ClearBridge Investments, an investment management company, released its “ClearBridge SMID Cap Growth Strategy” first quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the strategy underperformed the Russell 2500 Growth benchmark. On an absolute basis, the strategy gained in six of the 10 sectors it was invested in during the quarter. The IT, industrials, and healthcare sectors were the leading contributors while the financials and energy detracted from the performance. Allocation effects contributed in relative terms but were offset by stock selection. In addition, please check the fund’s top five holdings to know its best picks in 2023.
ClearBridge SMID Cap Growth Strategy highlighted stocks like Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) in the Q1 2023 investor letter. Headquartered in San Diego, California, Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) offers pet health and wellness service. On May 12, 2023, Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) stock closed at $10.73 per share. One-month return of Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) was 11.42%, and its shares lost 41.56% of their value over the last 52 weeks. Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) has a market capitalization of $2.71 billion.
ClearBridge SMID Cap Growth Strategy made the following comment about Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) in its Q1 2023 investor letter:
“We also elected to sell our position in Petco Health and Wellness Company, Inc. (NASDAQ:WOOF), in the consumer discretionary sector, which offers pet consumables, supplies and services including veterinary care, grooming and training. We initially entered the position due to optimism surrounding the company’s strategy of transitioning its traditional retail establishments to holistic, one-stop destinations for pet products as well as onsite veterinary services, boarding, grooming and training. However, persistent inflationary and economic pressures have resulted in a slowing of customer acquisition, and the company’s shift away from higher margin supplies toward consumables has weighed on profitability.”
Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 21 hedge fund portfolios held Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) at the end of the fourth quarter, which was 16 in the previous quarter.
We discussed Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) in another article and shared the list of best pet stocks to buy. 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.
