Multiple Reasons for the Outperformance of Photronics (PLAB) - InvestingChannel

Multiple Reasons for the Outperformance of Photronics (PLAB)

ClearBridge Investments, an investment management company, released its “ClearBridge Small Cap Strategy” second quarter 2023 investor letter. A copy of the same can be downloaded here. The strategy outperformed the Russell 2000 Index in the second quarter. On an absolute basis, the strategy gained all 11 sectors it invested in during the quarter. IT and industrial sectors were the leading contributors while energy and utility sectors detracted. Overall stock selection improved performance on a relative basis while sector allocation had a negative impact. In addition, please check the fund’s top five holdings to know its best picks in 2023.

ClearBridge Small Cap Strategy highlighted stocks like Photronics, Inc. (NASDAQ:PLAB) in the second quarter investor letter. Based in Brookfield, Connecticut, Photronics, Inc. (NASDAQ:PLAB) engages in the business of photomask products and services. On September 15, 2023, Photronics, Inc. (NASDAQ:PLAB) stock closed at $19.47 per share. One-month return of Photronics, Inc. (NASDAQ:PLAB) was -14.12%, and its shares gained 26.59% of their value over the last 52 weeks. Photronics, Inc. (NASDAQ:PLAB) has a market capitalization of $1.218 billion.

ClearBridge Small Cap Strategy made the following comment about Photronics, Inc. (NASDAQ:PLAB) in its Q2 2023 investor letter:

“Another IT holding, Photronics, Inc. (NASDAQ:PLAB), also posted substantial returns for the quarter on the back of strong quarterly earnings and the AI-driven tech rally. Despite growing demand for high-end photomasks, the industry is capacity constrained and outsourced manufacturers such as Photronics stand to benefit. This has created a much more favorable environment for the company, which has shown increasing pricing power and longer-term contracts with major semiconductor manufacturers. We believe that the company’s investment and expansion of its manufacturing capabilities will allow it to continue to capture greater market share and extend its lead as the top merchant option in the industry.”

Semiconductor, Technology, Component Photo by Yogesh Phuyal on Unsplash

Photronics, Inc. (NASDAQ:PLAB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 20 hedge fund portfolios held Photronics, Inc. (NASDAQ:PLAB) at the end of second quarter which was 18 in the previous quarter.

We discussed Photronics, Inc. (NASDAQ:PLAB) in another article and shared the list of best semiconductor equipment stocks to buy. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

 

Suggested Articles:

Disclosure: None. This article is originally published at Insider Monkey.

Related posts

Advisors in Focus- January 6, 2021

Gavin Maguire

Advisors in Focus- February 15, 2021

Gavin Maguire

Advisors in Focus- February 22, 2021

Gavin Maguire

Advisors in Focus- February 28, 2021

Gavin Maguire

Advisors in Focus- March 18, 2021

Gavin Maguire

Advisors in Focus- March 21, 2021

Gavin Maguire