Ariel Investments, an investment management company, released its “Ariel Small Cap Value Strategy” fourth-quarter 2023 investor letter. A copy of the same can be downloaded here. The Ariel Small Cap Value Tax-Exempt Composite rose +13.24% gross of fees (+12.96% net of fees) in the quarter, underperforming both the Russell 2000 Value Index and the Russell 2000 Index, which returned +15.26% and +14.03%, respectively. During the year the strategy returned +17.93% gross of fees (+16.76% net of fees) compared to +14.65% and +16.93% gains for the Russell 2000 Value Index and the Russell 2000 Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Ariel Small Cap Value Strategy featured stocks like Envista Holdings Corporation (NYSE:NVST) in the fourth quarter 2023 investor letter. Headquartered in Brea, California, Envista Holdings Corporation (NYSE:NVST) engages in the business of dental products. On March 12, 2024, Envista Holdings Corporation (NYSE:NVST) stock closed at $21.50 per share. One-month return of Envista Holdings Corporation (NYSE:NVST) was -2.89%, and its shares lost 43.11% of their value over the last 52 weeks. Envista Holdings Corporation (NYSE:NVST) has a market capitalization of $3.688 billion.
Ariel Small Cap Value Strategy stated the following regarding Envista Holdings Corporation (NYSE:NVST) in its fourth quarter 2023 investor letter:
“Lastly, leading global dental manufacturing company, Envista Holdings Corporation (NYSE:NVST), declined on disappointing earnings results. Challenges with sanctions in Russia and China due to volume-based procurement (VBP) reimbursement, as well as a weakening environment in North America for large dental equipment and implants resulted in management reducing its sales and profitability guidance for the year. While shares may be range bound for the next couple of quarters as NVST works through these headwinds and invests in future growth, we think NVST has multiple opportunities to drive upside over the long-term. We believe NVST will benefit from its rich research and development pipeline, several new products in high-growth dental segments, successful execution from recent M&A, facility consolidation and previous IT investments. We anticipate a re-rating of the stock and multiple expansion relative to peers.”
A patient’s smile enhanced by a dental technology device.
Envista Holdings Corporation (NYSE:NVST) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Envista Holdings Corporation (NYSE:NVST) was held by 33 hedge fund portfolios, up from 31 in the previous quarter, according to our database.
We discussed Envista Holdings Corporation (NYSE:NVST) in another article and shared Diamond Hill Mid Cap Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q4 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.
