Should You Now Consider Selling Your Ball Corp. (BALL) Position?

NZS Capital, an investment management firm, published its “Growth Equity Fund” second-quarter 2022 investor letter – a copy of which can be downloaded here. The NZS Capital Growth Equity strategy was down 23.44% net of fees in the second quarter of 2022; in comparison, its global market index benchmark declined by 15.64%. Year to date, the strategy was down 31.62% net while the index fell by 20.01%. Since inception, the strategy has cumulatively risen 35.33% net compared to a 9.86% return in the benchmark. The NZS Capital Select strategy was down 22.70% net in the second quarter of 2022, with a net year-to-date decline of 29.52% and a cumulative net gain of 45.84% since inception. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, NZS Capital Growth Equity Fund mentioned Ball Corporation (NYSE:BALL) and explained its insights for the company. Founded in 1880, Ball Corporation (NYSE:BALL) is a Broomfield, Colorado-based aerospace company with a $23.2 billion market capitalization. Ball Corporation (NYSE:BALL) delivered a -24.37% return since the beginning of the year, while its 12-month returns are down by -7.87%. The stock closed at $72.81 per share on August 03, 2022.

Here is what NZS Capital Growth Equity Fund has to say about Ball Corporation (NYSE:BALL) in its Q2 2022 investor letter:

“We believe the stock valuations of these companies, and their sectors as a whole, reflect an overly pessimistic view of their long-term growth potential and an underestimation of the deflationary forces they bring to the economy, and we therefore added to many existing positions. Aluminum can maker and aerospace company Ball detracted from performance over fears consumers would curtail their large, pandemic-era grocery store beverage purchases.”

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Our calculations show that Ball Corporation (NYSE:BALL) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Ball Corporation (NYSE:BALL) was in 37 hedge fund portfolios at the end of the second quarter of 2022, compared to 32 funds in the previous quarter. Ball Corporation (NYSE:BALL) delivered a -12.51% return in the past 3 months.

In January 2022, we also shared another hedge fund’s views on Ball Corporation (NYSE:BALL) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

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