Miller Value Partners, an investment management company, released its “Income Strategy” first-quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the strategy returned -3.51% net of fees compared to a 3.72 % return for the ICE Bank of America High Yield Index and 7.50% for the S&P 500 Index. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Miller Value Partners Income Strategy highlighted stocks like Western Alliance Bancorporation (NYSE:WAL) in the first quarter 2023 investor letter. Headquartered in Phoenix, Arizona, Western Alliance Bancorporation (NYSE:WAL) is a bank holding company. On April 17, 2023, Western Alliance Bancorporation (NYSE:WAL) stock closed at $32.82 per share. One-month return of Western Alliance Bancorporation (NYSE:WAL) was 12.36%, and its shares lost 56.16% of their value over the last 52 weeks. Western Alliance Bancorporation (NYSE:WAL) has a market capitalization of $3.598 billion.
Miller Value Partners Income Strategy made the following comment about Western Alliance Bancorporation (NYSE:WAL) in its Q1 2023 investor letter:
“We look for businesses that have undervalued yield in their capital structures and then own those securities until one of three things happens: 1) the market agrees with us, 2) the investment case changes, or 3) we find a better opportunity. The most significant change to the portfolio this quarter was the addition of a new name – Western Alliance Bancorporation (NYSE:WAL), a regional bank based in Phoenix, AZ, that saw its share price collapse with Silicon Valley Bank’s. Unlike SVB, Western Alliance has a diversified loan book with low exposure to the technology sector and is a much better underwriter; it is also very efficiently run, and management has been transparent in communicating with the market about the bank’s status throughout the turmoil. We funded it with a combination of other equities, and we exited a few financials whose valuations we thought were fair-to-high relative to other values we saw in the space.”
Western Alliance Bancorporation (NYSE:WAL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 26 hedge fund portfolios held Western Alliance Bancorporation (NYSE:WAL) at the end of the fourth quarter which was 25 in the previous quarter.
We discussed Western Alliance Bancorporation (NYSE:WAL) in another article and shared the list of high growth financial stocks to buy. In addition, please check out our hedge fund investor letters Q1 2023 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.
