Ariel Investments, an investment management company, released its “Ariel Appreciation Fund” second-quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the Ariel Appreciation fund gained +5.04% ahead of the Russell Midcap Value Index’s +3.86% return while trailing the Russell Midcap Index’s +4.76% return. The average annual returns of Ariel Appreciation Fund (investor class) for the 1-, 5-, and 10-year periods ended June 30, 2023, were +15.95%, +6.14%, and +8.01%, respectively. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Ariel Appreciation Fund highlighted stocks like Paramount Global (NASDAQ:PARA) in the second quarter 2023 investor letter. Headquartered in New York, New York, Paramount Global (NASDAQ:PARA) is a media and entertainment company. On September 8, 2023, Paramount Global (NASDAQ:PARA) stock closed at $13.66 per share. One-month return of Paramount Global (NASDAQ:PARA) was -8.51%, and its shares lost 43.69% of their value over the last 52 weeks. Paramount Global (NASDAQ:PARA) has a market capitalization of $9.03 billion.
Ariel Appreciation Fund made the following comment about Paramount Global (NASDAQ:PARA) in its Q2 2023 investor letter:
“We also added former holding Paramount Global (NASDAQ:PARA)) in the period. Shares tumbled following a lackluster earnings report and subsequent dividend cut, presenting an attractive entry point in this leading entertainment company. PARA’s Filmed Entertainment business has an exciting upcoming 2023 and 2024 movie slate with many high-profile franchises. Its TV Media segment is undergoing a restructuring to save on costs and PARA’s fresh array of global content is driving subscriber momentum worldwide across its direct-to-consumer platform. Meanwhile, management is magnifying its focus on profitability for the streaming service and moderating investments in content, which should drive free cash flow in 2024 and beyond. In our view, the company’s long-term opportunity in streaming and the value of its proprietary content remain meaningfully underappreciated at current trading levels.”
Photo by Austin Distel on Unsplash
Paramount Global (NASDAQ:PARA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 39 hedge fund portfolios held Paramount Global (NASDAQ:PARA) at the end of second quarter which was 34 in the previous quarter. In addition, please check out our hedge fund investor letters Q2 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.
