Rhizome Partners, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. For the first quarter of 2021, Rhizome Partners generated a net loss of 9.9% versus a 4.6% loss for the Standard & Poor’s 500 Index and a 5.3% loss for the National Association of Real Estate Investment Trusts (NAREIT) Index. Try to spend some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022.
In its Q1 2022 investor letter, Rhizome Partners mentioned Univar Solutions Inc. (NYSE:UNVR) and explained its insights for the company. Founded in 1924, Univar Solutions Inc. (NYSE:UNVR) is a Downers Grove, Illinois-based chemicals company with a $5.1billion market capitalization. Univar Solutions Inc. (NYSE:UNVR) delivered an 8.01% return since the beginning of the year, while its 12-month returns are up by 11.18%. The stock closed at $30.62 per share on June 01, 2022.
Here is what Rhizome Partners has to say about Univar Solutions Inc. (NYSE:UNVR) in its Q1 2022 investor letter:
“Univar Solutions reported excellent results for the full year of 2021. More important, the company guided to $860-$890 million of EBITDA and $430-$445 million of free cash flow in 2022, with a net debt/EBITDA ratio between 2.0-2.5 times. The year 2022 will be the first normal year without any integration-related costs. We estimate that our cost basis in Univar is roughly 5.7 times 2022 P/FCF, with some lots purchased as low as 3.4 times during the Covid lows. We wish every high-quality business in our portfolio could be bought as cheaply as Univar.”
Our calculations show that Univar Solutions Inc. (NYSE:UNVR) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Univar Solutions Inc. (NYSE:UNVR) was in 33 hedge fund portfolios at the end of the first quarter of 2022, compared to 34 funds in the previous quarter. Univar Solutions Inc. (NYSE:UNVR) delivered a -0.87% return in the past 3 months. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.
Disclosure: None. This article is originally published at Insider Monkey.