Here’s Why ClearBridge Investments Trimmed Back its Atlassian (TEAM) Stake

ClearBridge Investments, an investment management firm, published its “International Growth ADR Strategy” first quarter 2022 investor letter – a copy of which can be downloaded here. During the first quarter, the ClearBridge International Growth ADR Strategy underperformed its MSCI EAFE Index benchmark. The Strategy had losses across nine of the 10 sectors in which it was invested (out of 11 total), driven by the subsector and stock-specific allocations toward growth areas versus the benchmark. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022. 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 International Growth ADR Strategy mentioned Atlassian Corporation Plc (NASDAQ:TEAM) and explained its insights for the company. Founded in 2002, Atlassian Corporation Plc (NASDAQ:TEAM)  is a Sydney, Australia-based software company with a $67.2 billion market capitalization. Atlassian Corporation Plc (NASDAQ:TEAM)  delivered a -30.41% return since the beginning of the year, while its 12-month returns are up by 10.96%. The stock closed at $265.35 per share on April 14, 2022.

Here is what ClearBridge Investments International Growth ADR Strategy has to say about Atlassian Corporation Plc (NASDAQ:TEAM) in its Q1 2022 investor letter:

“The structural bucket has the shortest investment horizon across the spectrum of growth companies we target in the Strategy. We closely monitor the macro impacts and turnaround progress of these companies and will be disciplined sellers when the thesis for a holding plays out. We also trimmed back workflow software maker Atlassian (NASDAQ:TEAM) after a strong runup in its shares in 2021. Most of our reductions in emerging growth have involved IT or related companies where innovation is a key to their business model. That said, we remain positive on the IT sector and have largely maintained holdings in our highest-conviction ideas.”

Our calculations show that Atlassian Corporation Plc (NASDAQ:TEAM) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Atlassian Corporation Plc (NASDAQ:TEAM) was in 69 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 60 funds in the previous quarter. Atlassian Corporation Plc (NASDAQ:TEAM) delivered a -11.15% return in the past 3 months.

In March 2022, we published an article that includes Atlassian Corporation Plc (NASDAQ:TEAM) 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.