Here’s Why ClearBridge Small Cap Value Strategy Sold Textainer (TGH)
ClearBridge Investments, an investment management company, released its “ClearBridge Small Cap Value Strategy” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. The strategy underperformed the benchmark Russell 2000 Value Index in the fourth quarter. The strategy generated gains across eight of the 11 sectors in which it was invested during the quarter, on an absolute basis. Overall sector allocation and stock selection effects detracted from the performance on a relative basis. In addition, please check the fund’s top five holdings to know its best picks in 2023.
ClearBridge Small Cap Value Strategy featured stocks like Textainer Group Holdings Limited (NYSE:TGH) in the fourth quarter 2023 investor letter. Headquartered in Hamilton, Bermuda, Textainer Group Holdings Limited (NYSE:TGH) engages in the purchase, ownership, management, leasing, and disposal of a fleet of intermodal containers. On March 13, 2024, Textainer Group Holdings Limited (NYSE:TGH) stock closed at $49.99 per share. One-month return of Textainer Group Holdings Limited (NYSE:TGH) was 0.46%, and its shares gained 12.19% of their value over the last 52 weeks. Textainer Group Holdings Limited (NYSE:TGH) has a market capitalization of $2.068 billion.
ClearBridge Small Cap Value Strategy stated the following regarding Textainer Group Holdings Limited (NYSE:TGH) in its fourth quarter 2023 investor letter:
"Stock selection in the industrials sector was the leading contributor to performance during the period, largely driven by the performance of cargo container purchaser, leaser and reseller Textainer Group Holdings Limited (NYSE:TGH), one of our top portfolio holdings. Our analysis indicated the company’s share price was tremendously discounted to its fair business value. We believe this was validated after the company announced it agreed to be acquired at a premium by infrastructure fund Stonepeak early in the quarter. As we did not foresee other market participants making a better offer for the company, we elected to sell the position and capture the premium."
A fleet of refrigerated and specialized freight containers sitting in a large warehouse.
Textainer Group Holdings Limited (NYSE:TGH) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Textainer Group Holdings Limited (NYSE:TGH) was held by 31 hedge fund portfolios, compared to 11 in the previous quarter, according to our database.
We discussed Textainer Group Holdings Limited (NYSE:TGH) in another article and shared the list of most profitable small-cap stocks. In addition, please check out our hedge fund investor letters Q4 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.
