Pershing Square Holdings, an investment holding company, released its fourth quarter 2023 investor letter. A copy of the same can be downloaded here. During the year, the fund generated a NAV performance of 26.7% versus 26.3% for the principal benchmark the S&P 500 index. In 2023, the portfolio companies performed exceptionally well, significantly increasing their stock prices. Portfolio companies sustained growth in revenue, profitability, and shareholder value despite two conflicts and a prolonged increase in interest rates. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Pershing Square Holdings featured stocks like Lowe’s Companies, Inc. (NYSE:LOW) in the fourth quarter 2023 investor letter. Headquartered in Mooresville, North Carolina, Lowe’s Companies, Inc. (NYSE:LOW) is a home improvement retailer. On March 26, 2024, Lowe’s Companies, Inc. (NYSE:LOW) stock closed at $251.42 per share. One-month return of Lowe’s Companies, Inc. (NYSE:LOW) was 5.28%, and its shares gained 30.99% of their value over the last 52 weeks. Lowe’s Companies, Inc. (NYSE:LOW) has a market capitalization of $143.858 billion.
Pershing Square Holdings stated the following regarding Lowe’s Companies, Inc. (NYSE:LOW) in its fourth quarter 2023 investor letter:
“As discussed in the February Annual Investor Presentation, we exited our investment in Lowe’s Companies, Inc. (NYSE:LOW) after a highly successful, nearly six-year holding period, thereby freeing up capital for new opportunities. Lowe’s is a high-quality business with significant long-term earnings growth potential that has been successfully executing a multi-faceted business transformation in recent years.
We initiated the position in 2018 on the thesis that Lowe’s refreshed board of directors would hire a world-class management team capable of closing the substantial operational and financial performance gap that then-existed relative to its direct competitor, Home Depot. We viewed the operating discrepancies with Home Depot to be largely a byproduct of poor focus and suboptimal management which could be fixed with excellent new leadership and renewed focus on operational excellence…” (Click here to read the full text)
A family excitedly browsing through the aisles of a home improvement retail store.
Lowe’s Companies, Inc. (NYSE:LOW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Lowe’s Companies, Inc. (NYSE:LOW) was held by 68 hedge fund portfolios, compared to 63 in the previous quarter, according to our database.
We discussed Lowe’s Companies, Inc. (NYSE:LOW) in another article and shared the list of best passive income stocks to buy according to hedge funds. 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.
