Should You Already Consider Disposing Your Endava (DAVA) Stake?

Argosy Investors, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. The fund’s 2022 first-quarter performance was -15.1% in select accounts. The S&P 500 by comparison returned -4.4%. Argosy ended the quarter with 43% of the portfolio in cash and equivalents, which means that these results would have been worse without the allocation to cash. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Argosy Investors mentioned Endava plc (NYSE:DAVA) and explained its insights for the company. Founded in 2000, Endava plc (NYSE:DAVA) is a London, United Kingdom-based software development company with a $4.9 billion market capitalization. Endava plc (NYSE:DAVA) delivered a -47.25% return since the beginning of the year, while its 12-month returns are down by -21.60%. The stock closed at $88.58 per share on June 20, 2022.

Here is what Argosy Investors has to say about Endava plc (NYSE:DAVA) in its Q1 2022 investor letter:

“This quarter included some continued sales from prior quarters, most notably Endava plc (NYSE:DAVA) an IT outsourcer that have been very successful over my period of ownership but that had gotten quite expensive relative to their strong prospects. This risk management has served the portfolio well, as our trimming of the position allowed us to avoid significant losses that occurred later in Q1 as a result of the Ukraine War, where the company has some level of exposure.”

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Our calculations show that Endava plc (NYSE:DAVA) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Endava plc (NYSE:DAVA) was in 15 hedge fund portfolios at the end of the first quarter of 2022, compared to 14 funds in the previous quarter. Endava plc (NYSE:DAVA) delivered a -31.05% return in the past 3 months.

In June 2022, we also shared another hedge fund’s views on Endava plc (NYSE:DAVA) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

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