Artisan Partners, an investment management company, released its “Artisan Select Equity Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. In the fourth quarter, Investor Class: ARTNX returned 12.84%, its Advisor Class: APDNX returned 12.92%, and Institutional Class: APHNX returned 12.88% compared to S&P 500 Index’s 11.69% return. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Artisan Select Equity Fund featured stocks like Alibaba Group Holding Limited (NYSE:BABA) in the fourth quarter 2023 investor letter. Headquartered in Hangzhou, the People’s Republic of China, Alibaba Group Holding Limited (NYSE:BABA) provides technology infrastructure and marketing reach. On April 1, 2024, Alibaba Group Holding Limited (NYSE:BABA) stock closed at $73.37 per share. One-month return of Alibaba Group Holding Limited (NYSE:BABA) was 1.80%, and its shares lost 27.15% of their value over the last 52 weeks. Alibaba Group Holding Limited (NYSE:BABA) has a market capitalization of $183.425 billion.
Artisan Select Equity Fund stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its fourth quarter 2023 investor letter:
“Pretty much all of our holdings rose during the quarter. Only one stock declined by more than a couple of percent—Alibaba Group Holding Limited (NYSE:BABA), which was down 9% for the quarter and 12% for the year. This investment continues to be a disappointment. We estimate the shares are trading at around 5X EBITA—a valuation normally reserved for a company with evaporating profits. While it’s true Alibaba is underperforming its peers in the market, the fact is it remains the market leader in its core businesses, and the business is still growing. In the most recent quarter, revenues grew 9% and profits grew 26%.It’s not evaporating.
The management seems to be making meaningful changes designed to enhance shareholder value, including structural changes to improve profitability and restore its competitive position. It is monetizing non-core assets and making improvements in capital allocation. A lot of good things are happening that are not yet recognized in the share price. There are reasons—primarily geopolitical—for this, but at the current valuation, we could easily see the shares double and they would still be cheap.”
Alibaba Group Holding Limited (NYSE:BABA) is in 16th position on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Alibaba Group Holding Limited (NYSE:BABA) was held by 116 hedge fund portfolios, compared to 110 in the previous quarter, according to our database.
We discussed Alibaba Group Holding Limited (NYSE:BABA) in another article and shared Jorge Paulo Lemann’s stock portfolio. 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.
