Macro Economic Uncertainty Impacted Endava plc (DAVA) in Q4

Baron Funds, an investment management company, released its “Baron FinTech Fund” fourth quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund gained 4.98% (Institutional Shares) compared to a 7.56% gain for the S&P 500 benchmark index and a 3.91% return for the FactSet Global FinTech Index. Favorable stock selection in Information Services, Payments, and Capital Markets contributed to the gains of the fund in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Baron FinTech Fund highlighted stocks like Endava plc (NYSE:DAVA) in its Q4 2022 investor letter. Headquartered in London, the United Kingdom, Endava plc (NYSE:DAVA) is a technology services provider. On February 17, 2023, Endava plc (NYSE:DAVA) stock closed at $82.63 per share. One-month return of Endava plc (NYSE:DAVA) was 4.39%, and its shares lost 39.18% of their value over the last 52 weeks. Endava plc (NYSE:DAVA) has a market capitalization of $4.703 billion.

Baron FinTech Fund made the following comment about Endava plc (NYSE:DAVA) in its Q4 2022 investor letter:

Endava plc (NYSE:DAVA) provides outsourced software development for business customers. Shares fell despite strong business momentum with 33% revenue growth in the recent quarter and slightly higher financial guidance for the fiscal year. The share price decline likely reflected investor concern about macroeconomic uncertainty weighing on client demand. We continue to own the stock because we believe Endava will continue gaining share in a large global market for IT services.”

Endava plc (NYSE:DAVA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 13 hedge fund portfolios held Endava plc (NYSE:DAVA) at the end of the third quarter, which was 13 in the previous quarter.

We discussed Endava plc (NYSE:DAVA) in another article and shared Baron Fund’s views on the company. In addition, please check out our hedge fund investor letters Q4 2022 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.