Is it a Good Time to Sell Your MBIA (MBI) Shares?

Horos Asset Management, an investment management firm, published its fourth-quarter 2021 investor letter – a copy of which can be seen here. Since the inception of Horos (May 21, 2018), Horos Value Internacional has returned 20.6%, below the 60.4% gain of its benchmark, while Horos Value Iberia has returned 10.2%, outperforming the 1.3% gain of its index. Moreover, since 2012, returns stand at 195% for the international strategy and 176% for the Iberian strategy, compared to 230% and 71% in their benchmark indices, respectively. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Horos Asset Management, in its Q4 2021 investor letter, mentioned MBIA Inc. (NYSE:MBI) and discussed its stance on the firm. Founded in 1973, MBIA Inc. (NYSE:MBI) is a Harrison, New York-based financial services company with a $858.9 million market capitalization, and is currently spearheaded by its CEO, William C. Fallon. MBIA Inc. (NYSE:MBI) delivered a -0.28)% return since the beginning of the year, while its 12-month returns are up by 65.22%. The stock closed at $15.74 per share on March 28, 2022.

Here is what Horos Asset Management has to say about MBIA Inc. (NYSE:MBI) in its Q4 2021 investor letter:

“We completely sold our stake in MBIA after its good performance during the period. Although we still see upside and we believe that an eventual corporate transaction will come (the management team itself wants it to), time is working against its shareholders, so we are demanding a greater margin of safety in this investment.”

Investments, Finance

Our calculations show that MBIA Inc. (NYSE:MBI) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. MBIA Inc. (NYSE:MBI) was in 17 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 16 funds in the previous quarter. MBIA Inc. (NYSE:MBI) delivered a 26.26% return in the past 3 months.

In September 2021, we also shared another hedge fund’s views on MBIA Inc. (NYSE:MBI) in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

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