In a market fixated on momentum and AI-driven growth, Sean Peche, portfolio manager at Ranmore Fund, is taking a contrarian stance. During a recent CNBC appearance, he outlined four holdings he believes are trading below their intrinsic value, even as broad indices reward trend-following strategies.
Peche's approach focuses on companies with strong cash flows that have fallen out of favor with investors. His picks span Chinese insurance, American telecom, British spirits, and Chinese technology—sectors that have been largely abandoned by momentum capital. The common thread, he argues, is timing: buying assets when they are out of favor, rather than chasing the latest hype.
Ping An Insurance
Ping An Insurance is among Ranmore's top ten holdings, a bet on a company Peche considers mispriced relative to its scale. Despite being one of the world's largest insurers, its Hong Kong-listed shares trade below book value and offer a dividend yield close to 6%. In contrast, most global peers trade at a premium to book value with smaller payouts. Peche sees this gap as an opportunity: a growing Chinese insurance market attached to a share price that undervalues the business, at a yield few competitors can match.
Comcast
Comcast's stock has fallen roughly 16% over the past year and remains below its 2021 peak, even after a recent rebound. The company spun off most of its cable news operations, including CNBC, at the start of this year, and in June announced plans to shed further media assets to focus on cable, wireless, and business services. What keeps Ranmore invested is the durability underneath that decline: annuity-like income, a sticky customer base, strong free cash flow, and management that Peche rates as savvy rather than a business in structural decline.
Diageo
Diageo has absorbed one of the steeper share-price declines in Ranmore's portfolio, tied to broader concerns over falling alcohol consumption. Peche argues that narrative is incomplete: Guinness continues to grow, and its zero-alcohol variant is gaining share in a category less crowded than mainstream lager. CEO Dave Lewis, who took over at the start of 2026, has launched a $1 billion restructuring that Peche credits to a proven cost-cutting record. Recent divestments—an East African brewing business and a stake in an Indian cricket franchise—register as portfolio discipline rather than retreat.
Tencent
Tencent rounds out the list, a position Ranmore has built at roughly the same share price the stock traded at in 2018, even as earnings have roughly tripled since. The group spans cloud computing, gaming, and the WeChat messaging platform. Peche's broader thesis rests on cost structure: running artificial intelligence infrastructure costs materially less in China, where power and infrastructure expenses run lower, while domestic technology firms show greater capital discipline than their American counterparts. That combination leaves Tencent, in his assessment, well positioned as the buildout continues.
Peche's picks highlight a broader theme: value can be found in unloved sectors, especially when investors are chasing the next big thing. For those looking to diversify beyond the AI trade, these four names offer a mix of yield, stability, and long-term growth potential. As always, investors should conduct their own research and consider their risk tolerance.
This article is for informational purposes only and does not constitute financial advice.
