Here’s Why Madison Mid Cap Fund Elected to Sell Fortrea Holdings (FTRE)

Madison Investments, an investment advisor, released its “Madison Mid Cap Fund” third-quarter 2023 investor letter. A copy of the same can be downloaded here. In the third quarter, the fund (Class Y) returned -1.8% compared to a -4.7% decline for the Russell Midcap Index. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Madison Mid Cap Fund highlighted stocks like Fortrea Holdings Inc. (NASDAQ:FTRE) in the third quarter 2023 investor letter. Headquartered in Durham, North Carolina, Fortrea Holdings Inc. (NASDAQ:FTRE) provides clinical development and commercialization services. On October 17, 2023, Fortrea Holdings Inc. (NASDAQ:FTRE) stock closed at $30.96 per share. One-month return of Fortrea Holdings Inc. (NASDAQ:FTRE) was 7.31%, and its shares lost 7.19% of their value over the last three months. Fortrea Holdings Inc. (NASDAQ:FTRE) has a market capitalization of $2.749 billion.

Madison Mid Cap Fund made the following comment about Fortrea Holdings Inc. (NASDAQ:FTRE) in its Q3 2023 investor letter:

“Portfolio trading activity was limited in the quarter. We added to our position in Dollar Tree and sold three small positions that resulted from spin-offs out of existing holdings. Fortrea Holdings Inc. (NASDAQ:FTRE) is a clinical development and commercialization business that was spun out of Laboratory Corporation, and thus, we received a small ownership position. Given the elevated valuation the stock initially traded at, combined with an overly extended balance sheet and our small position size, we elected to sell.”

A scientist examining the results of a Phase III clinical trial for non-alcoholic steatohepatitis. Editorial photo for a financial news article. 8k. –ar 16:9

Fortrea Holdings Inc. (NASDAQ:FTRE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 3 hedge fund portfolios held Fortrea Holdings Inc. (NASDAQ:FTRE) at the end of second quarter which was 0 in the previous quarter.

We discussed Fortrea Holdings Inc. (NASDAQ:FTRE) in another article and shared Vltava’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.

Suggested Articles:

Disclosure: None. This article is originally published at Insider Monkey.