Greenlight Expects Brighthouse (BHF) to ‘Retire Another Double-Digit Percentage of the float in 2022’

Greenlight Capital, an investment management firm, published its fourth-quarter 2021 investor letter – a copy of which can be downloaded here. An annual return of 11.9% was recorded by the fund for the whole year 2021, compared to the 28.7% of the S&P 500 index for the same period. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Greenlight Capital, in its Q4 2021 investor letter, mentioned Brighthouse Financial, Inc. (NASDAQ: BHF) and discussed its stance on the firm. Brighthouse Financial, Inc. is a Charlotte, North Carolina-based life insurance company with a $4.5 billion market capitalization. BHF delivered a 10.23% return since the beginning of the year, while its 12-month returns are up by 53.66%. The stock closed at $57.10 per share on February 2, 2022.

Here is what Greenlight Capital has to say about Brighthouse Financial, Inc. in its Q4 2021 investor letter:

“Brighthouse Financial (BHF) gained 15% as the shares appreciated from $45.23 to $51.80 each. The company reported another strong quarter and accelerated its pace of share buybacks. For the year, BHF advanced 43%. Due mostly to strong investment performance, adjusted earnings per share are expected to be $18.52 in 2021, compared to expectations a year ago of $11.45. We expect BHF to announce that it has repurchased about 12% of its shares during 2021. The analysts continue to be unimpressed, as the lone bull on the stock downgraded his rating, and BHF now has 8 ‘hold’ ratings and 2 ‘sell’ ratings. BHF itself is the main buyer of its own shares; we expect the company to retire another double-digit percentage of the float in 2022.”

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Our calculations show that Brighthouse Financial, Inc. (NASDAQ: BHF) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. BHF was in 29 hedge fund portfolios at the end of the third quarter of 2021, compared to 26 funds in the previous quarter. Brighthouse Financial, Inc. (NASDAQ: BHF) delivered a 7.05% return in the past 3 months.

In October 2021, we also shared another hedge fund’s views on BHF in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

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