ClearBridge Investments, an investment management company, released its “ClearBridge Large Cap Value Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The third quarter experienced significant gains for U.S. equities, which recovered from a fear of slowing economic growth that had driven several asset markets into correction territory. A broad rebound was then induced by a 50 basis point interest rate drop by the Federal Reserve. The Russell 1000 Value Index generated a gain of 9.43% for the quarter. Against this backdrop, the ClearBridge Large Cap Value Strategy underperformed the benchmark Russell 1000 Value Index during the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
ClearBridge Large Cap Value Strategy highlighted stocks like The Sherwin-Williams Company (NYSE:SHW) in the third quarter 2024 investor letter. The Sherwin-Williams Company (NYSE:SHW) develops, manufactures and distributes paints, coating, and related products. The one-month return of The Sherwin-Williams Company (NYSE:SHW) was 0.52%, and its shares gained 52.81% of their value over the last 52 weeks. On October 9, 2024, The Sherwin-Williams Company (NYSE:SHW) stock closed at $376.45 per share with a market capitalization of $95.132 billion.
ClearBridge Large Cap Value Strategy stated the following regarding The Sherwin-Williams Company (NYSE:SHW) in its Q3 2024 investor letter:
“Despite these stock-specific headwinds, we’re confident our portfolio continues to own high-quality franchises able to generate excess returns in various economic environments. The Sherwin-Williams Company (NYSE:SHW), for example, has seen its shares rise even while its end markets have not really recovered. As the Fed raised rates aggressively to combat inflation, existing homes turnover came to a halt. Turnover of existing housing stock is Sherwin-Williams’s bread and butter business as homeowners typically paint as they are ready to sell and new owners repaint when they buy. Despite slow end market demand and because Sherwin-Williams is a best-in-class operator, it continues to execute well and gain share, taking advantage of some disarray among competitors, allowing it to hold on to pricing and benefit from some raw material deflation.”
A close-up of a vibrant paint color being sprayed onto a wooden surface.
The Sherwin-Williams Company (NYSE:SHW) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 76 hedge fund portfolios held The Sherwin-Williams Company (NYSE:SHW) at the end of the second quarter which was 78 in the previous quarter. While we acknowledge the potential of The Sherwin-Williams Company (NYSE:SHW) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed The Sherwin-Williams Company (NYSE:SHW) and shared the list of stocks Jim Cramer can’t stop talking about. In addition, please check out our hedge fund investor letters Q3 2024 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.