Richard Pzena Adjusts Stake in JELD-WEN Holding Inc
Recent Transaction Overview
On December 31, 2023, Pzena Investment Management, LLC, led by Richard Pzena (Trades, Portfolio), reported a reduction in its holdings of JELD-WEN Holding Inc (NYSE:JELD). The firm sold 288,645 shares at a price of $18.88 each, resulting in a -0.02% impact on the portfolio. Following this transaction, the firm's total share count in JELD-WEN stands at 7,347,195, which represents a 0.6% portfolio position and an 8.60% stake in the company.
Richard Pzena (Trades, Portfolio)'s Investment Firm
Richard Pzena (Trades, Portfolio) is the founder and Co-Chief Investment Officer of Pzena Investment Management, LLC, established in 1995. With a BS from the Wharton School and an MBA from the University of Pennsylvania, Pzena's investment philosophy focuses on purchasing shares in quality businesses at low prices, often during times of market disfavor. The firm's approach involves determining whether price drops are due to temporary issues or permanent impairments. Pzena Investment Management oversees an equity portfolio valued at $26.6 billion, with top holdings in sectors such as Financial Services and Technology.
JELD-WEN Holding Inc at a Glance
JELD-WEN Holding Inc, a door and window manufacturer in the USA, has been publicly traded since January 27, 2017. The company designs, produces, and distributes a range of building products, primarily for residential and non-residential construction. With a market capitalization of $1.67 billion, JELD-WEN operates primarily in North America, which is its largest revenue-generating segment. The stock is currently priced at $19.57, reflecting a PE Percentage of 12.72 and is deemed "Fairly Valued" according to the GF Value of $18.73. The stock has experienced a 3.65% gain since the reported transaction and a 5.44% increase year-to-date.
Impact of the Trade on Pzena's Portfolio
The recent sale of JELD-WEN shares by Pzena Investment Management has slightly decreased the firm's exposure to the construction industry. The trade's modest impact suggests a strategic portfolio adjustment rather than a significant shift in investment stance. With a remaining stake of 8.60% in JELD-WEN, the firm maintains a substantial interest in the company's future performance.
Market and Sector Performance
JELD-WEN's current market valuation aligns with its GF Value, indicating a fair price level. The company's GF Score of 82/100 suggests good outperformance potential, supported by a strong Momentum Rank of 9/10. Within the construction industry, JELD-WEN's financial metrics, such as a interest coverage of 3.02 and an Altman Z score of 2.87, position it as a competitive player.
Other Notable Investors in JELD-WEN
Aside from Pzena Investment Management, other notable investors such as HOTCHKIS & WILEY, First Eagle Investment (Trades, Portfolio), and Jefferies Group (Trades, Portfolio) also hold positions in JELD-WEN. Pzena's firm remains the largest guru shareholder, indicating a strong conviction in the company's value proposition.
Conclusion
The recent adjustment by Richard Pzena (Trades, Portfolio) in JELD-WEN Holding Inc reflects a nuanced approach to portfolio management. While the reduction in shares has a minor impact on the firm's holdings, it underscores the dynamic nature of value investing. For value investors monitoring Pzena's moves, this transaction may signal a tactical decision based on the firm's rigorous analysis of JELD-WEN's current valuation and future prospects within the construction sector.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
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