Longleaf Partners, managed by Southeastern Asset Management, released its “Partners Fund” first quarter 2024 investor letter. A copy of the letter can be downloaded here. The fund returned 6.60% in the first quarter, compared to S&P’s 10.56% return and Russell 1000 Value’s 8.99% return. Strong performance across the portfolio holdings delivered significant reruns in the quarter where value investing faced challenges compared to growth strategies. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Longleaf Partners Fund highlighted stocks like Warner Bros. Discovery, Inc. (NASDAQ:WBD), in the first quarter 2024 investor letter. Warner Bros. Discovery, Inc. (NASDAQ:WBD), with a market capitalization of $19.823 billion, media and entertainment company. One-month return of Warner Bros. Discovery, Inc. (NASDAQ:WBD) was -4.49%, and its shares lost 33.47% of their value over the last 52 weeks. On May 20, 2024, Warner Bros. Discovery, Inc. (NASDAQ:WBD) stock closed at $8.09 per share.
Longleaf Partners Fund stated the following regarding Warner Bros. Discovery, Inc. (NASDAQ:WBD) in its first quarter 2024 investor letter:
“Warner Bros. Discovery, Inc. (NASDAQ:WBD) – Media conglomerate Warner Bros Discovery was also a detractor in the quarter. The market disliked the company’s lack of guidance for 2024. While there are tentative signs that the advertising market is slightly improving, we understand why the market remains in show-me mode on this part of the business. The Warner Bros Studio has gone from a big hit with the Barbie movie last summer to some misses lately. As we have discussed before, April 2024 represents the two-year anniversary of Warner Bros and Discovery merging. After this date, the company will have more options to go more on offense. Unfortunately, this is overlooked in the near term by daily Paramount headlines. We are ready to see how the rest of this year plays out. WBD still generates substantial FCF and is de-levering its balance sheet rapidly. The company remains dramatically undervalued today, but we need to see more positives before increasing our position further.”
A movie theater auditorium filled with an audience enjoying a blockbuster film.
Warner Bros. Discovery, Inc.’s (NASDAQ:WBD) trailing 12 months revenue is $40.58 billion and year over year quarterly revenue growth rate is -6.90%. In the first quarter Warner Bros. Discovery, Inc.(NASDAQ:WBD) reported revenue of $9,958 million, a 7% decrease compared to previous year quarter.
Warner Bros. Discovery, Inc. (NASDAQ:WBD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 56 hedge fund portfolios held Warner Bros. Discovery, Inc. (NASDAQ:WBD) at the end of the fourth quarter which was 63 in the previous quarter.
In another article, we discussed Warner Bros. Discovery, Inc. (NASDAQ:WBD) and shared Silver Ring Value Partners’ views on the company. Longleaf Partners Fund stated in the previous quarter that it was confident in the Bros. Discovery, Inc.’s (NASDAQ:WBD) ability to perform moving forward. In addition, please check out our hedge fund investor letters Q1 2024 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.
