Here’s What Makes New Jersey Resources Corporation (NJR) an Attractive Investment

Investment management company First Pacific Advisors recently released its “FPA Queens Road Small Cap Value Fund” third quarter 2022 investor letter. A copy of the same can be downloaded here. In the quarter, the fund returned -5.72% compared to a -4.61 % return for the Russell 2000 Value Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.

In the third-quarter letter, FPA discussed stocks like New Jersey Resources Corporation (NYSE:NJR). Headquartered in Wall, New Jersey, New Jersey Resources Corporation (NYSE:NJR) is an energy holding company that operates through Natural Gas Distribution, Clean Energy Ventures, Energy Services, and Storage and Transportation segments. On October 28, 2022, New Jersey Resources Corporation (NYSE:NJR) stock closed at $45.28 per share. One-month return of New Jersey Resources Corporation (NYSE:NJR) was 13.34% and its shares gained 16.70% of their value over the last 52 weeks. New Jersey Resources Corporation (NYSE:NJR) has a market capitalization of $4.357 billion.

FPA made the following comment about New Jersey Resources Corporation (NYSE:NJR) in its Q3 2022 investor letter:

New Jersey Resources Corporation (NYSE:NJR) is a regulated gas utility for Southern New Jersey. The company has slowly and we believe prudently diversified into midstream, marketing and services while continuing to grow the core utility. In our view, the current mid-teen earnings multiple and 4% dividend yield are reasonable for NJR’s consistent and growing earnings and dividend stream.”

New Jersey Resources Corporation (NYSE:NJR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 8 hedge fund portfolios held New Jersey Resources Corporation (NYSE:NJR) at the end of the second quarter, which was 12 in the previous quarter.

We discussed New Jersey Resources Corporation (NYSE:NJR) in another article and shared the list of companies that have just increased their dividends. In addition, please check out our hedge fund investor letters Q3 2022 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.