Bill Miller Portfolio: 5 Picks From Legendary Value Investor

1. Stellantis N.V. (NYSE:STLA)

Number of Hedge Fund Holders: 27

Miller Value Partners’ Stake Value: $8,699,840

Stellantis N.V. (NYSE:STLA) designs, manufactures, and sells automobiles, commercial vehicles, and engines. Stellantis N.V. (NYSE:STLA) is one of the top picks of Bill Miller. In the second quarter of 2023, Miller added Stellantis N.V. (NYSE:STLA) to his portfolio by purchasing 496,000 shares worth $8.7 million. This stake represents 5.72% of the total holdings. 

On October 24, Stellantis N.V. (NYSE:STLA) announced that it is forming a collaborative partnership with nuclear energy company Orano to recycle used electric vehicle batteries and leftover materials from gigafactories across Europe and North America.

According to Insider Monkey’s second quarter database, 27 hedge funds were long Stellantis N.V. (NYSE:STLA), same as the prior quarter. SRS Investment Management is the leading position holder in the company, with 8.46 million shares worth $148.5 million. 

Miller Value Partners Income Strategy made the following comment about Stellantis N.V. (NYSE:STLA) in its second quarter 2023 investor letter:

“We initiated a starter position in Stellantis N.V. (NYSE:STLA), which makes Jeep, Dodge and Fiat cars. The company has a nearly 8% dividend yield with enough net cash (cash minus debt) on the balance sheet to cover the dividend for almost five years. The company trades at 1.7x operating profits, which means the market is already expecting a likely drop in cash flow. Still, the shares appear to be worth meaningfully more than where they trade, and management is heavily aligned with stockholders with a 14% stake. They share our view that the valuation is compelling, as the company plans on repurchasing ~3% of shares outstanding this year.”

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