HEARTLAND ADVISORS INC recently filed their 13F report for the third quarter of 2022, which ended on 2022-09-30.
The 13F report details which stocks were in a guru’s equity portfolio at the end of the quarter, though investors should note that these filings are limited in scope, containing only a snapshot of long positions in U.S.-listed stocks and American depository receipts as of the quarter’s end. They are not required to include international holdings, short positions or other types of investments. Still, even this limited filing can provide valuable information.
Heartland Advisors Inc. is an investment management firm based out of Milwaukee, Wisconsin. The company was established in 1983 and has grown to have 49 employees led by CEO William R. Nasgovitz. Heartland Advisors conducts its research internally, utilizing a fundamental and technical methodology with a bottom up investment approach to make its investment decisions. The company invests in the hedging and public equity markets within the U.S., focusing on security evaluations through its 10 principles of value investing that are designed to identify companies priced at a discount to their intrinsic value. Heartland Advisors invests most heavily in the industrials sector, which alone makes up over a quarter of its total asset allocations, and also invests in the finance, consumer discretionary, information technology, energy, health care, and materials sectors, among others to a lesser degree, in order of decreasing allocation. None of the company’s holdings exceed 3% of its total holdings and the company’s top 10 holdings together make up less than a fifth of its total. Heartland Advisors has a turnover rate of approximately 17%. The company holds over $5.3 billion in total assets under management spread across over 430 accounts, all of which are discretionary accounts. Although Heartland Advisors’s total number of accounts has been somewhat volatile in recent years, being as low as 360 five years ago to as high as 530 in 2012, its total assets under management has been increasing, growing significantly from $2.3 billion back in 2010 to well over twice that amount today. The company mainly caters to individuals, which alone makes up over half of its client base, and also provides services to high net worth individuals, pension and profit sharing plans, charities, investment companies, corporations, and others. Heartland Advisors offers its Select Value, Value, Value Plus, Mid Cap Value, and International Value mutual funds.
As of the latest 13F report, the guru’s equity portfolio contained 180 stocks valued at a total of $1.34Bil. The top holdings were HAE(2.28%), TCBI(2.17%), and NOV(1.96%).
According to GuruFocus data, these were HEARTLAND ADVISORS INC’s top five trades of the quarter.
PS Business Parks Inc
The guru sold out of their 85,644-share investment in NYSE:PSB. Previously, the stock had a 1.11% weight in the equity portfolio. Shares traded for an average price of $187.21 during the quarter.
On 11/10/2022, PS Business Parks Inc traded for a price of $187.44 per share and a market cap of $5.18Bil. The stock has returned 23.83% over the past year.
GuruFocus gives the company a financial strength rating of 10 out of 10 and a profitability rating of 9 out of 10.
In terms of valuation, PS Business Parks Inc has a price-earnings ratio of 11.07, a price-book ratio of 4.82, a price-earnings-to-growth (PEG) ratio of 0.74, a EV-to-Ebitda ratio of 7.87 and a price-sales ratio of 11.66.
The price-to-GF Value ratio is 1.13, earning the stock a GF Value rank of 3.
Resources Connection Inc
The guru sold out of their 579,996-share investment in NAS:RGP. Previously, the stock had a 0.82% weight in the equity portfolio. Shares traded for an average price of $20.04 during the quarter.
On 11/10/2022, Resources Connection Inc traded for a price of $18.87 per share and a market cap of $636.54Mil. The stock has returned 6.18% over the past year.
GuruFocus gives the company a financial strength rating of 9 out of 10 and a profitability rating of 8 out of 10.
In terms of valuation, Resources Connection Inc has a price-earnings ratio of 8.81, a price-book ratio of 1.62, a price-earnings-to-growth (PEG) ratio of 0.77, a EV-to-Ebitda ratio of 5.85 and a price-sales ratio of 0.77.
The price-to-GF Value ratio is 1.06, earning the stock a GF Value rank of 5.
Orthofix Medical Inc
HEARTLAND ADVISORS INC reduced their investment in NAS:OFIX by 455,000 shares. The trade had a 0.75% impact on the equity portfolio. During the quarter, the stock traded for an average price of $22.49.
On 11/10/2022, Orthofix Medical Inc traded for a price of $17.366 per share and a market cap of $349.24Mil. The stock has returned -47.28% over the past year.
GuruFocus gives the company a financial strength rating of 7 out of 10 and a profitability rating of 5 out of 10.
In terms of valuation, Orthofix Medical Inc has a price-book ratio of 1.05, a EV-to-Ebitda ratio of 14.86 and a price-sales ratio of 0.75.
The price-to-GF Value ratio is 0.52, earning the stock a GF Value rank of 4.
Texas Capital Bancshares Inc
During the quarter, HEARTLAND ADVISORS INC bought 169,213 shares of NAS:TCBI for a total holding of 492,370. The trade had a 0.75% impact on the equity portfolio. During the quarter, the stock traded for an average price of $59.23.
On 11/10/2022, Texas Capital Bancshares Inc traded for a price of $61.68 per share and a market cap of $3.07Bil. The stock has returned -2.68% over the past year.
GuruFocus gives the company a financial strength rating of 4 out of 10 and a profitability rating of 6 out of 10.
In terms of valuation, Texas Capital Bancshares Inc has a price-earnings ratio of 19.20, a price-book ratio of 1.19, a price-earnings-to-growth (PEG) ratio of 2.11 and a price-sales ratio of 3.40.
The price-to-GF Value ratio is 0.91, earning the stock a GF Value rank of 6.
Associated Banc-Corp
HEARTLAND ADVISORS INC reduced their investment in NYSE:ASB by 512,922 shares. The trade had a 0.65% impact on the equity portfolio. During the quarter, the stock traded for an average price of $20.11.
On 11/10/2022, Associated Banc-Corp traded for a price of $24.95 per share and a market cap of $3.76Bil. The stock has returned 7.78% over the past year.
GuruFocus gives the company a financial strength rating of 3 out of 10 and a profitability rating of 5 out of 10.
In terms of valuation, Associated Banc-Corp has a price-earnings ratio of 11.67, a price-book ratio of 1.00, a price-earnings-to-growth (PEG) ratio of 1.91 and a price-sales ratio of 3.26.
The price-to-GF Value ratio is 1.14, earning the stock a GF Value rank of 3.
Please note, the numbers and facts quoted are as of the writing of this article and may not factor in the latest trading data or company announcements.
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