Miller Value Partners, an investment management firm, published its “Miller Value Partners Income Strategy” second-quarter 2022 investor letter – a copy of which can be downloaded here. The Miller Income Strategy lost 17.7% in the second quarter of 2022, underperforming the 10.0% decline for the ICE BofA US High Yield Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.
In its Q2 2022 investor letter, Miller Value Partners Income Strategy mentioned Endo International plc (NASDAQ:ENDP) and explained its insights for the company. Founded in 1997, Endo International plc (NASDAQ:ENDP) is a Dublin, Ireland-based pharmaceutical company with a $122.7 million market capitalization. Endo International plc (NASDAQ:ENDP) delivered a -86.12% return since the beginning of the year, while its 12-month returns are down by -89.56%. The stock closed at $0.52 per share on August 01, 2022.
Here is what Miller Value Partners Income Strategy has to say about Endo International plc (NASDAQ:ENDP) in its Q2 2022 investor letter:
“Endo International PLC 6.0 6/28 was the top detractor for the quarter, falling 86.5%. Endo reported 1Q22 revenues of $652.3 million, -9.1% Y/Y, ahead of consensus of $631.5 million, and Adjusted EBITDA of $310.9 million, -14.7% Y/Y, exceeding analyst expectations for $264.5 million. Management provided 2Q22 guidance for revenues of $500-525 million, well below consensus of $649 million, and Adjusted EBITDA of $110-125 million, missing analyst expectations for $291 million. The company also announced on 6/30 that it elected to not make an interest payment of approximately $38 million to the 6% Senior Notes due 2028. Following this decision, Endo entered a 30-day grace period to make the interest payment before such non-payment constitutes an event of default. Endo disclosed in a regulatory filing that it plans to continue holding discussions with creditors regarding the company’s strategic alternatives, and that this decision to enter the grace period was not driven by liquidity constraints, as the company held ~$1.4 billion in cash as of 3/31/22.”
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Our calculations show that Endo International plc (NASDAQ:ENDP) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Endo International plc (NASDAQ:ENDP) was in 22 hedge fund portfolios at the end of the second quarter of 2022, compared to 20 funds in the previous quarter. Endo International plc (NASDAQ:ENDP) delivered a -75.95% return in the past 3 months.
In May 2022, we also shared another hedge fund’s views on Endo International plc (NASDAQ:ENDP) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.
Disclosure: None. This article is originally published at Insider Monkey.
