Multiple Reasons to Sell Clarivate Plc (CLVT) Stock

Madison Funds, managed by Madison Investment Management, released its “Madison Mid Cap Fund” fourth-quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund increased by 9.6% compared to a 9.2% increase in the Russell Midcap Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.

Madison Funds highlighted stocks like Clarivate Plc (NYSE:CLVT) in its Q4 2022 investor letter. Headquartered in London, the United Kingdom, Clarivate Plc (NYSE:CLVT) is an information service and analytics company. On January 12, 2023, Clarivate Plc (NYSE:CLVT) stock closed at $9.90 per share. One-month return of Clarivate Plc (NYSE:CLVT) was 12.76%, and its shares lost 47.06% of their value over the last 52 weeks. Clarivate Plc (NYSE:CLVT) has a market capitalization of $6.674 billion.

Madison Funds made the following comment about Clarivate Plc (NYSE:CLVT) in its fourth-quarter 2022 investor letter:

Clarivate Plc (NYSE:CLVT) maintains industry leading positions selling data and analytics to the academic, scientific, and intellectual property markets. The business model is attractive given its multi-year subscription contracts that provide predictable recurring revenue. However, management’s efforts over the past few years to enhance organic growth via various initiatives have not met expectations. Further, greater-than-expected acquisition activity has extended the balance sheet. With new management at the helm, there is potential for improved execution on organic growth expansion, although, this will likely take some time, and the outcome is far from certain. Thus, we stepped aside and allocated the funds to better ideas.”

Clarivate Plc (NYSE:CLVT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 41 hedge fund portfolios held Clarivate Plc (NYSE:CLVT) at the end of the third quarter, which was 31 in the previous quarter.

We discussed Clarivate Plc (NYSE:CLVT) in another article and shared Baron Funds’ 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.