Baron Funds: “ANSYS Remains Well Positioned to Benefit From the Increasing Demand for Simulation Software”

Baron Funds, an asset management firm, published its “Baron Asset Fund” first quarter 2022 investor letter – a copy of which can be downloaded here. Baron Asset Fund (the “Fund”) fell 14.52% (Institutional Shares), while the Russell Midcap Growth Index (the “Index”) fell 12.58%. The S&P 500 Index, which comprises both growths and value-oriented large-cap stocks, fell 4.60%. Try to spend some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Baron Asset Fund mentioned ANSYS, Inc. (NASDAQ:ANSS) and explained its insights for the company. Founded in 1970, ANSYS, Inc. (NASDAQ:ANSS) is a Canonsburg, Pennsylvania-based CAE/multiphysics engineering simulation software developer with a $21.5 billion market capitalization. ANSYS, Inc. (NASDAQ:ANSS) delivered a -38.21% return since the beginning of the year, while its 12-month returns are down by -22.84%. The stock closed at $247.85 per share on May 16, 2022.

Here is what Baron Asset Fund has to say about ANSYS, Inc. (NASDAQ:ANSS) in its Q1 2022 investor letter:

“ANSYS, Inc. is a leading provider of physics-based simulation software. Despite quarterly financial results that exceeded expectations, the stock was pressured because of management guidance for slower free-cash-flow growth next year, coupled with the general rotation away from growth stocks. We believe ANSYS remains well positioned to benefit from the increasing demand for simulation software by leveraging its growing product offerings, partnerships, expanding distribution, and deep customer relationships. In addition, management continues to describe attractive expansion opportunities within its largest customers across all key geographies.”

Photo by Danial Igdery on Unsplash

Our calculations show that ANSYS, Inc. (NASDAQ:ANSS) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. ANSYS, Inc. (NASDAQ:ANSS) was in 44 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 38 funds in the previous quarter. ANSYS, Inc. (NASDAQ:ANSS) delivered a -21.84% return in the past 3 months.

In January 2022, we also shared another hedge fund’s views on ANSYS, Inc. (NASDAQ:ANSS) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

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