Should You Sell Adeia (ADEA)?

Aristotle Capital Boston, LLC, an investment advisor, released its “Small Cap Equity Strategy” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the composite delivered 1.16% net of fees (1.33% gross of fees) trailing the 5.21% total return of the Russell 2000 Index. The security selection hurt the portfolio while allocation effects positively contributed. Security selection in Communication Services and Materials along with an overweight to Industrials contributed to the relative performance while the Health Care, Information Technology, and Consumer Discretionary sectors detracted. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

Aristotle Small Cap Equity Strategy highlighted stocks like Adeia Inc. (NASDAQ:ADEA) in the second quarter 2023 investor letter. Headquartered in San Jose, California, Adeia Inc. (NASDAQ:ADEA) is a media and semiconductor intellectual property licensing company. On August 24, 2023, Adeia Inc. (NASDAQ:ADEA) stock closed at $9.81 per share. One-month return of Adeia Inc. (NASDAQ:ADEA) was -16.08%, and its shares gained 27.89% of their value over the last 52 weeks. Adeia Inc. (NASDAQ:ADEA) has a market capitalization of $1.047 billion.

Aristotle Small Cap Equity Strategy made the following comment about Adeia Inc. (NASDAQ:ADEA) in its second quarter 2023 investor letter:

Adeia Inc. (NASDAQ:ADEA) is an intellectual property (IP) licensing business with patent assets focused on the media and semiconductor end markets. The company was spun off and rebranded from our former portfolio holding Xperi, and after further analysis, we decided to sell our position.”

cellanr, CC BY-SA 2.0 <https://creativecommons.org/licenses/by-sa/2.0>, via Wikimedia Commons

Adeia Inc. (NASDAQ:ADEA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 16 hedge fund portfolios held Adeia Inc. (NASDAQ:ADEA) at the end of second quarter which was 17 in the previous quarter.

We discussed Adeia Inc. (NASDAQ:ADEA) in another article and shared the list of most undervalued technology stocks to buy according to hedge funds. 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.