Ariel Investments, an investment management company, released its “Ariel Focus Fund” first-quarter investor letter. A copy of the same can be downloaded here. The economy started showing signs of cooling and credit conditions have started to tighten, which would help to reduce the inflation. In the first quarter, the fund was +0.35% up, compared to a +1.01% return for the Russell 1000 Value Index and a +7.50% return for the S&P 500 Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Ariel Focus Fund highlighted stocks like Madison Square Garden Entertainment Corp. (NYSE:MSGE) in the first quarter 2023 investor letter. Headquartered in New York, New York, Madison Square Garden Entertainment Corp. (NYSE:MSGE) engages in live entertainment business. On May 31, 2023, Madison Square Garden Entertainment Corp. (NYSE:MSGE) stock closed at $35.09 per share. One-month return of Madison Square Garden Entertainment Corp. (NYSE:MSGE) was 4.25%. Madison Square Garden Entertainment Corp. (NYSE:MSGE) has a market capitalization of $1.817 billion.
Ariel Focus Fund made the following comment about Madison Square Garden Entertainment Corp. (NYSE:MSGE) in its Q1 2023 investor letter:
“Entertainment holding company, Madison Square Garden Entertainment Corp. (NYSE:MSGE) advanced following an earnings beat driven by strength in its core entertainment business, including the Christmas Spectacular. The company is moving forward with the spin-off of its live entertainment business which will be named Madison Square Garden Entertainment. The remaining company will be called MSG Sphere Corporation and will include MSG Networks, TAO Hospitality Group and MSG Sphere, its upcoming Las Vegas property. In our view, this divestiture, which is expected to close in April, will address different investor bases. We think MSG Sphere Corporation will offer higher growth plus reasonable cash flow initiatives. Meanwhile, although the remaining assets are generally slower growing, they are also stable cash flow generators which should enable deleveraging. Looking ahead, we remain bullish on premium live entertainment, digital access to sports, as well as the opportunity at the Sphere. We believe the underlying value of MSGE’s physical assets coupled with management’s expertise make this an attractive opportunity.”
Pixabay/Public Domain
Madison Square Garden Entertainment Corp. (NYSE:MSGE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 19 hedge fund portfolios held Madison Square Garden Entertainment Corp. (NYSE:MSGE) at the end of first quarter 2023 which was 20 in the previous quarter.
We discussed Madison Square Garden Entertainment Corp. (NYSE:MSGE) in another article and shared McIntyre Partnership’s views on the company. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
Suggested Articles:
- 16 Largest Pig Iron Producing Countries
- 25 U.S. States With the Highest Beer Consumption per Capita
- 25 Most Powerful Militaries in the World in 2023
Disclosure: None. This article is originally published at Insider Monkey.
