ClearBridge Investments, an investment management company, released its “ClearBridge Large Cap Value Strategy” third quarter 2023 investor letter. A copy of the same can be downloaded here. U.S. equities fell from the first-half highs amid fears of slowing consumer spending and higher interest rates. The strategy performed strongly in this environment outperforming the Russell 1000 Value Index. The strategy benefited from two of the 11 sectors it was invested in during the quarter, on an absolute basis. Overall stock selection and sector allocation contributed to performance on a relative basis. In addition, please check the fund’s top five holdings to know its best picks in 2023.
ClearBridge Large Cap Value Strategy highlighted stocks like United Parcel Service, Inc. (NYSE:UPS) in the third quarter 2023 investor letter. Headquartered in Atlanta, Georgia, United Parcel Service, Inc. (NYSE:UPS) is a package delivery company. On October 11, 2023, United Parcel Service, Inc. (NYSE:UPS) stock closed at $155.30 per share. One-month return of United Parcel Service, Inc. (NYSE:UPS) was -3.38%, and its shares lost 5.11% of their value over the last 52 weeks. United Parcel Service, Inc. (NYSE:UPS) has a market capitalization of $132.696 billion.
ClearBridge Large Cap Value Strategy made the following comment about United Parcel Service, Inc. (NYSE:UPS) in its Q3 2023 investor letter:
“A higher-for-longer rate mentality taking hold was a headwind for economically sensitive stocks. Rising wages have been one of the main drivers of inflation, and this has proved to be a sticky area, keeping the Fed’s attention and weighing on share prices. For example, United Parcel Service, Inc. (NYSE:UPS) renegotiated a wage increase for its union-backed workforce this summer, which weighed on margins that were already being constricted by slowing volumes. While the new union deal will dampen profits over the next 12 months due to the front-end-loaded nature of the new five-year contract, management gained increased flexibility to deploy automation, which we think should further enhance UPS’s strong competitive position and provide a long-term tailwind to profitability.”
A warehouse filled with boxes of parcels, symbolizing the companies reliable logistics services. Editorial photo for a financial news article. 8k. –ar 16:9
United Parcel Service, Inc. (NYSE:UPS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 47 hedge fund portfolios held United Parcel Service, Inc. (NYSE:UPS) at the end of second quarter which was 39 in the previous quarter.
We discussed United Parcel Service, Inc. (NYSE:UPS) in another article and shared the list of biggest logistics companies in the US. In addition, please check out our hedge fund investor letters Q3 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.
