Is it a Smart Move to Invest in Graham Holdings Company (GHC)?

Heartland Advisors, an investment management company, released its “Heartland Mid Cap Value Fund” fourth quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the strategy returned a 12.38% (Net of Advisory Fees) compared to a 10.45% gain for the Russell Midcap Value Index. The stock selection in Real Estate, Healthcare, and Energy sectors led to the strategy’s outperformance in the quarter. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.

In its Q4 2022 investor letter, Heartland Mid Cap Value Fund mentioned Graham Holdings Company (NYSE:GHC) and explained its insights for the company. Founded in 1947, Graham Holdings Company (NYSE:GHC) is a Virginia-based conglomerate holding company with a $2.7 billion market capitalization. Graham Holdings Company (NYSE:GHC) delivered a -4.75% return since the beginning of the year, while its 12-month returns are down by -2.60%. The stock closed at $575.48 per share on March 21, 2023.

Here is what Heartland Mid Cap Value Fund has to say about Graham Holdings Company (NYSE:GHC) in its Q4 2022 investor letter:

“Volatility in the fourth quarter allowed us to add what we consider a best-in-class holding in communications. Graham Holdings Company (NYSE:GHC) spun Cable One, Inc.  (NYSE:CABO) out in 2015, and investors became attracted to management’s strategy to exit pay TV, which has been in secular decline amid the streaming boom, in favor of more-profitable broadband.”

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Our calculations show that Graham Holdings Company (NYSE:GHC) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Graham Holdings Company (NYSE:GHC) was in 29 hedge fund portfolios at the end of the third quarter of 2022, compared to 23 funds in the previous quarter. Graham Holdings Company (NYSE:GHC) delivered a -3.05% return in the past 3 months. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters Q4 2022 page.

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