Should You Now Consider Selling Your Ramaco Resources (METC) Shares?

Horos Asset Management, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. Since the inception of Horos (May 21, 2018), Horos Value Internacional has returned 22.3%, below the 55.2% gain of its benchmark, while Horos Value Iberia has returned 8.1%, outperforming the 0.5% return of its index. Moreover, since 2012, the returns of this management team stand at 199% for the international strategy and 167% for the Iberian strategy, compared to 219% and 67% in their benchmark indices, respectively.  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, Horos Asset Management mentioned Ramaco Resources, Inc. (NASDAQ:METC) and explained its insights for the company. Founded in 2015, Ramaco Resources, Inc. (NASDAQ:METC) is a Lexington, Kentucky-based coal mining company with a $677.3 million market capitalization. Ramaco Resources, Inc. (NASDAQ:METC) delivered a 4.93% return since the beginning of the year, while its 12-month returns are up by 164.26%. The stock closed at $14.27 per share on June 27, 2022.

Here is what Horos Asset Management has to say about Ramaco Resources, Inc. (NASDAQ:METC) in its Q1 2022 investor letter:

“This quarter we sold our entire stakes in Ramaco Resources. The reason is purely due to their lower upside potential after a very strong performance. In the case of Ramaco Resources, as we mentioned in the previous quarterly letter, its high volatility allowed us to realize high returns on two different occasions (we exited the position and then re-entered it) in a short period of time, demonstrating the importance of rebalancing positions in our portfolio. Meanwhile, although with somewhat different dynamics, our investments in the metallurgical coal companies Ramaco Resources has  strong returns and we sold them during the period.”



Our calculations show that Ramaco Resources, Inc. (NASDAQ:METC) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Ramaco Resources, Inc. (NASDAQ:METC) was in 22 hedge fund portfolios at the end of the first quarter of 2022, compared to 14 funds in the previous quarter. Ramaco Resources, Inc. (NASDAQ:METC) delivered a -4.93% return in the past 3 months.

In December 2021, we also shared another hedge fund’s views on Ramaco Resources, Inc. (NASDAQ:METC) 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.