Overview

Investment Strategy

The goal of the Davis Value Portfolio is to provide investors access to attractive investment opportunities among large cap, durable, well-managed businesses. We seek to purchase these businesses at value prices and hold them for the long term. This approach makes the Davis Value Portfolio an ideal foundation for an investor's portfolio.

"By being highly selective and rejecting the vast majority of companies in the index, we’ve uncovered businesses with solid earnings, yet selling at some of the lowest valuations we have ever seen. We believe this sets the stage for attractive returns in the years ahead.”

– Portfolio Manager Chris Davis

Selective Attractive Growth Undervalued

Value Portfolio invests in only a select group of well-researched companies

Value Portfolio's portfolio companies have solid earnings The Attractive Growth and Undervalued reference in this piece relates to underlying characteristics of the portfolio holdings. There is no guarantee that the Fund’s performance will be positive as equity markets are volatile and an investor may lose money.

Value Portfolio's portfolio companies are 47% less expensive than the index

Holdings The number of holdings in the Fund excluding cash positions. EPS Growth (5 Year) Five-year EPS Growth Rate (5-year EPS) is the average annualized earnings per share growth for a company over the past 5 years. The values shown are the weighted average of the 5-year EPS of the stocks in the Fund or Index. Approximately 2.23% of the assets of the Fund are not accounted for in the calculation of 5-year EPS as relevant information on certain companies is not available to the Fund’s data provider. P/E (Forward) Forward Price/Earnings (Forward P/E) Ratio is a stock’s price at the date indicated divided by the company’s forecasted earnings for the following 12 months based on estimates provided by the Fund’s data provider. These values for both the Fund and the Index are the weighted average of the stocks in the portfolio or index.
503
37
12.8%
11.6x
Portfolio
S&P 500
The companies of Davis Value Portfolio have solid earnings, yet are 47% less expensive.

Fund Details as of 12/31/23

Detail Value
Long-Term Capital Appreciation
Total Net Assets ($M) 98.6
Benchmark S&P 500
Category Large Cap Core
Detail Value
Ticker QDVPAX
Inception Date 7/1/99
CUSIP 239124100
Fund Number 1665
Net Expense Ratio Davis Selected Advisers, L.P. is contractually committed to waive fees and/or reimburse the Fund’s expenses to the extent necessary to cap total annual fund operating expenses at 1.00%. The Adviser is obligated to continue the expense cap through May 1, 2024. The expense cap cannot be modified prior to this date without the consent of the Board of Directors. After that date, there is no assurance that the Adviser will continue to cap expenses. The Adviser may not recoup any of the operating expenses it has reimbursed to the Fund. As of the most recent prospectus. 0.69%
Gross Expense Ratio 0.69%

Fund Managers

Chris C. Davis
35 Years Industry Experience
34 Years at Davis Funds
View Bio
Danton G. Goei
28 Years Industry Experience
25 Years at Davis Funds
View Bio

Performance

Average Annual Returns

Quarterly (as of 12/31/23)

Share Class YTD* 1 Yr 3 Yr 5 Yr 10 Yr Since Incep
Value Portfolio 32.63% 32.63% 7.68% 12.83% 8.85% 6.62%

The average annual total returns for Davis Value Portfolio for periods ending December 31, 2023, are: 1 year, 32.63%; 5 years, 12.83%; and 10 years, 8.85%. The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. For most recent month-end performance, visit davisfunds.com or call 800-279-0279. Current performance may be lower or higher than the performance quoted. The total annual operating expense ratio as of the most recent prospectus was 0.69%. [The Adviser is contractually committed to waive fees and/or reimburse the Fund’s expenses to the extent necessary to cap total annual fund operating expenses of Class A shares at 1.00%. The expense cap expires May 1, 2024.] The total annual operating expense ratio may vary in future years.

Monthly (as of 1/31/24)

Share Class YTD* 1 Yr 3 Yr 5 Yr 10 Yr Since Incep
Value Portfolio 1.28% 21.03% 7.59% 10.81% 9.47% 6.65%

The average annual total returns for Davis Value Portfolio for periods ending December 31, 2023, are: 1 year, 32.63%; 5 years, 12.83%; and 10 years, 8.85%. The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. For most recent month-end performance, visit davisfunds.com or call 800-279-0279. Current performance may be lower or higher than the performance quoted. The total annual operating expense ratio as of the most recent prospectus was 0.69%. [The Adviser is contractually committed to waive fees and/or reimburse the Fund’s expenses to the extent necessary to cap total annual fund operating expenses of Class A shares at 1.00%. The expense cap expires May 1, 2024.] The total annual operating expense ratio may vary in future years.

Portfolio Characteristics as of 12/31/23

Portfolio Composition

Item Value Portfolio S&P 500
Forecast P/E 11.6x 21.8x
5 Year Earnings Growth 12.8% 14.8%
P/B Ratio 2.3 4.1
Standard Deviation (5 year, A Shares) 21.3 18.5
Number of Holdings 37 503
Weighted Average Market Cap ($bn) 330.0 678.9
Median Market Cap 50.0 33.9
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Portfolio Holdings The information provided should not be considered a recommendation to buy, sell or hold any particular security. Davis Funds has adopted a Portfolio Holdings Disclosure policy that governs the release of non-public portfolio holding information. This policy is described in the prospectus. Holding percentages are subject to change.

Top 10 Holdings: Quarterly (as of 12/31/23)

Holding Ticker Value Portfolio S&P 500®
Meta Platforms META 8.6% 2.0%
Berkshire Hathaway BRK A 8.3% 1.6%
Wells Fargo WFC 7.6% 0.5%
Capital One Financial COF 6.7% 0.1%
Applied Materials AMAT 6.7% 0.3%
Amazon.com AMZN 5.4% 3.5%
JPMorgan Chase JPM 4.1% 1.2%
Viatris VTRS 3.9% < 0.1%
Bank of New York Mellon BK 3.7% 0.1%
Alphabet GOOGL 3.4% 3.8%
Top 10 Holdings Total % of Portfolio 58.4% 13.1%

Top 10 Holdings: Monthly (as of 1/31/24)

Holding Ticker Value Portfolio S&P 500®
Meta Platforms META 9.4% 2.0%
Berkshire Hathaway BRK A 8.3% 1.6%
Wells Fargo WFC 7.8% 0.5%
Capital One Financial COF 6.9% 0.1%
Applied Materials AMAT 6.6% 0.3%
Amazon.com AMZN 5.5% 3.5%
Viatris VTRS 4.2% < 0.1%
JPMorgan Chase JPM 4.1% 1.2%
Bank of New York Mellon BK 3.9% 0.1%
Alphabet GOOGL 3.4% 3.8%
Top 10 Holdings Total % of Portfolio 60.0% 13.1%

All Holdings: Quarterly (as of 12/31/23)

Holding Ticker Value Portfolio S&P 500®
Meta Platforms META 8.6% 2.0%
Berkshire Hathaway BRK A 8.3%
Wells Fargo WFC 7.6% 0.5%
Capital One Financial COF 6.7% 0.1%
Applied Materials AMAT 6.7% 0.3%
Amazon.com AMZN 5.4% 3.5%
JPMorgan Chase JPM 4.1% 1.2%
Viatris VTRS 3.9% < 0.1%
Bank of New York Mellon BK 3.7% 0.1%
Alphabet GOOGL 3.4% 2.1%
Texas Instruments TXN 3.1% 0.4%
U.S. Bancorp USB 3.1% 0.2%
Danske Bank DANSKE DC 2.8%
DBS Group Holdings DBS SP 2.7%
Cigna Group CI 2.7% 0.2%
MGM Resorts MGM 2.6% < 0.1%
Intel INTC 2.5% 0.5%
Teck Resources TECK 2.4%
Samsung Electronics 005930 KS 2.2%
Owens Corning OC 2.1%
Chubb CB 1.7% 0.2%
Quest Diagnostics DGX 1.5% < 0.1%
Markel Group MKL 1.4%
Microsoft MSFT 1.4% 7.0%
AIA Group 1299 HK 1.4%
Prosus PRX NA 1.2%
Ping An Insurance Group 2318 HK 0.9%
AGCO AGCO 0.9%
IAC IAC 0.9%
Darling Ingredients DAR 0.8%
American Express AXP 0.8% 0.3%
Coupang CPNG 0.8%
JD.com JD 0.6%
Loews L 0.3% < 0.1%
Naspers NPN SJ 0.2%
Orascom Construction OC DU < 0.1%
Cash 1.0%

All Holdings: Monthly (as of 1/31/24)

Holding Ticker Value Portfolio S&P 500®
Meta Platforms META 9.4% 2.0%
Berkshire Hathaway BRK A 8.3%
Wells Fargo WFC 7.8% 0.5%
Capital One Financial COF 6.9% 0.1%
Applied Materials AMAT 6.6% 0.3%
Amazon.com AMZN 5.5% 3.5%
Viatris VTRS 4.2% < 0.1%
JPMorgan Chase JPM 4.1% 1.2%
Bank of New York Mellon BK 3.9% 0.1%
Alphabet GOOGL 3.4% 2.1%
Texas Instruments TXN 3.0% 0.4%
U.S. Bancorp USB 2.8% 0.2%
Danske Bank DANSKE DC 2.8%
Cigna Group CI 2.7% 0.2%
DBS Group Holdings DBS SP 2.5%
MGM Resorts MGM 2.5% < 0.1%
Teck Resources TECK 2.3%
Owens Corning OC 2.2%
Intel INTC 2.1% 0.5%
Samsung Electronics 005930 KS 1.9%
Chubb CB 1.8% 0.2%
Markel Group MKL 1.5%
Quest Diagnostics DGX 1.4% < 0.1%
Microsoft MSFT 1.4% 7.0%
AIA Group 1299 HK 1.2%
Prosus PRX NA 1.2%
AGCO AGCO 0.9%
IAC IAC 0.9%
Ping An Insurance Group 2318 HK 0.9%
American Express AXP 0.8% 0.3%
Darling Ingredients DAR 0.7%
Coupang CPNG 0.7%
JD.com JD 0.5%
Loews L 0.3% < 0.1%
Naspers NPN SJ 0.2%
Orascom Construction OC DU < 0.1%
Humana HUM < 0.1% 0.1%
Cash 0.9%

Sector Allocation The Global Industry Classification Standard (GICS®) is the exclusive intellectual property of MSCI Inc. (MSCI) and S&P Global (“S&P”). Neither MSCI, S&P, their affiliates, nor any of their third party providers (“GICS Parties”) makes any representations or warranties, express or implied, with respect to GICS or the results to be obtained by the use thereof, and expressly disclaim all warranties, including warranties of accuracy, completeness, merchantability and fitness for a particular purpose. The GICS Parties shall not have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of such damages.

Sector Value Portfolio S&P 500®
Financials 45.7% 13.0%
Information Technology 16.0% 28.8%
Communication Services 13.1% 8.6%
Consumer Discretionary 10.8% 10.9%
Health Care 8.1% 12.6%
Industrials 3.1% 8.8%
Materials 2.4% 2.4%
Consumer Staples 0.8% 6.2%
Energy 3.9%
Real Estate 2.5%
Utilities 2.3%

Factsheet

Fact Sheets

Document Description
Portfolio Fact Sheet Goals of the Portfolio, types of companies in the Portfolio, top holdings, Portfolio characteristics, and historical performance.
Portfolio Composition Quarterly update of portfolio characteristics.

Distributions

2023 Distributions as of 02/07/24

This information on 2023 distributions is intended for existing shareholders

As large shareholders ourselves, we are conscious of tax costs and make every effort to be tax efficient.

Capital gains result from appreciation in the portfolio. The funds' long-term investment approach means that this appreciation may have occurred over an extended period of time. The majority of the gains are long-term and generally subject to lower tax rates than short-term gains or dividend income.

Record Date Ex-Date Payable Date Dividends Received Deduction Ordinary Income Return of Capital Reinvestment Price Short-term Capital Gain Long-term Capital Gain
12/26/23 12/27/23 12/28/23 53.50% 0.085 - 6.25 0.091 0.588

This information on 2023 distributions is intended for existing shareholders.

Carefully consider the fund's investment objectives, strategies, risks, charges and expenses before investing or sending money. The prospectus contains this and other information and can be obtained by clicking here.


Before investing in the Davis Funds, you should carefully consider the investment objectives, risks, charges, and expenses of the Funds. The prospectus and summary prospectus contains this and other information about the Funds. You can obtain performance information and a current prospectus and summary prospectus by visiting davisfunds.com or calling 800.279.0279. Please read the prospectus or summary prospectus carefully before investing or sending money. Investing involves risks including possible loss of principal.