Should You Consider Buying Hyster-Yale Materials Handling (HY) Shares?

Diamond Hill Capital, an investment management firm, published its “Diamond Hill Small Cap Fund” fourth-quarter 2021 investor letter – a copy of which can be downloaded here. The portfolio outpaced the Russell 2000® Index in the quarter, adding to full-year outperformance. Relative performance was aided by our below-benchmark health care exposure, particularly our lack of exposure to biotechnology stocks which were down nearly 13% in the quarter and represent almost half the sector’s weight Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Diamond Hill Small Cap Fund, in its Q4 2021 investor letter, mentioned Hyster-Yale Materials Handling, Inc. (NYSE: HY) and discussed its stance on the firm. Hyster-Yale Materials Handling, Inc. is a Cleveland, Ohio-based lift truck manufacturing company with a $645.8 million market capitalization. HY delivered a -6.62% return since the beginning of the year, while its 12-month returns are down by -55.14%. The stock closed at $38.38 per share on February 25, 2022.

Here is what Diamond Hill Small Cap Fund has to say about Hyster-Yale Materials Handling, Inc. in its Q4 2021 investor letter:

“Lift truck manufacturer Hyster-Yale’s pandemic-related operational malaise has been exacerbated by supply chain disruptions. Additionally, the management’s turnaround strategy has experienced delays. With little visibility into when the company may move past these issues and how long it may take for a strategic turnaround to gain traction, we decided to exit the holding to upgrade capital into higher conviction names.”

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Our calculations show that Hyster-Yale Materials Handling, Inc. (NYSE: HY) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. HY was in 8 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 12 funds in the previous quarter. Hyster-Yale Materials Handling, Inc. (NYSE: HY) delivered a -6.57% return in the past 3 months.

In November 2021, we published an article that includes HY in the 5 Dividend Stocks to Buy According to Marc Majzner’s Clearline Capital. You can find more than 100 investor letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

Disclosure: None. This article is originally published at Insider Monkey.