T Rowe Price was founded by Thomas Rowe Price Jr. in Baltimore in 1937. The firm is focused on holding companies for the long term and believes that their biggest edge against competitors is extensive disciplined research. T Rowe Price currently has 185 specialized analysts working for them globally.
In the fourth quarter, the T Rowe Price Equity Income Fund purchased Anthem Inc. (ANTM).
-
Warning! GuruFocus has detected 2 Warning Sign with ANTM. Click here to check it out.
-
The intrinsic value of ANTM
Anthem is a health benefits company that has over 38 million medical members. The company offers a broad range of medical and specialty products. Anthem was formed in 1994 when WellPoint Health Networks Inc. merged with Anthem Inc. The company is now the largest health benefits company in the U.S.
Anthem has a market cap of $36.92 billion, a P/E ratio of 13.52, an enterprise value of $33.71 and a dividend yield of 1.76.
Below is a Peter Lynch chart for Anthem Inc.
Anthen has a few good signs according to GuruFocus. The company's dividend yield is close to a five-year high. The company's per share revenue is also showing consistent growth.
The company has two severe warnings. The operating margin has been declining and the company's cash to debt ratio is 0.10, ranking them below 89% of the 28 companies in the global health care plans industry.
I believe this is a good company to invest in because they're established in the healthcare industry with over 38 million clients. Anthem is also the nation's leading health benefits company, giving them a strong competitive advantage in their industry.
Cheers to your investment success.
This article first appeared on GuruFocus.
-
Warning! GuruFocus has detected 2 Warning Sign with ANTM. Click here to check it out.
-
The intrinsic value of ANTM