Ric Dillon’s Diamond Hill Capital Management is an independent investment management firm. It was founded in 2000 and is based out of Columbus in Ohio. The fund offers its services to individuals and institutions such as mutual funds and exchange traded funds. Finance stocks form the biggest chunk of its portfolio, followed by Consumer Discretionary and Health Care stocks.
Diamond Hill Capital Management shuffled its portfolio during the September quarter. Some of the major movements were made in stocks such as Axalta Coating Systems Ltd (NYSE:AXTA), Hartford Financial Services Group Inc (NYSE:HIG), Coty Inc. (NYSE:COTY), SYSCO Corporation (NYSE:SYY) and Prudential Financial Inc (NYSE:PRU).
The smart money sentiment is an important metric that can be used to assess the long-term profitability of a stock. While there are thousands of stocks trading daily on the market, taking a look at what hedge funds think about certain companies can narrow down the search significantly. At Insider Monkey, we track more than 700 hedge funds, whose 13F filings we analyze as part of our small-cap strategy. Our research has shown that imitating a portfolio that includes the 15 most popular small-cap stocks among hedge funds can outperform the market by as much as 95 basis points per month on average (see more details here).
Axalta Coating Systems Ltd (NYSE:AXTA) stock dipped 3% this year so far. The stock accounted for 1.33% of Diamond Hill Capital Management’s portfolio. For the quarter ended on 30th September, 2016, the investment fund boosted its holding of the stock by 154% to 7.63 million shares. The fund’s holding amounted to $215.705 million. Of the hedge funds in our database, 43 funds held $2.16 billion worth of Axalta Coating Systems shares in their portfolio at the end of the June quarter, which equals to 34.20% of the outstanding shares. The company announced building its new coating manufacturing and Logistics facility in Nanjing, China. The project is expected to be finished by the end of 2018. The company plans to streamline the powder coating manufacturing process with this production facility.
Hartford Financial Services Group Inc (NYSE:HIG) stock gained 12% in this year so far. Diamond Hill Capital Management initiated its position in the stock by buying 3.74 million shares during the quarter ended on 30th September, 2016. The fund held $160 million worth of Hartford Financial Services Group stock at the end of the quarter, forming 0.99% of its portfolio. Among the funds we track, 34 funds held $1.05 billion worth of Hartford Financial Services Group’s stock in aggregate at the end of June, having amassed 6% of its outstanding stock. The company announced its third quarter adjusted operating earnings at $1.06 per share. Its quarterly revenue stood at $4.7 billion, up 13 percent on year over year basis.