Is It Time To Buy SVB Financial Group (SIVB)?

Artisan Partners, an investment management company, released its “Artisan Mid Cap Fund” second quarter 2022 investor letter. A copy of the same can be downloaded here. In the second quarter, its Investor Class fund ARTMX returned -22.47%, Advisor Class fund APDMX posted a return of -22.43%, and Institutional Class fund APHMX returned -22.40%, compared to a return of -21.07% for the Russell Midcap Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Artisan Partners discussed stocks like SVB Financial Group (NASDAQ:SIVB) in the second quarter investor letter. Headquartered in Santa Clara, California, SVB Financial Group (NASDAQ:SIVB) is a financial services company. On September 26, 2022, SVB Financial Group (NASDAQ:SIVB) stock closed at $335.70 per share. One-month return of SVB Financial Group (NASDAQ:SIVB) was -17.76% and its shares lost 48.67% of their value over the last 52 weeks. SVB Financial Group (NASDAQ:SIVB) has a market capitalization of $19.834 billion.

Here is what Artisan Partners specifically said about SVB Financial Group (NASDAQ:SIVB) in its Q2 2022 investor letter:

“SVB Financial Group (NASDAQ:SIVB) is a leading provider of banking services to the innovation economy across the US and in key international markets. Headquartered in Silicon Valley, SVB offers financial products to clients in the technology, life science/health care and private equity/venture capital end markets. The rapid shift in the macroeconomic backdrop has caused crosscurrents in SVB’s profit cycle. We expect its net interest margin to increase meaningfully this year amid rapidly rising interest rates. Conversely, tighter economic conditions are having a significant impact on funding and spending activity within its core innovation economy market. In the short term, we expect these headwinds to overpower the interest rate tailwinds. There is a lot of dry powder waiting to be deployed by VC/PE funds, which leads us to believe funding activity should recover nicely once valuations reset to lower levels. Given our comfort with the company’s credit risk exposure (loans to early-stage tech companies are only 2% vs. 11% in 2008 and 30% in the dot.com era), and a valuation that seems to reflect a near worst-case scenario, we are remaining patient.”

SVB Financial Group (NASDAQ:SIVB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios SVB Financial Group (NASDAQ:SIVB) at the end of the second quarter which was 34 in the previous quarter.

We discussed SVB Financial Group (NASDAQ:SIVB) in another article and shared Diamond Hill Capital’s views on the company. In addition, please check out our hedge fund investor letters Q2 2022 page for more investor letters from hedge funds and other leading investors.

Disclosure: None. This article is originally published at Insider Monkey.