Is it a Wise Choice to Invest in Hillenbrand (HI)?

Bernzott Capital Advisors, an investment management firm, published its “US Small Cap Value Fund” fourth quarter 2021 investor letter – a copy of which can be downloaded here. The portfolio rose 4.2% (gross) slightly underperforming the Russell 2000 Value’s advance of 4.3%, and somewhat less than the Russell 2500 Value’s gain of 6.3%. Industrials, the sector with the largest allocation at 35.2% of the portfolio, was the largest positive contributor to returns led by capital goods holdings. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Bernzott Capital Advisors US Small Cap Value, in its Q4 2021 investor letter, mentioned Hillenbrand, Inc. (NYSE: HI) and discussed its stance on the firm. Hillenbrand, Inc. is a Batesville, Indiana-based burial casket manufacturing company with a $3.3 billion market capitalization. HI delivered an 11.58% return since the beginning of the year, while its 12-month returns are up by 1.73%. The stock closed at $45.97 per share on February 4, 2022.

Here is what Bernzott Capital Advisors US Small Cap Value has to say about Hillenbrand, Inc. in its Q4 2021 investor letter:

“Hillenbrand (HI): This diversified industrial company reported stronger than expected earnings, revenues and cash flows across all of its business lines even in the face of significant inflation, supply chain disruptions and labor market shortages. Backlog continued to remain strong, growing 42% when compared to year ago levels. In addition to the strong results, the company announced an increase in its dividend (1.6% yield) as well as a new $300 million share repurchase program on the heels of a previously authorized $150 million repurchase. The balance sheet has been deleveraged, and the company is now well positioned to resume its acquisition program.”

Photo by adrianna geo on Unsplash

Our calculations show that Hillenbrand, Inc. (NYSE: HI) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. HI was in 13 hedge fund portfolios at the end of the third quarter of 2021, compared to 14 funds in the previous quarter. Hillenbrand, Inc. (NYSE: HI) delivered a -6.30% return in the past 3 months.

In August 2021, we also shared another hedge fund’s views on HI 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.