Mario Gabelli’s Top 5 Stock Picks

3. CNH Industrial N.V. (NYSE:CNHI)

GAMCO Investors’ Stake Value: $151,306,239

Number of Hedge Fund Holders: 32

CNH Industrial N.V. (NYSE:CNHI) is one of Mario Gabelli’s top and favorite stock picks. His hedge fund has a position worth $151.3 million in the company, as of December 31. On February 7, CNH Industrial N.V. (NYSE:CNHI) posted earnings for the fiscal fourth quarter of 2022. The company generated a revenue of $877.58 million and reported an EPS of $2.63, outperforming EPS expectations by $0.45.

CNH Industrial N.V. (NYSE:CNHI) was held by 32 hedge funds at the end of the fourth quarter of 2022. These funds held stakes worth $1.1 billion in the company, up from $755 million in the preceding quarter with 28 positions. The hedge fund sentiment for the stock is positive.

Here is what Artisan Partners had to say about CNH Industrial N.V. (NYSE:CNHI) in its Q4 2022 investor letter:

“Among our top contributors were CNH Industrial N.V. (NYSE:CNHI), Lattice Semiconductor and Ingersoll Rand. CNH Industrial is the second largest global agricultural equipment company (primarily tractors and combines) with leading brands Case IH and New Holland. The company reported top-line growth of 23.9% in the quarter, which was meaningfully ahead of expectations, and shares rallied on the news. After a long period of relatively stagnant technological developments in the agricultural field, CNH is on a journey to meaningfully expand their technological offerings in areas such as precision agriculture and autonomous technology. Our research indicates that the fleet of agricultural equipment in the world is as old as it has ever been going back 40 years, meaning there is pent-up demand at a time when there is new technological innovation. We believe this sets up CNH for a long-term secular growth opportunity. Last, in our view, additional internal catalysts—a new CEO who previously led an impressive turnaround at Polaris, greater pricing discipline and improvements to its supply chain efficiency—will enable it to narrow its margin gap with competitor John Deere in the periods ahead.”