Diamond Hill Capital, an investment management company, released its “Large Cap Strategy” first-quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the strategy underperformed and returned -0.75% (net) compared to a 7.46% return for the Russell 1000 Index. In addition, you can check the top 5 holdings of the strategy to know its best picks in 2023.
Diamond Hill Large Cap Strategy highlighted stocks like Regal Rexnord Corporation (NYSE:RRX) in the Q1 2023 investor letter. Headquartered in Beloit, Wisconsin, Regal Rexnord Corporation (NYSE:RRX) manufactures motors, bearings, gearing, conveying, blowers, electric components, and couplings globally. On May 11, 2023, Regal Rexnord Corporation (NYSE:RRX) stock closed at $126.43 per share. One-month return of Regal Rexnord Corporation (NYSE:RRX) was -3.97%, and its shares gained 1.29% of their value over the last 52 weeks. Regal Rexnord Corporation (NYSE:RRX) has a market capitalization of $8.518 billion.
Diamond Hill Large Cap Strategy made the following comment about Regal Rexnord Corporation (NYSE:RRX) in its Q1 2023 investor letter:
“Regal Rexnord Corporation (NYSE:RRX) is a manufacturer of electric motors and motion control products for industrial and HVAC equipment. We believe a new management team has Regal on a path to significant operating improvements after adopting a more disciplined approach while the merger with Rexnord’s motion control segment and the recently announced acquisition of Altra Industrial Motion dramatically increases the size of its best business and provides significant opportunities for cost and revenue synergies. Furthermore, Regal Rexnord is in an excellent position to benefit from secular tailwinds such as an increasing focus on energy efficiency, automation, re-shoring and electrification. With the stock trading at a significant discount to our estimate of intrinsic value, we view it as a compelling long-term opportunity.”
Regal Rexnord Corporation (NYSE:RRX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 38 hedge fund portfolios held Regal Rexnord Corporation (NYSE:RRX) at the end of the fourth quarter, which was 29 in the previous quarter.
We discussed Regal Rexnord Corporation (NYSE:RRX) in another article and shared ClearBridge Sustainability Leaders Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q1 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.
