ClearBridge Investments, an investment management firm, published its “Large Cap Value Strategy” first quarter 2021 investor letter – a copy of which can be downloaded here. The ClearBridge Large Cap Value Strategy underperformed its Russell 1000 Value Index benchmark during the first quarter. On an absolute basis, the Strategy had gains in four of the 11 sectors in which it was invested for the quarter. The strongest contributions came from the energy, utilities, and health care sectors. The information technology (IT), materials, and consumer discretionary sectors were the main detractors. 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 Large Cap Value Strategy mentioned Deere & Company (NYSE:DE) and explained its insights for the company. Founded in 1837, Deere & Company (NYSE:DE) is a Moline, Illinois-based agricultural and construction machinery manufacturer with a $133.9 billion market capitalization. Deere & Company (NYSE:DE) delivered a 27.37% return since the beginning of the year, while its 12-month returns are up by 14.29%. The stock closed at $436.75 per share on April 15, 2022.
Here is what ClearBridge Investments Large Cap Value Strategy has to say about Deere & Company (NYSE:DE) in its Q1 2022 investor letter:
“Industrials holding Deere (NYSE:DE) was also a strong contributor to performance during the quarter. Through its unmatched 5,000 dealer network across 160 countries, Deere is a major global player in agricultural, construction and forestry equipment, with a particularly dominant position in U.S. agriculture. Deere’s moat around its core equipment capabilities, coupled with years of substantial investments in technology and innovation, further extends its competitive advantage into precision agriculture, which allows for higher farm yields with lower use of fertilizers, pesticides and water, thereby improving farmers’ bottom lines while reducing their environmental footprint. In addition to drought conditions in Latin America, the war between Russia and Ukraine, two major exporters of corn and wheat, is further disrupting the global agricultural commodities market and pushing prices even higher. This should mean higher farmer revenues and greater demand for Deere’s equipment, which is further supported by some of the lowest levels of inventory of new and used equipment on record.”
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Our calculations show that Deere & Company (NYSE:DE) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Deere & Company (NYSE:DE) was in 61 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 54 funds in the previous quarter. Deere & Company (NYSE:DE) delivered a 14.82% return in the past 3 months.
In October 2021, we published an article that includes Deere & Company (NYSE:DE) 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.
