Oakmark Funds, advised by Harris Associates, released its “Oakmark Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. The fund returned 8.6% in the second quarter compared to an 8.7% return for the S&P 500 Index. Year-to-date, the fund returned 17.4% compared to a 16.9% return for the benchmark. Despite the headwinds, the fund has outperformed through the first half of the year. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Oakmark Fund highlighted stocks like Celanese Corporation (NYSE:CE) in the second quarter 2023 investor letter. Headquartered in Irving, Texas, Celanese Corporation (NYSE:CE) is a chemical and specialty materials company. On July 10, 2023, Celanese Corporation (NYSE:CE) stock closed at $116.89 per share. One-month return of Celanese Corporation (NYSE:CE) was -0.58%, and its shares gained 4.68% of their value over the last 52 weeks. Celanese Corporation (NYSE:CE) has a market capitalization of $12.716 billion.
Oakmark Fund made the following comment about Celanese Corporation (NYSE:CE) in its second quarter 2023 investor letter:
“Celanese Corporation (NYSE:CE) is the world’s largest and lowest cost producer of acetic acid and a leading producer of engineered polymers used in applications ranging from auto parts to medical devices. Although the company operates in highly cyclical markets, its unmatched cost position allows it to remain profitable even during severe industry downturns. Recently, the market reacted negatively to Celanese’s acquisition of Dupont’s Mobility & Materials segment because the deal added financial leverage to the balance sheet during a cyclical downturn. Despite challenging industry conditions today, we believe the company will generate significant cash flow to reduce its debt burden rapidly. We also believe the integration of the acquired business will yield cost synergies and strengthen Celanese’s engineered materials franchise over the long term. The stock price dislocation presented an opportunity to purchase Celanese shares at a single-digit multiple of our estimate of normalized earnings power.”
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Celanese Corporation (NYSE:CE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held Celanese Corporation (NYSE:CE) at the end of first quarter which was 31 in the previous quarter.
We discussed Celanese Corporation (NYSE:CE) in another article and shared the list of overlooked large-cap stocks with cheap multiples. 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.
