Is Carlisle Companies Incorporated (CSL) Trading Below its Intrinsic Value?
Oakmark Funds, advised by Harris Associates, released its “Oakmark Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. The fund returned 8.6% in the second quarter compared to an 8.7% return for the S&P 500 Index. Year-to-date, the fund returned 17.4% compared to a 16.9% return for the benchmark. Despite the headwinds, the fund has outperformed through the first half of the year. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Oakmark Fund highlighted stocks like Carlisle Companies Incorporated (NYSE:CSL) in the second quarter 2023 investor letter. Headquartered in Scottsdale, Arizona, Carlisle Companies Incorporated (NYSE:CSL) manufactures engineered products. On July 11, 2023, Carlisle Companies Incorporated (NYSE:CSL) stock closed at $262.28 per share. One-month return of Carlisle Companies Incorporated (NYSE:CSL) was 10.40%, and its shares gained 3.76% of their value over the last 52 weeks. Carlisle Companies Incorporated (NYSE:CSL) has a market capitalization of $ 13.368 billion.
Oakmark Fund made the following comment about Carlisle Companies Incorporated (NYSE:CSL) in its second quarter 2023 investor letter:
"Carlisle Companies Incorporated (NYSE:CSL) is the largest manufacturer of commercial roofing materials in the U.S. Over the past few years, the company has been divesting cyclical and low-return businesses and narrowing its focus to construction materials. Labor shortages, supply chain delays and raw material cost inflation have allowed all industry participants, including Carlisle, to increase prices on their products. As these headwinds normalize, investors fear that most of the price increases will reverse. However, we believe that Carlisle will retain the price increases due to its stellar reputation, cost and technology leadership and the beneficial structural characteristics of the industry. Carlisle should continue generating attractive returns against the backdrop of persistent demand for reroofing. At 12x our estimate of next year’s EPS, we think Carlisle is trading well below intrinsic value."
Carlisle Companies Incorporated (NYSE:CSL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 36 hedge fund portfolios held Carlisle Companies Incorporated (NYSE:CSL) at the end of first quarter which was 41 in the previous quarter.
We discussed Carlisle Companies Incorporated (NYSE:CSL) in another article and shared the list of best rubber and plastics stocks to buy. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.
Suggested Articles:
Disclosure: None. This article is originally published at Insider Monkey.
