Is Dassault Systèmes (DASTY) A Smart Long-Term Buy?

Saturna Capital, an investment management firm, published its “Sextant Funds” third-quarter 2021 investor letter – a copy of which can be downloaded here. The Investor Shares of the Sextant Growth Fund experienced an unremarkable third quarter, slipping -0.34%, compared to the S&P 500 Index gain of 0.58% and the NASDAQ Composite’s -0.22% return. The Sextant International Fund Investor Shares appreciated 4.29% in the third quarter of 2021, compared to a decline of -0.35% for the benchmark MSCI EAFE Index over the same
period. The Sextant Global High Income Fund returned 0.09% for the third quarter of 2021, ending the period at $9.2 million in total net assets, with 15.75% in cash and equivalents. The Sextant Core Fund declined -1.27% in the third quarter, trailing the benchmark Dow Jones Moderate Portfolio Index, which declined -0.83% for the same period. You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.

Saturna Capital Sextant Funds, in its Q3 2021 investor letter, mentioned Dassault Systèmes SE (NYSE: DASTY) and discussed its stance on the firm. Dassault Systèmes SE is a Vélizy-Villacoublay, France-based software company with a $78.7 billion market capitalization. DASTY delivered a 48.42% return since the beginning of the year, while its 12-month returns are up by 60.91%. The stock closed at $60.35 per share on December 07, 2021.

Here is what Saturna Capital Sextant Funds has to say about Dassault Systèmes SE  in its Q3 2021 investor letter:

“The Fund generally holds positions in larger companies with strong balance sheets; the average market capitalization of the positions exceeded $90 billion, and the position-weighted trailing 12-month average debt to market capitalization was 10.8% at quarter-end. The Fund ended the third quarter in a somewhat defensive posture, holding a cash balance of 4.7%.Dassault, a French software company and one of the top five largest positions in the portfolio, provided the largest contribution to returns during the quarter, appreciating 8.15% for the period.”

Based on our calculations, Dassault Systèmes SE (NYSE: DASTY) was not able to clinch a spot in our list of the 30 Most Popular Stocks Among Hedge Funds. DASTY was in 1 hedge fund portfolio at the end of the third quarter of 2021. Dassault Systèmes SE (NYSE: DASTY) delivered a 3.81% return in the past 3 months.

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