ClearBridge Investments on Vertiv (VRT): “We Expect Improved Operational Performance Over the Coming Quarters”

ClearBridge Investments, an investment management firm, published its “Large Cap Value Strategy” first quarter 2021 investor letter – a copy of which can be downloaded here. The ClearBridge Large Cap Value Strategy underperformed its Russell 1000 Value Index benchmark during the first quarter. On an absolute basis, the Strategy had gains in four of the 11 sectors in which it was invested for the quarter. The strongest contributions came from the energy, utilities, and health care sectors. The information technology (IT), materials, and consumer discretionary sectors were the main detractors. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, ClearBridge Investments Large Cap Value Strategy mentioned Vertiv Holdings Co (NYSE:VRT) and explained its insights for the company. Founded in 2016, Vertiv Holdings Co (NYSE:VRT)  is a Columbus, Ohio-based data center equipment and services provider with a $4.6 billion market capitalization. Vertiv Holdings Co (NYSE:VRT)  delivered a -50.42% return since the beginning of the year, while its 12-month returns are down by -44.73%. The stock closed at $12.38 per share on April 15, 2022.

Here is what ClearBridge Investments Large Cap Value Strategy has to say about Vertiv Holdings Co (NYSE:VRT) in its Q1 2022 investor letter:

“Vertiv (NYSE:VRT), whose core data center infrastructure business is seeing strong demand growth, struggled in the first quarter as it was too slow to adjust pricing to appropriately recover higher costs attributable to broad-based COVID-19-related supply chain challenges and critical parts shortages. While we are disappointed with the company’s recent results, we expect improved operational performance over the coming quarters.”

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Our calculations show that Vertiv Holdings Co (NYSE:VRT) ranks 25th on our list of the 30 Most Popular Stocks Among Hedge Funds. Vertiv Holdings Co (NYSE:VRT) was in 92 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 96 funds in the previous quarter. Vertiv Holdings Co (NYSE:VRT) delivered a -47.92% return in the past 3 months.

In January 2022, we published an article that includes Vertiv Holdings Co (NYSE:VRT) 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.