Longleaf Partners, managed by Southeastern Asset Management, released its “Partners Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The fund returned 10.42% in the third quarter, compared to the S&P 500’s 5.89% return and Russell 1000 Value’s 9.43% return. In the quarter, there were very few detractors, and more than half of the portfolio holdings generated double-digit returns. The market is starting to see the value in many of the companies that the firm highlighted in the first two letters this year, which is positive. For more information on the fund’s best picks in 2024, please check its top five holdings.
Longleaf Partners Fund highlighted stocks like CNX Resources Corporation (NYSE:CNX), in the third quarter 2024 investor letter. CNX Resources Corporation (NYSE:CNX) is an independent natural gas and midstream company. The one-month return of CNX Resources Corporation (NYSE:CNX) was 18.13%, and its shares gained 75.47% of their value over the last 52 weeks. On October 24, 2024, CNX Resources Corporation (NYSE:CNX) stock closed at $37.20 per share with a market capitalization of $5.626 billion.
Longleaf Partners Fund stated the following regarding CNX Resources Corporation (NYSE:CNX) in its Q3 2024 investor letter:
“CNX Resources Corporation (NYSE:CNX) – Natural gas company CNX Resources was also a top performer in the quarter. The company delivered another quarter of solid operations and continued growth in value per share. As we approach the fall and winter, natural gas prices may firm up, although that remains beyond our control. CNX’s low-cost structure and hedging strategy position it to deliver free cash flow (FCF) in a variety of price environments. That FCF will continue to be directed to value accretive share repurchase. If you would like to learn more about CNX, we hosted a podcast with CEO Nick DeIuliis in the quarter that covers a range of topics.”
A long line of heavy-duty trucks transporting natural gas across a rural highway.
CNX Resources Corporation (NYSE:CNX) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 29 hedge fund portfolios held CNX Resources Corporation (NYSE:CNX) at the end of the second quarter which was 30 in the previous quarter. While we acknowledge the potential of CNX Resources Corporation (NYSE:CNX) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed CNX Resources Corporation (NYSE:CNX) and shared the list of best performing energy stocks in 2024. Longleaf Partners Fund views CNX Resources Corporation (NYSE:CNX) as a compelling value investment and increased its position during the first quarter of 2024. In addition, please check out our hedge fund investor letters Q3 2024 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.