Headwaters Capital, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. The Headwaters Capital portfolio declined by -10.9% for the first quarter of 2022 compared to the -5.7% decline of the Russell Mid Cap index for the same period. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.
In its Q1 2022 investor letter, Headwaters Capital mentioned Teleflex Incorporated (NYSE:TFX) and explained its insights for the company. Founded in 1943, Teleflex Incorporated (NYSE:TFX) is a Wayne, Pennsylvania-based specialty medical devices provider with a $13.3 billion market capitalization. Teleflex Incorporated (NYSE:TFX) delivered a -13.05% return since the beginning of the year, while its 12-month returns are down by -31.54%. The stock closed at $285.62 per share on April 29, 2022.
Here is what Headwaters Capital has to say about Teleflex Incorporated (NYSE:TFX) in its Q1 2022 investor letter:
“The Teleflex position was exited in Q1 largely due to outperformance of the shares relative to the market and more compelling investment opportunities elsewhere. Additionally, sales of the company’s Urolift product are trending below my original forecast, which could lead to slower growth for the company going forward. Q1 ’22 was a period of heightened uncertainty and elevated volatility, which presented an opportunity to concentrate capital into the highest conviction ideas in the portfolio where visibility into outcomes and valuation were most certain. The intimate familiarity with these companies and their end markets provided the conviction to add capital while the broader market was declining. While the portfolio seeks to minimize portfolio turnover, broad market sell-offs such as that experienced in Q1 tend to create unique buying and selling opportunities where company specific fundamentals are largely overshadowed by bigger macro trends. As a result, clients likely noticed some trimming and adding to positions that were not discussed above.”
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Our calculations show that Teleflex Incorporated (NYSE:TFX) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Teleflex Incorporated (NYSE:TFX) was in 32 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 26 funds in the previous quarter. Teleflex Incorporated (NYSE:TFX) delivered a -7.92% return in the past 3 months.
In January 2022, we also shared another hedge fund’s views on Teleflex Incorporated (NYSE:TFX) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.
Disclosure: None. This article is originally published at Insider Monkey.
