5 Stock Picks of Michael O Keefe’s 12th Street Asset Management

3. Graphic Packaging Holding Company (NYSE:GPK)

12th Street Asset Management’s Stake Value: $34.4 million

Percentage of 12th Street Asset Management’s 13F Portfolio: 7.6%

Number of hedge fund holdings: 28

Graphic Packaging Holding Company (NYSE:GPK) provides packaging solutions to food, beverages, and other consumer product firms. It is headquartered in Atlanta, Georgia, United States, and was founded in 2007.

Mr. O’Keefe’s investment firm held 1.8 million Graphic Packaging Holding Company (NYSE:GPK) shares by the end of the third quarter of 2021 which were worth $34.4 million and represent 7.6% of its portfolio. 28 of the 867 hedge funds surveyed by Insider Monkey held a stake in the company by Q3 2021 end.

Graphic Packaging Holding Company (NYSE:GPK) reported $1.78 billion in revenue and $0.24 in GAAP EPS for its Q3, missing analyst estimates for both. The company’s price target was increased to $25 by UBS in a November 2021 analyst note, which indicated that the company’s margins will improve next year.

In its Q3 2021 investor letter, L1 Capital mentioned the company and outlined that:

“We reinvested the proceeds from the partial sale of Eagle Materials by increasing the Fund’s position in Graphic Packaging. We expect the company to deliver strong earnings and cashflow over coming years, and the company remains undervalued at its current share price.”