Tweedy, Browne International Value Fund on Capgemini SE
Thesis
Tweedy, Browne established a new position in Capgemini, a French business and information-technology consulting company. The purchase was made because the managers believed the shares traded at a discount to a conservative estimate of intrinsic value. They also judged the company to be financially strong and to have a runway for future growth. The position was initiated despite the managers' broader concern that global equity valuations remain elevated.
“At purchase, we believed these two companies were trading at a discount to a conservative estimate of their intrinsic value.”