Should You Invest in Graham Corporation (GHM) Stock For the Long-Term?
Diamond Hill Capital, an investment management company, released its “Small Cap Strategy” fourth-quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund returned 6.98% net of fees, outperforming the benchmark Russell 2000 Index, which returned 6.23%. Strength in health care, consumer discretionary, and materials holdings contributed to the fund’s outperformance in the quarter while holdings in energy and information technology detracted from the performance. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.
Diamond Hill Capital highlighted stocks like Graham Corporation (NYSE:GHM) in its Q4 2022 investor letter. Headquartered in Batavia, New York, Graham Corporation (NYSE:GHM) is a critical components like power, heat transfer, and vacuum equipment manufacturer. On January 26, 2023, Graham Corporation (NYSE:GHM) stock closed at $9.85 per share. One-month return of Graham Corporation (NYSE:GHM) was 2.39%, and its shares lost 17.23% of their value over the last 52 weeks. Graham Corporation (NYSE:GHM) has a market capitalization of $104.519 million.
Diamond Hill Capital made the following comment about Graham Corporation (NYSE:GHM) in its Q4 2022 investor letter:
"Graham Corporation (NYSE:GHM) designs and builds critical small components for various industrial processes in petrochemicals, refining, naval defense and other innovative end markets. Looking forward, we expect refiners to increase capital expenditures for deferred maintenance, which should translate into increased demand for Graham Corp’s products. Combined with stable orders from the defense industry and opportunities within more innovative markets — including new energy, space and cryogenics — Graham Corp should be well-positioned to capitalize in the period ahead."
Graham Corporation (NYSE:GHM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 5 hedge fund portfolios held Graham Corporation (NYSE:GHM) at the end of the third quarter, which was 5 in the previous quarter. In addition, please check out our hedge fund investor letters Q4 2022 page for more investor letters from hedge funds and other leading investors.
Disclosure: None. This article is originally published at Insider Monkey.