Is Silgan Holdings (SLGN) a Smart Long-Term Investment?
Upslope Cash Management, an investment management firm, printed its first-quarter 2022 trader letter – a copy of which can be downloaded right here. A quarterly portfolio internet return of -.3% was recorded by the fund for the initially quarter of 2022, in comparison to the S&P Midcap 400 ETF and the HFRX Equity Hedge Index that delivered -5.% and -.3% gains for the similar time period. Check out to expend some time taking a glimpse at the fund’s leading 5 holdings to be knowledgeable about their ideal picks for 2022.
In its Q1 2022 trader letter, Upslope Money described Silgan Holdings Inc. (NASDAQ:SLGN) and spelled out its insights for the company. Established in 1987 Silgan Holdings Inc. (NASDAQ:SLGN) is a Stamford, Connecticut-based rigid packaging firm with a $4.9 billion marketplace capitalization. Silgan Holdings Inc. (NASDAQ:SLGN) shipped a 3.94% return because the beginning of the year, while its 12-thirty day period returns are up by 2.82%. The inventory closed at $44.53 per share on April 25, 2022.
In this article is what Upslope Cash has to say about Silgan Holdings Inc. (NASDAQ:SLGN) in its Q1 2022 trader letter:
“Silgan is a one-foot hurdle. The organization grows modestly and consistently – mainly through M&A – and the inventory is definitely low-cost (12x EPS, 9% FCF yield) on an complete and relative foundation. Shares should really execute well in a selection of the most possible environments and depict an option to individual a inventory that is at at the time defensive/non-cyclical and inexpensive. The company has 3 segments: Metallic Containers (foodstuff cans, which is what SLGN is most recognised for and proactively shifted away from in current several years 40%+ of functioning profits), Dispensing & Specialty Closures (plastic/metal caps and dispensing units/sprayers 40%+ of operating revenue), and Plastic Containers (15% of operating revenue). In 2020, SLGN obtained Albéa’s dispensing company (a important competitor of Aptar’s – 1 of Upslope’s longstanding Main longs).
Whilst incredibly much a regular benefit stock (i.e. not specifically “excellent”), I could foresee owning shares for a longer period- term as SLGN has quietly positioned alone in latest yrs as a PE-style packaging system that takes place to be publicly traded. Management has traditionally been disciplined capital allocators, pivoting absent from the slowly-melting-ice-dice that is food stuff cans (now < 50% of revenue)..." (Click here to see the full text)
Borkin Vadim/Shutterstock.com
Our calculations show that Silgan Holdings Inc. (NASDAQ:SLGN) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Silgan Holdings Inc. (NASDAQ:SLGN) was in 15 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 14 funds in the previous quarter. Silgan Holdings Inc. (NASDAQ:SLGN) delivered a 7.79 return in the past 3 months.
In March 2022, we published an article that includes Silgan Holdings Inc. (NASDAQ:SLGN) in 10 Safe Dividend Stocks to Buy Today. 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.
