Diamond Hill Capital, an investment management company, released its “Select Strategy” fourth-quarter 2023 investor letter. A copy of the same can be downloaded here. In Q4, the portfolio rose strongly outperforming the Russell 3000 Index and adding to calendar-year outperformance. The strategy returned 18.06% (net) in Q4 compared to a 12.07% return for the index. For the calendar year, the strategy returned 30.60% compared to a 25.96% return for the index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Diamond Hill Select Strategy featured stocks like Diamondback Energy, Inc. (NASDAQ:FANG) in the fourth quarter 2023 investor letter. Headquartered in Midland, Texas, Diamondback Energy, Inc. (NASDAQ:FANG) is an oil and natural gas company. On March 12, 2024, Diamondback Energy, Inc. (NASDAQ:FANG) stock closed at $184.52 per share. One-month return of Diamondback Energy, Inc. (NASDAQ:FANG) was 11.43%, and its shares gained 39.11% of their value over the last 52 weeks. Diamondback Energy, Inc. (NASDAQ:FANG) has a market capitalization of $32.929 billion.
Diamond Hill Select Strategy stated the following regarding Diamondback Energy, Inc. (NASDAQ:FANG) in its fourth quarter 2023 investor letter:
“Also among our bottom contributors (though its share price advanced in Q4) was new holding Diamondback Energy, Inc. (NASDAQ:FANG), which is a scaled, low-cost operator in the Permian Basin, one of the most prolific shale basins in the US. The company is focused on cost-efficiency, and management is aligned with shareholders as it focuses on prudent and sustainable management of the company’s assets.
Though shares were pressured in Q4 as oil prices globally declined amid a high-production environment, we believe the company is well-positioned for free cash-flow generation over the long term. We capitalized on Q4’s share-price weakness to initiate a position in a high-quality operator at a meaningful discount to our estimate of long-term intrinsic value.”
A pipeline worker overseeing the flow of crude oil into storage tanks from an integrated water system.
Diamondback Energy, Inc. (NASDAQ:FANG) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Diamondback Energy, Inc. (NASDAQ:FANG) was held by 42 hedge fund portfolios, compared to 44 in the previous quarter, according to our database.
We discussed Diamondback Energy, Inc. (NASDAQ:FANG) in another article and shared the list of oil stocks with the biggest upside. In addition, please check out our hedge fund investor letters Q4 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.
