Is it Worthy to Own Penumbra (PEN) Shares?

ClearBridge Investments, an investment management firm, published its “SMID Cap Growth Strategy” fourth quarter 2021 investor letter – a copy of which can be downloaded here. During the fourth quarter, the ClearBridge SMID Cap Growth Strategy outperformed its Russell 2500 Growth Index benchmark. On an absolute basis, the Strategy had gains across seven of the 10 sectors in which it was invested during the quarter (out of 11 sectors total), with the industrials sector the leading contributor, while the consumer discretionary and IT sectors were the primary detractors.  Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

ClearBridge Investments SMID Cap Growth Strategy, in its Q4 2021 investor letter, mentioned Penumbra, Inc. (NYSE:PEN) and discussed its stance on the firm. Founded in 2004, Penumbra, Inc. (NYSE:PEN) is an Alameda, California-based medical device company with a $8.0 billion market capitalization, and is currently spearheaded by its CEO, Adam Elsesser. Penumbra, Inc. (NYSE:PEN) delivered a -25.75% return since the beginning of the year, while its 12-month returns are down by -17.75%. The stock closed at $213.32 per share on March 28, 2022.

Here is what ClearBridge Investments SMID Cap Growth Strategy has to say about Penumbra, Inc. (NYSE:PEN) in its Q4 2021 investor letter:

“Our aversion toward early-stage biotech proved productive as did our approach of emphasizing the enablers and selected, profitable medical technology companies. Strong contributors during the fourth quarter included Penumbra, a developer of stents and related products to treat aneurysms that saw it shares recover from a product recall earlier in the year.”

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Our calculations show that Penumbra, Inc. (NYSE:PEN) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. Penumbra, Inc. (NYSE:PEN) was in 23 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 33 funds in the previous quarter. Penumbra, Inc. (NYSE:PEN) delivered a -22.84% return in the past 3 months.

In November 2021, we published an article that includes Penumbra, Inc. (NYSE:PEN) in the 10 Stocks in Focus After Posting Their Earnings Reports. 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.