Reasons to Invest in Leonardo DRS (DRS)
Madison Investments, an investment advisor, released its “Madison Small Cap Fund” second-quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the fund (Class Y) returned 5.1% compared to a 5.2% each rise for the Russell 2000 and the Russell 2500 Index. The best-performing sectors of the portfolio were Industrials, Materials, and Financials while Consumer Staples, Information Technology, and Healthcare were the worst-performing sectors. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Madison Small Cap Fund highlighted stocks like Leonardo DRS, Inc. (NASDAQ:DRS) in the second quarter 2023 investor letter. Headquartered in Arlington, Virginia, Leonardo DRS, Inc. (NASDAQ:DRS) defense electronic products, systems, and military support service provider. On July 17, 2023, Leonardo DRS, Inc. (NASDAQ:DRS) stock closed at $17.23 per share. One-month return of Leonardo DRS, Inc. (NASDAQ:DRS) was 1.65%, and its shares gained 78.18% of their value over the last 52 weeks. Leonardo DRS, Inc. (NASDAQ:DRS) has a market capitalization of $4.497 billion.
Madison Small Cap Fund made the following comment about Leonardo DRS, Inc. (NASDAQ:DRS) in its second quarter 2023 investor letter:
"We also initiated a position in Leonardo DRS, Inc. (NASDAQ:DRS), a prime defense contractor for the U.S. Department of Defense (DoD). The company has domain expertise in advanced sensing, force protection, and integrated mission systems. It is the sole supplier of the electric propulsion system that is being installed on all Columbia class subs over the next several years. We like this company because of its non-cyclical end markets, near-term growth driven by electronic propulsion, and expansion of DoD spending due to geopolitical pressures. From our discounted cash flow analysis, we have an estimated PMV for DRS of $25."
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Leonardo DRS, Inc. (NASDAQ:DRS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge fund portfolios held Leonardo DRS, Inc. (NASDAQ:DRS) at the end of first quarter which was 17 in the previous quarter. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
