Overview of Richard Pzena (Trades, Portfolio)'s Recent Transaction
On December 31, 2023, Pzena Investment Management, LLC, led by Richard Pzena (Trades, Portfolio), reported a reduction in their holdings of Univest Financial Corp (UVSP, Financial). The transaction involved the sale of 77,202 shares at a price of $22.03 each. Following this trade, the firm's total share count in Univest Financial Corp stood at 1,458,921, which represents a 0.14% position in their investment portfolio and a 4.90% ownership of the company's outstanding shares. This move reflects a slight adjustment in Pzena's strategy, with a -5.03% change in their holdings and a minimal impact of -0.01% on the portfolio.
Richard Pzena (Trades, Portfolio)'s Investment Profile
Richard Pzena (Trades, Portfolio) is the founder and Co-Chief Investment Officer of Pzena Investment Management, LLC, established in 1995. With a BS from the Wharton School and an MBA from the University of Pennsylvania, Pzena has built a firm that focuses on identifying good businesses trading at low prices, often due to temporary setbacks. The firm's investment philosophy centers on purchasing undervalued shares based on their long-term earnings power. Pzena Investment Management oversees an equity portfolio valued at $26.6 billion, with top holdings in sectors such as Financial Services and Technology, including Cognizant Technology Solutions Corp (CTSH, Financial), Capital One Financial Corp (COF, Financial), and Edison International (EIX, Financial). 
Univest Financial Corp at a Glance
Univest Financial Corp, with its stock symbol UVSP, operates primarily in the United States banking industry. Since its IPO on April 16, 1998, the company has expanded its services to include banking, wealth management, and insurance. With a market capitalization of $580.2 million and a current stock price of $19.66, Univest Financial Corp is significantly undervalued according to the GF Value, with a GF Value of $30.48 and a price to GF Value ratio of 0.65. Despite a recent 10.76% decline in stock price since the trade, the company has experienced a 127.81% increase since its IPO and a year-to-date price change ratio of -10.6%. 
Impact of the Trade on Pzena's Portfolio
The recent transaction by Pzena Investment Management has slightly decreased their exposure to Univest Financial Corp, aligning with their investment strategy of managing risk and seeking value. The trade's share change and position in the portfolio indicate a careful rebalancing rather than a significant shift in conviction. With a 0.14% portfolio position and a 4.90% stake in the company, Pzena remains a notable investor in Univest Financial Corp.
Financial Health and Valuation of Univest Financial Corp
Univest Financial Corp's financial health is reflected in its key financial ratios and valuation metrics. The company has a PE Ratio of 8.17, indicating profitability, and a GF Score of 72/100, suggesting a likelihood of average performance. The Financial Strength is ranked at 3/10, while the Profitability Rank stands at 6/10. The Growth Rank and GF Value Rank are 5/10 and 10/10, respectively, with a Momentum Rank of 4/10. The company's Piotroski F-Score is 6, indicating a stable financial situation.
Univest Financial Corp in the Banking Industry
Within the banking industry, Univest Financial Corp stands out for its diversified services and strong regional presence. Pzena Investment Management's top sectors include Financial Services, aligning with their holding in Univest Financial Corp. The firm's approach to investing in undervalued financial institutions is consistent with their broader strategy.
Other Notable Investors in Univest Financial Corp
Apart from Pzena Investment Management, other significant investors in Univest Financial Corp include HOTCHKIS & WILEY and Keeley-Teton Advisors, LLC (Trades, Portfolio). These investments by well-regarded firms underscore the potential value seen in Univest Financial Corp's stock.
Concluding Thoughts on Pzena's Trade
Richard Pzena (Trades, Portfolio)'s recent transaction in Univest Financial Corp reflects a strategic adjustment within the firm's value-driven investment approach. While the reduction in shares is modest, it demonstrates Pzena's active portfolio management and commitment to their investment philosophy. For value investors, this trade highlights the importance of monitoring portfolio adjustments and understanding the underlying reasons for such changes.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
