Cook & Bynum Capital Management LLC Makes New $1.11 Billion Investment in Liberty Latin America Ltd. $LILA

Key Points

• Cook & Bynum Capital Management acquired 141,721 Liberty Latin America shares, valued at approximately $1.11 billion, making LILA its sixth-largest portfolio holding and representing 0.07% of the company.
• Analyst sentiment remains cautious: Morgan Stanley downgraded LILA to “underweight,” while the consensus rating is “Reduce” with a $10.00 price target.
• Insider activity was mixed, with John C. Malone purchasing 1.32 million shares while Director Charles Bracken sold 42,975 shares; insiders collectively bought 2.69 million shares over the past three months.

Cook & Bynum Capital Management LLC acquired a new position in shares of Liberty Latin America Ltd. (NASDAQ:LILA - Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 141,721 shares of the company's stock, valued at approximately $1,111,093,000. Liberty Latin America accounts for approximately 0.8% of Cook & Bynum Capital Management LLC's portfolio, making the stock its 6th biggest position. Cook & Bynum Capital Management LLC owned 0.07% of Liberty Latin America as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds have also modified their holdings of the stock. Rubric Capital Management LP raised its position in Liberty Latin America by 93.0% in the 1st quarter. Rubric Capital Management LP now owns 3,750,000 shares of the company's stock valued at $32,400,000 after purchasing an additional 1,806,935 shares in the last quarter. Goldman Sachs Group Inc. grew its position in shares of Liberty Latin America by 318.7% during the fourth quarter. Goldman Sachs Group Inc. now owns 940,207 shares of the company's stock worth $6,948,000 after buying an additional 715,641 shares in the last quarter. Virtu Financial LLC increased its stake in shares of Liberty Latin America by 52.2% during the third quarter. Virtu Financial LLC now owns 1,411,830 shares of the company's stock worth $11,704,000 after buying an additional 484,016 shares during the period. Bank of New York Mellon Corp purchased a new stake in shares of Liberty Latin America during the second quarter worth approximately $3,140,000. Finally, BNP Paribas Financial Markets raised its holdings in Liberty Latin America by 604.1% in the second quarter. BNP Paribas Financial Markets now owns 398,371 shares of the company's stock valued at $2,430,000 after acquiring an additional 341,794 shares in the last quarter. 18.48% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

LILA has been the subject of a number of recent research reports. Morgan Stanley downgraded shares of Liberty Latin America from an "equal weight" rating to an "underweight" rating and set a $7.00 price target for the company. in a research note on Thursday, August 20th. Weiss Ratings restated a "sell (d-)" rating on shares of Liberty Latin America in a report on Friday, July 17th. One investment analyst has rated the stock with a Buy rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Liberty Latin America has a consensus rating of "Reduce" and a consensus target price of $10.00.

Insider Activity at Liberty Latin America

In other Liberty Latin America news, Director Charles H. R. Bracken sold 42,975 shares of the firm's stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $8.57, for a total transaction of $368,295.75. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director John C. Malone acquired 1,319,181 shares of Liberty Latin America stock in a transaction dated Monday, June 22nd. The shares were bought at an average price of $4.98 per share, with a total value of $6,569,521.38. Following the transaction, the director directly owned 21,397,127 shares in the company, valued at approximately $106,557,692.46. The trade was a 6.57% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last three months, insiders have purchased 2,685,679 shares of company stock valued at $17,777,706. Company insiders own 6.25% of the company's stock.

Liberty Latin America Trading Up 2.7%

NASDAQ:LILA opened at $8.65 on Wednesday. Liberty Latin America Ltd. has a 1 year low of $4.77 and a 1 year high of $9.04. The stock has a market cap of $1.69 billion, a P/E ratio of -17.65 and a beta of 0.74. The company has a debt-to-equity ratio of 8.08, a quick ratio of 1.19 and a current ratio of 1.19. The stock has a 50-day simple moving average of $7.64 and a 200-day simple moving average of $7.86.

Liberty Latin America (NASDAQ:LILA - Get Free Report) last issued its earnings results on Wednesday, August 5th. The company reported ($0.13) earnings per share for the quarter. The business had revenue of $1.10 billion for the quarter, compared to analyst estimates of $1.10 billion. Liberty Latin America had a negative return on equity of 9.29% and a negative net margin of 2.20%. As a group, analysts anticipate that Liberty Latin America Ltd. will post -0.47 earnings per share for the current fiscal year.

Liberty Latin America Company Profile

Liberty Latin America is a telecommunications company that provides video, broadband internet, telephony and mobile services across Latin America and the Caribbean. The company's operations span consumer and business markets, offering cable television packages, high-speed broadband connections, fixed-line voice services and wireless data plans. Through its brands, including Flow in several Caribbean territories and VTR in Chile, Liberty Latin America focuses on delivering converged digital solutions designed to meet both residential and enterprise needs.

Formed in 2018 as a spin-off from Liberty Global, Liberty Latin America built its initial footprint by integrating legacy assets acquired from Cable & Wireless Communications and Columbus Communications.

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