ClearBridge Investments: “We Continue to Like Deere (DE) and its Competitive Position”

ClearBridge Investments, an investment management firm, published its “Large Cap Value ESG Strategy” second quarter 2022 investor letter – a copy of which can be downloaded here. The ClearBridge Large Cap Value ESG Strategy underperformed its Russell 1000 Value Index benchmark during the second quarter. The Russell 1000 Value Index declined 12.21%, outperforming its growth counterpart by over 800 basis points. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, ClearBridge Large Cap Value ESG Fund mentioned Deere & Company (NYSE:DE) and explained its insights for the company. Founded in 1837, Deere & Company (NYSE:DE) is a Moline, Illinois-based manufacturing company with a $116.5 billion market capitalization. Deere & Company (NYSE:DE) delivered a 11.23% return since the beginning of the year, while its 12-month returns are up by 1.33%. The stock closed at $381.38 per share on August 24, 2022.

Here is what ClearBridge Large Cap Value ESG Fund has to say about Deere & Company (NYSE:DE) in its Q2 2022 investor letter:

“In the industrials sector, farm equipment manufacturer Deere (NYSE:DE) was down on cyclical concerns, with higher interest rates potentially impacting farmers’ purchase decisions. A selloff in agricultural commodities, albeit off their recent highs, along with ongoing supply chain disruption and overall inflationary pressures may present potential headwinds for agricultural equipment demand. We continue to like the business and Deere’s competitive position; its leadership position in precision agriculture brings benefits to both farmer profitability and the environment.”

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Our calculations show that Deere & Company (NYSE:DE) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Deere & Company (NYSE:DE) was in 54 hedge fund portfolios at the end of the second quarter of 2022, compared to 66 funds in the previous quarter. Deere & Company (NYSE:DE) delivered a 11.20% return in the past 3 months.

In August 2022, we also shared another hedge fund’s views on Deere & Company (NYSE:DE) 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.