Here’s Why IAC (IAC) Declined in Q4
Longleaf Partners, managed by Southeastern Asset Management, released its “Partners Fund” fourth quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund delivered an 8.63% return, compared to a 7.56% return for the S&P Index and a 12.42% return for the Russell 1000 Value Index. For 2022, the fund was 23.25% down while, the S&P 500 fell 18.11% and the Russell 1000 Value Index returned -7.54%. In addition, please check the fund’s top five holdings to know its best picks in 2022.
Longleaf Partners Fund highlighted stocks IAC Inc. (NASDAQ:IAC) in its Q4 2022 investor letter. Headquartered in New York, New York, IAC Inc. (NASDAQ:IAC) is a global media and internet company. On February 7, 2023, IAC Inc. (NASDAQ:IAC) stock closed at $54.69 per share. One-month return of IAC Inc. (NASDAQ:IAC) was 7.34%, and its shares lost 59.50% of their value over the last 52 weeks. IAC Inc. (NASDAQ:IAC) has a market capitalization of $4.86 billion.
Longleaf Partners Fund made the following comment about IAC Inc. (NASDAQ:IAC) in its Q4 2022 investor letter:
"IAC Inc. (NASDAQ:IAC) – Digital holding company IAC saw its conglomerate discount grow wider over the course of the year as technology stocks declined precipitously. This time last year, we thought we were paying a low-double-digit multiple of FCF power for a growing collection of assets led by great people. We now think that is a mid-single-digit multiple and that the people remain aligned. While underlying holding company MGM is doing well, other parts of this holdco have not yet delivered. Angi reported another disappointing quarter and has undergone a necessary management change that is already producing better results. Dotdash Meredith is facing a tough online ad market, but the integration of the two businesses is on track. We remain confident in CEO Joey Levin and Chairman Barry Diller’s ability to close the wide price-to-value gap at IAC."
IAC Inc. (NASDAQ:IAC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 45 hedge fund portfolios held IAC Inc. (NASDAQ:IAC) at the end of the third quarter, which was 39 in the previous quarter.
We discussed IAC Inc. (NASDAQ:IAC) in another article and shared the list of best mid-cap stocks to buy. In addition, please check out our hedge fund investor letters Q4 2022 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.
