ClearBridge Investments, an investment management company, released its “ClearBridge All Cap Value Strategy” third quarter 2023 investor letter. A copy of the same can be downloaded here. The strategy outperformed the benchmark, the Russell 3000 Value Index, in the third quarter. Favorable stock selection in the consumer discretionary, healthcare, and utilities sectors, as well as an overweight allocation to the energy sector, helped the strategy to mitigate the headwinds from financial holding. In addition, please check the fund’s top five holdings to know its best picks in 2023.
ClearBridge All Cap Value Strategy highlighted stocks like Euronet Worldwide, Inc. (NASDAQ:EEFT) in the Q3 2023 investor letter. Headquartered in Leawood, Kansas, Euronet Worldwide, Inc. (NASDAQ:EEFT) payment and transaction processing and distribution solutions provider. On December 12, 2023, Euronet Worldwide, Inc. (NASDAQ:EEFT) stock closed at $91.66 per share. One-month return of Euronet Worldwide, Inc. (NASDAQ:EEFT) was 9.34%, and its shares lost 2.05% of their value over the last 52 weeks. Euronet Worldwide, Inc. (NASDAQ:EEFT) has a market capitalization of $4.227 billion.
ClearBridge All Cap Value Strategy made the following comment about Euronet Worldwide, Inc. (NASDAQ:EEFT) in its Q3 2023 investor letter:
Our financials holdings faced a number of company-specific challenges during the quarter, which weighed on their performance relative to the benchmark. For example, Euronet Worldwide, Inc. (NASDAQ:EEFT), a global leader in providing payment and transaction processing through ATM networks, point-of-sale management, and fraud management, revised its earnings outlook lower as European economic weakness weighed on transactions at its ATM business during the peak travel season in the third quarter. This naturally led to concerns about a quickening shift from cash to electronic payments, but we believe the company will emerge a winner as this transition takes place. Its ATMs remain the most profitable and will continue to take share from legacy operators like banks that will increasingly either remove their machines from the market or look to Euronet for outsourcing their ATM operations. This will allow the company to profitably grow in mature markets as data has shown consistently that cash penetration remains healthy across jurisdictions farther along in this transition. Lastly, the company will increasingly lean into ATM deployment in emerging market tourist locations with much longer growth runways and lower risk of electronic payments mix shifts.
A close-up of a hand withdrawing cash from an ATM, symbolizing the company’s deposit products.
Euronet Worldwide, Inc. (NASDAQ:EEFT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 28 hedge fund portfolios held Euronet Worldwide, Inc. (NASDAQ:EEFT) at the end of third quarter which was 29 in the previous quarter.
We discussed Euronet Worldwide, Inc. (NASDAQ:EEFT) in another article and shared Meridian Growth Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 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.
