Acquisition Announcement Pushed Splunk (SPLK) Stock - InvestingChannel

Acquisition Announcement Pushed Splunk (SPLK) Stock

Patient Capital Management, a value investing firm, released its “Patient Capital Opportunity Equity Strategy” third quarter 2023 investor letter. A copy of the same can be downloaded here. During the quarter the strategy returned -6.0% net of fees compared to the S&P 500’s -3.3% return. As the quarter demonstrated, the markets are uncertain. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

Patient Capital Management highlighted stocks like Splunk Inc. (NASDAQ:SPLK) in the Q3 2023 investor letter. Headquartered in San Francisco, California, Splunk Inc. (NASDAQ:SPLK) is a cloud solutions and software provider.  On November 1, 2023, Splunk Inc. (NASDAQ:SPLK) stock closed at $146.88 per share. One-month return of Splunk Inc. (NASDAQ:SPLK) was -0.07%, and its shares gained 96.86% of their value over the last 52 weeks. Splunk Inc. (NASDAQ:SPLK) has a market capitalization of $24.755 billion.

Patient Capital Management made the following comment about Splunk Inc. (NASDAQ:SPLK) in its Q3 2023 investor letter:

“Splunk Inc. (NASDAQ:SPLK) was the top contributor in the quarter, gaining 37.9% following its announced acquisition by Cisco Systems Inc. (CSCO) in September. Cisco agreed to purchase the company for $157 per share, a 31% premium from where the stock was trading. The acquisition is expected to close in September of 2024. Gary Steele joined the company as CEO in April of 2022 with a focus on returning Splunk to a Rule of 40 company generating strong free cash flow. He made strong progress over his 1.5 years at the firm, closing out his time with a solid take-out valuation for a $28B company.”

A close-up of a server running a cloud-native platform, symbolizing the power of the software-as-a-service (SaaS) business area.

Splunk Inc. (NASDAQ:SPLK) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 50 hedge fund portfolios held Splunk Inc. (NASDAQ:SPLK) at the end of second quarter which was 49 in the previous quarter.

We discussed Splunk Inc. (NASDAQ:SPLK) in another article and shared the list of stocks recently downgraded by analysts. In addition, please check out our hedge fund investor letters Q3 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.

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