NPORT-EX 2 3106.HTM HTML

AB Cap Fund, Inc.

AB Select US Equity Portfolio

Portfolio of Investments

September 30, 2019 (unaudited)

 

Company

    Shares        U.S. $ Value  

COMMON STOCKS - 97.7%

        

Financials - 20.2%

        

Banks - 12.5%

        

Bank of America Corp.

      121,837        $ 3,553,985  

Citigroup, Inc.

      93,457          6,456,010  

JPMorgan Chase & Co.

      75,359          8,869,001  

PNC Financial Services Group, Inc. (The)

      34,795          4,876,867  

US Bancorp

      26,019          1,439,891  

Wells Fargo & Co.

      37,872          1,910,264  
       

 

 

  
          27,106,018  
       

 

 

  

Capital Markets - 1.4%

        

Goldman Sachs Group, Inc. (The)

      14,603          3,026,179  
       

 

 

  

Diversified Financial Services - 5.9%

        

Berkshire Hathaway, Inc.-Class B (a)

      62,053          12,908,265  
       

 

 

  

Insurance - 0.4%

        

Progressive Corp. (The)

      11,559          892,933  
       

 

 

  
          43,933,395  
       

 

 

  

Information Technology - 18.3%

        

Communications Equipment - 2.2%

        

Cisco Systems, Inc.

      96,741          4,779,973  
       

 

 

  

IT Services - 2.2%

        

PayPal Holdings, Inc. (a)

      11,068          1,146,534  

Visa, Inc.-Class A

      21,184          3,643,860  
       

 

 

  
          4,790,394  
       

 

 

  

Semiconductors & Semiconductor Equipment - 3.8%

        

Broadcom, Inc.

      10,862          2,998,672  

Intel Corp.

      36,964          1,904,755  

QUALCOMM, Inc.

      14,187          1,082,185  

Texas Instruments, Inc.

      17,246          2,228,873  
       

 

 

  
          8,214,485  
       

 

 

  

Software - 6.2%

        

Adobe, Inc. (a)

      7,338          2,027,123  

Microsoft Corp.

      75,178          10,451,997  

VMware, Inc.-Class A

      7,371          1,106,092  
       

 

 

  
          13,585,212  
       

 

 

  

Technology Hardware, Storage & Peripherals - 3.9%

        

Apple, Inc.

      37,556          8,411,417  
       

 

 

  
          39,781,481  
       

 

 

  

Communication Services - 13.3%

        

Diversified Telecommunication Services - 3.8%

        

AT&T, Inc.

      115,298          4,362,877  

Comcast Corp.-Class A

      85,528          3,855,602  
       

 

 

  
          8,218,479  
       

 

 

  

Entertainment - 4.1%

        

Activision Blizzard, Inc.

      29,838          1,579,027  

Nintendo Co., Ltd.

      3,031          1,129,037  

Vivendi SA

      99,283          2,716,656  

Walt Disney Co. (The)

      26,588          3,464,948  
       

 

 

  
          8,889,668  
       

 

 

  

Company

    Shares        U.S. $ Value  

Interactive Media & Services - 5.4%

        

Alphabet, Inc.-Class C (a)

      6,121        $ 7,461,499  

Facebook, Inc.-Class A (a)

      24,930          4,439,534  
       

 

 

  
          11,901,033  
       

 

 

  
          29,009,180  
       

 

 

  

Industrials - 11.2%

        

Aerospace & Defense - 5.3%

        

Boeing Co. (The)

      4,492          1,709,071  

Northrop Grumman Corp.

      7,231          2,710,106  

United Technologies Corp.

      51,957          7,093,170  
       

 

 

  
          11,512,347  
       

 

 

  

Airlines - 0.8%

        

Delta Air Lines, Inc.

      29,795          1,716,192  
       

 

 

  

Construction & Engineering - 1.2%

        

Jacobs Engineering Group, Inc.

      30,003          2,745,275  
       

 

 

  

Industrial Conglomerates - 2.7%

        

Honeywell International, Inc.

      34,694          5,870,225  
       

 

 

  

Road & Rail - 1.2%

        

Norfolk Southern Corp.

      14,367          2,581,175  
       

 

 

  
          24,425,214  
       

 

 

  

Health Care - 11.2%

        

Health Care Equipment & Supplies - 3.9%

        

Abbott Laboratories

      39,078          3,269,656  

Boston Scientific Corp. (a)

      77,095          3,136,996  

Zimmer Biomet Holdings, Inc.

      15,501          2,127,822  
       

 

 

  
          8,534,474  
       

 

 

  

Health Care Providers & Services - 2.4%

        

Cigna Corp. (a)

      9,711          1,474,032  

Humana, Inc.

      6,510          1,664,412  

UnitedHealth Group, Inc.

      9,065          1,970,006  
       

 

 

  
          5,108,450  
       

 

 

  

Pharmaceuticals - 4.9%

        

Eli Lilly & Co.

      23,796          2,661,107  

Johnson & Johnson

      29,020          3,754,608  

Merck & Co., Inc.

      29,357          2,471,272  

Zoetis, Inc.

      14,641          1,824,122  
       

 

 

  
          10,711,109  
       

 

 

  
          24,354,033  
       

 

 

  

Consumer Discretionary - 7.8%

        

Hotels, Restaurants & Leisure - 0.8%

        

Starbucks Corp.

      19,716          1,743,289  
       

 

 

  

Company

    Shares        U.S. $ Value  

Household Durables - 0.6%

        

Lennar Corp.-Class A

      21,318        $ 1,190,610  
       

 

 

  

Internet & Direct Marketing Retail - 3.3%

        

Amazon.com, Inc. (a)

      2,926          5,079,273  

Booking Holdings, Inc. (a)

      1,095          2,149,058  
       

 

 

  
          7,228,331  
       

 

 

  

Specialty Retail - 3.1%

        

Home Depot, Inc. (The)

      18,759          4,352,463  

TJX Cos., Inc. (The)

      16,959          945,295  

Ulta Salon Cosmetics & Fragrance, Inc. (a)

      5,613          1,406,898  
       

 

 

  
          6,704,656  
       

 

 

  
          16,866,886  
       

 

 

  

Consumer Staples - 5.7%

        

Beverages - 1.9%

        

Coca-Cola Co. (The)

      77,591          4,224,054  
       

 

 

  

Food & Staples Retailing - 1.1%

        

Walmart, Inc.

      19,678          2,335,385  
       

 

 

  

Household Products - 2.1%

        

Procter & Gamble Co. (The)

      35,840          4,457,779  
       

 

 

  

Personal Products - 0.6%

        

Estee Lauder Cos., Inc. (The)-Class A

      7,056          1,403,791  
       

 

 

  
          12,421,009  
       

 

 

  

Energy - 4.8%

        

Oil, Gas & Consumable Fuels - 4.8%

        

Chevron Corp.

      35,385          4,196,661  

EOG Resources, Inc.

      24,128          1,790,780  

Exxon Mobil Corp.

      39,484          2,787,965  

Valero Energy Corp.

      18,866          1,608,138  
       

 

 

  
          10,383,544  
       

 

 

  

Utilities - 3.5%

        

Electric Utilities - 2.2%

        

NextEra Energy, Inc.

      19,918          4,640,695  
       

 

 

  

Independent Power and Renewable Electricity Producers - 1.3%

        

NRG Energy, Inc.

      72,603          2,875,079  
       

 

 

  
          7,515,774  
       

 

 

  

Materials - 1.0%

        

Containers & Packaging - 1.0%

        

Berry Global Group, Inc. (a)

      58,327          2,290,501  
       

 

 

  

Real Estate - 0.7%

        

Equity Real Estate Investment Trusts (REITs) - 0.7%

        

Equinix, Inc.

      2,622          1,512,370  
       

 

 

  

Total Common Stocks
(cost $159,374,742)

           212,493,387  
       

 

 

  

Company

    Shares        U.S. $ Value  

PREFERRED STOCKS - 0.1%

        

Consumer Discretionary - 0.1%

        

Honest Co., Inc. (The)

        

Series D

        

0.00% (a)(b)(c)(d)

(cost $183,249)

      4,005        $ 112,780  
       

 

 

  

SHORT-TERM INVESTMENTS - 2.4%

        

Investment Companies - 2.4%

        

AB Fixed Income Shares, Inc.-Government Money Market
Portfolio-Class AB, 1.89% (e)(f)(g)
(cost $5,348,838)

      5,348,838          5,348,838  
       

 

 

  
     Principal
Amount
(000)		           

Time Deposits - 0.0%

        

BBH Grand Cayman

        

0.38%, 10/01/19

    GBP 0 *         5  

0.84%, 10/01/19

    CAD 5          3,913  

Citibank, London

        

(0.67)%, 10/01/19

    EUR 30          32,242  

Sumitomo, Tokyo

        

(0.26)%, 10/01/19

    JPY 2,346          21,695  
       

 

 

  

Total Time Deposits
(cost $57,855)

           57,855  
       

 

 

  

Total Short-Term Investments
(cost $5,406,693)

           5,406,693  
       

 

 

  

Total Investments - 100.2%
(cost $164,964,684) (h)

           218,012,860  

Other assets less liabilities - (0.2)%

           (465,799 ) 
       

 

 

  

Net Assets - 100.0%

         $   217,547,061  
       

 

 

  

 

*

Principal amount less than 500.

(a)

Non-income producing security.

(b)

Illiquid security.

(c)

Security in which significant unobservable inputs (Level 3) were used in determining fair value.

(d)

Fair valued by the Adviser.

(e)

The rate shown represents the 7-day yield as of period end.

(f)

Affiliated investments.

(g)

To obtain a copy of the fund’s shareholder report, please go to the Securities and Exchange Commission’s website at www.sec.gov, or call AB at (800) 227-4618.

(h)

As of September 30, 2019, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $54,036,635 and gross unrealized depreciation of investments was $(988,459), resulting in net unrealized appreciation of $53,048,176.

Please note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard & Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the broad market.

Currency Abbreviations:

 

CAD

    -    Canadian Dollar

EUR

    -    Euro

GBP

    -    Great British Pound

JPY

    -    Japanese Yen

AB Cap Fund, Inc.

AB Select US Equity Portfolio

September 30, 2019 (unaudited)

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. U.S GAAP establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability (including those valued based on their market values). Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investments

  •  

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

  •  

Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

Where readily available market prices or relevant bid prices are not available for certain equity investments, such investments may be valued based on similar publicly traded investments, movements in relevant indices since last available prices or based upon underlying company fundamentals and comparable company data (such as multiples to earnings or other multiples to equity). Where an investment is valued using an observable input, such as another publicly traded security, the investment will be classified as Level 2. If management determines that an adjustment is appropriate based on restrictions on resale, illiquidity or uncertainty, and such adjustment is a significant component of the valuation, the investment will be classified as Level 3. An investment will also be classified as Level 3 where management uses company fundamentals and other significant inputs to determine the valuation.

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of September 30, 2019:

 

Investments in Securities

    Level 1     Level 2     Level 3     Total  

Assets:

         

Common Stocks:

         

Financials

    $ 43,933,395     $ – 0  –     $ – 0  –     $ 43,933,395  

Information Technology

      39,781,481       – 0  –       – 0  –       39,781,481  

Communication Services

      25,163,487       3,845,693       – 0  –       29,009,180  

Industrials

      24,425,214       – 0  –       – 0  –       24,425,214  

Health Care

      24,354,033       – 0  –       – 0  –       24,354,033  

Consumer Discretionary

      16,866,886       – 0  –       – 0  –       16,866,886  

Consumer Staples

      12,421,009       – 0  –       – 0  –       12,421,009  

Energy

      10,383,544       – 0  –       – 0  –       10,383,544  

Utilities

      7,515,774       – 0  –       – 0  –       7,515,774  

Materials

      2,290,501       – 0  –       – 0  –       2,290,501  

Real Estate

      1,512,370       – 0  –       – 0  –       1,512,370  

Preferred Stocks

      – 0  –       – 0  –       112,780       112,780  

Short-Term Investments:

         

Investment Companies

      5,348,838       – 0  –       – 0  –       5,348,838  

Time Deposits

      – 0  –       57,855       – 0  –       57,855  
  

 

 

    

 

 

    

 

 

    

 

 

  

Total Investments in Securities

      213,996,532       3,903,548       112,780       218,012,860  

Other Financial Instruments*

      – 0  –       – 0  –       – 0  –       – 0  –  
  

 

 

    

 

 

    

 

 

    

 

 

  

Total

    $     213,996,532     $     3,903,548     $     112,780     $     218,012,860  
  

 

 

    

 

 

    

 

 

    

 

 

  

 

*

Other financial instruments are derivative instruments, such as futures, forwards and swaps, which are valued at the unrealized appreciation/(depreciation) on the instrument. Other financial instruments may also include swaps with upfront premiums, options written and swaptions written which are valued at market value.

A summary of the Fund’s transactions in AB mutual funds for the three months ended September 30, 2019 is as follows:

 

Fund

    Market Value
6/30/19
(000)		      Purchases
at Cost
(000)		      Sales
Proceeds
(000)		      Market Value
9/30/19
(000)		      Dividend
Income
(000)		  

Government Money Market Portfolio

    $ 8,288      $ 17,987      $ 20,926      $ 5,349      $ 32