Here’s Why Oakmark Equity and Income Fund is Holding PDC Energy (PDCE)
Oakmark Funds, advised by Harris Associates, released its “Oakmark Equity and Income Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. The fund increased 5.3% in the second quarter compared to a 3.2% return for the Lipper Balanced Fund Index. For the calendar year to date, the fund returned 8.8% compared to a 7.6% return for the benchmark. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Oakmark Equity and Income Fund highlighted stocks like PDC Energy, Inc. (NASDAQ:PDCE) in the second quarter 2023 investor letter. Headquartered in Denver, Colorado, PDC Energy, Inc. (NASDAQ:PDCE) engages in the exploration and production of oil and natural gas. On July 11, 2023, PDC Energy, Inc. (NASDAQ:PDCE) stock closed at $73.24 per share. One-month return of PDC Energy, Inc. (NASDAQ:PDCE) was 3.24%, and its shares gained 33.53% of their value over the last 52 weeks. PDC Energy, Inc. (NASDAQ:PDCE) has a market capitalization of $6.37 billion.
Oakmark Equity and Income Fund made the following comment about PDC Energy, Inc. (NASDAQ:PDCE) in its second quarter 2023 investor letter:
"Stock market strength as well as two acquisition proposals provoked a higher than normal level of trading activity in the quarter. Private equity firm Apollo contracted to purchase Fund holding Arconic, and we took advantage of the ensuing share price increase to eliminate our holding. Chevron and Fund holding PDC Energy, Inc. (NASDAQ:PDCE) also negotiated a purchase transaction, although in this case, we did not find the transaction price to be as compelling. PDC owns and operates oil and natural gas properties in Colorado and Texas. By our reckoning, PDC is selling itself too cheaply, but Chevron doubtless knows the properties better than we ever could. We will learn from the economics implied in this transaction. Although we had hoped for more, PDC was nevertheless a fine holding for the Fund, and we continue to retain some shares."
Photo by Max Bender on Unsplash
PDC Energy, Inc. (NASDAQ:PDCE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 30 hedge fund portfolios held PDC Energy, Inc. (NASDAQ:PDCE) at the end of first quarter which was 32 in the previous quarter.
We discussed PDC Energy, Inc. (NASDAQ:PDCE) in another article and shared the list of high growth low PE stocks. 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.
