explore what these changes might mean.

Introduction

Form 13F is a quarterly report filed by institutional investment managers with at least $100 million in equity assets under management. The report discloses the manager's equity holdings as of the end of the quarter, along with information about the number of shares, the value of each share, and the change in holdings from the previous quarter.

CS McKee LP's Form 13F for Q3 2019 revealed that the firm held positions in 47 companies, with a total value of $760.1 million. By the end of Q4 2019, the company's positions had changed, and it held positions in 51 companies with a total value of $745.1 million.

Main Body

Let's take a closer look at CS McKee LP's top holdings during these two quarters:

- Apple Inc (AAPL): As of Q3 2019, CS McKee LP held 240,694 shares of AAPL with a value of $53.9 million. However, by the end of Q4 2019, the firm had reduced its stake in the company to 211,644 shares with a value of $62.1 million. This represents a 15.3% decrease in the number of shares held, but a 15.3% increase in the value of the holdings.

- Microsoft Corp (MSFT): In both quarters, MSFT remained one of CS McKee LP's top holdings. The company held 359,200 shares worth $49.9 million in Q3 2019, and 320,150 shares worth $50.5 million in Q4 2019. This represents a slight decrease of 1.1% in the number of shares held.

- Intel Corp (INTC): CS McKee LP held 721,960 shares in INTC valued at $37.2 million in Q3 2019. By the end of Q4 2019, the firm had reduced its stake in INTC to 634,360 shares valued at $37.9 million. This represents a decrease of 2.1% in the number of shares held.

- JPMorgan Chase (JPM): The firm held 311,095 shares of JPM worth $36.6 million in Q3 2019, which decreased to 267,595 shares worth $37.3 million by Q4 2019. This represents a 1.9% increase in the value of the holdings.

- AT&T Inc (T): As of Q3 2019, CS McKee LP held 953,766 shares of T valued at $36.1 million. By the end of Q4 2019, the firm had reduced its stake in T to 835,777 shares worth $32.7 million. This represents a 9.5% decrease in both the number of shares held and the value of the holdings.

- Honeywell Intl (HON): CS McKee LP held 211,122 shares of HON valued at $35.7 million in Q3 2019, which decreased to 179,852 shares worth $31.8 million by Q4 2019. This represents a decrease of 10.9% in the number of shares held.

- Walt Disney (DIS): In Q3 2019, the firm held 233,970 shares of DIS with a value of $30.5 million. By the end of Q4 2019, the company had reduced its holdings to 212,480 shares worth $30.7 million. This represents a 0.8% increase in the value of the holdings.

- Alphabet Inc (GOOG): CS McKee LP held 23,469 shares of GOOG valued at $28.6 million in Q3 2019, which decreased to 20,914 shares worth $27.9 million by Q4 2019. This represents a 2.3% decrease in the number of shares held.

- Walmart Inc (WMT): As of Q3 2019, the firm held 227,443 shares of WMT valued at $27.0 million. By the end of Q4 2019, its holdings had decreased to 205,593 shares worth $24.4 million. This represents a 9.5% decrease in both the number of shares held and the value of the holdings.

- Abbott Labs (ABT): CS McKee LP held 297,755 shares in ABT valued at $24.9 million in Q3 2019. By the end of Q4 2019, the firm had reduced its stake in ABT to 274,955 shares worth $23.9 million. This represents a decrease of 4.1% in the value of the holdings.

Conclusion

CS McKee LP's holdings underwent significant changes during the two quarters in question. The company reduced its stake in some holdings (such as Intel, AT&T, and Walmart), while increasing its stake in others (such as JPMorgan Chase and Walt Disney). Interestingly, the decrease in the number of shares held did not always correspond to a decrease in the value of the holdings – in some cases, the value of the holdings actually increased despite a decrease in the number of shares held. It will be interesting to see how CS McKee LP's holdings evolve in the coming quarters and what influence these changes will have on the firm's portfolio performance.