Here’s Why You Should Consider Investing in Simply Good Foods (SMPL)

Carillon Tower Advisers, an investment management firm, published its “Carillon Eagle Small Cap Growth Fund” fourth quarter 2021 investor letter – a copy of which can be downloaded here. Small-cap stocks overall posted minor gains in the final quarter of 2021. In what has become a common theme, the Russell 2000® Growth Index (up 0.02%) trailed its Russell 2000® Value Index (up 4.36%) counterpart for the fifth consecutive quarter. Sector returns across the Russell 2000 Growth Index were mostly positive, with the defensively oriented utilities (up 14.18%) and real estate (up 13.94%) sectors leading the way. Industrials (up 9.73%), financials (up 9.05%), and consumer staples (up 5.67%) also provided returns that outpaced the benchmark. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Carillon Eagle Small Cap Growth Fund, in its Q4 2021 investor letter, mentioned The Simply Good Foods Company (NASDAQ: SMPL) and discussed its stance on the firm. The Simply Good Foods Company is a Denver, Colorado-based food product investment company with a $3.6 billion market capitalization. SMPL delivered a -12.94% return since the beginning of the year, while its 12-month returns are up by 20.23%. The stock closed at $36.19 per share on February 11, 2022.

Here is what Carillon Eagle Small Cap Growth Fund has to say about The Simply Good Foods Company in its Q4 2021 investor letter:

“Simply Good Foods develops and sells nutritional food and snacks, positioning it to take advantage of the secular trend towards healthy snacking. The stock outperformed when the company reported quarterly results in excess of expectations and also provided strong forward fiscal year guidance. The firm is seeing an improvement in sales as consumer mobility gradually returns to more normalized levels, and it benefits from going up against easy comparisons from last year when mobility was hampered by the pandemic.”

Photo by Phillip Goldsberry on Unsplash

Our calculations show that The Simply Good Foods Company (NASDAQ: SMPL) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. SMPL was in 19 hedge fund portfolios at the end of the third quarter of 2021, compared to 17 funds in the previous quarter. The Simply Good Foods Company (NASDAQ: SMPL) delivered a -8.40% return in the past 3 months.

In July 2021, we published an article that includes SMPL in the 12 Healthy and Sustainable Food Stocks to Buy. You can find more than 100 investor letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

Disclosure: None. This article is originally published at Insider Monkey.