Massif Capital, an investment management company, released its “Massif Capital Real Assets Strategy” first-quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the strategy returned -2.69% net of fees. The first quarter was challenging for the strategy, its short position was down 5.6% and its long position gained 3.5%. In addition, you can check the top 5 holdings of the strategy to know its best picks in 2023.
Massif Capital highlighted stocks like Lithium Americas Corp. (NYSE:LAC) in the first quarter 2023 investor letter. Headquartered in Vancouver, Canada, Lithium Americas Corp. (NYSE:LAC) is a resource company that explores lithium deposits. On May 4, 2023, Lithium Americas Corp. (NYSE:LAC) stock closed at $18.73 per share. One-month return of Lithium Americas Corp. (NYSE:LAC) was -1.32%, and its shares lost 28.37% of their value over the last 52 weeks. Lithium Americas Corp. (NYSE:LAC) has a market capitalization of $3.008 billion.
Massif Capital made the following comment about Lithium Americas Corp. (NYSE:LAC) in its Q1 2023 investor letter:
“During the first quarter, Lithium Americas Corp. (NYSE:LAC) had several positive events, including a favorable record of decision ruling for Thacker Pass, paving the way for construction of the mine to start, a revised Thacker resource/cost estimates, and GM’s financing/offtake agreement. Even though LAC is non-producing and its stock is down 34% over the past year (compared to the larger lithium producer’s 3%), the stock remains one of our favorites with multiple catalysts (and still up roughly 600% from our initial purchase price):
- Cauchari-Olaroz Stage I first production in sight and Stage II initiation by year-end,
- Substantial earthworks beginning 2H23 at Thacker,
- Growth potential with greater guidance on Pastos Grandes, and
- Formal separation of North American Assets and Argentine assets into separate publicly traded entities
As Cauchari-Olaroz in Argentina and Thacker Pass come online, volumes will effectively be marked at leading-edge pricing. As such, it seems prudent to continue underwriting growth, especially given the firm’s experienced management team with a visible pipeline to incremental supply before 2025. These qualities make one or both post-separation entities attractive buyout targets for numerous suitors…” (Please click here to read the full text)
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Lithium Americas Corp. (NYSE:LAC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 14 hedge fund portfolios held Lithium Americas Corp. (NYSE:LAC) at the end of the fourth quarter which was 14 in the previous quarter.
We discussed Lithium Americas Corp. (NYSE:LAC) in another article and shared Massif Capital’s views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
