Should You Consider Investing in Sanofi (SNY)?

Dodge & Cox Stock Fund, an investment management firm, published its third-quarter 2021 investor letter – a copy of which can be downloaded here. The Dodge & Cox Stock Fund had a total return of –1.3% for the third quarter of 2021, compared to 0.6% for the S&P 500 Index and –0.8% for the Russell 1000 Value Index (R1000V). For the nine months ended September 30, 2021, the Fund had a total return of 24.4%, compared to 15.9% for the S&P 500 and 16.1% for the R1000V You can take a look at the fund’s top 5 holdings to have an idea about their best picks for 2021.

Dodge & Cox Funds, in its Q3 2021 investor letter, mentioned Sanofi (NYSE: SNY) and discussed its stance on the firm. Sanofi is a Paris, France-based multinational pharmaceutical company with a $125.3 billion market capitalization. SNY delivered a 2.55% return since the beginning of the year, while its 12-month returns are up by 5.02%. The stock closed at $49.83 per share on December 24, 2021.

Here is what Dodge & Cox Funds has to say about Sanofi  in its Q3 2021 investor letter:

“Sanofi (3.5% position) is a diversified, global pharmaceuticals company with leading positions in vaccines, consumer health products, rare diseases, and emerging markets. Despite a favorable business mix, Sanofi has underperformed its peers in new product development, commercial execution, and profit growth. A new management team, recruited in 2018-19, has made progress turning the company around. Its drug pipeline is improving, targets for higher margins are being met, and earnings per share are growing. Sanofi also pays a 4% dividend yield, maintains a strong balance sheet, and has relatively low exposure to potential pressures from U.S. drug pricing.”

Photo by Christina Victoria Craft on Unsplash

Based on our calculations, Sanofi (NYSE: SNY) was not able to clinch a spot in our list of the 30 Most Popular Stocks Among Hedge Funds. SNY was in 19 hedge fund portfolios at the end of the third quarter of 2021, compared to 16 funds in the previous quarter. Sanofi (NYSE: SNY) delivered a 2.28% return in the past 3 months.

Earlier this year, we also shared another hedge fund’s views on SNY in another article. You can find more than 100 investor letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q3 page.

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