Diamond Hill Capital (Trades, Portfolio), a renowned investment advisory firm based in Columbus, Ohio, recently disclosed its portfolio updates for the second quarter of 2023. Established in 2000, the firm is publicly owned and listed on the NASDAQ under the ticker symbol DHIL. Diamond Hill Capital (Trades, Portfolio) manages a diverse range of traditional and alternative equity strategies, serving a broad client base that includes institutions, financial intermediaries, and individuals.
The firm's investment philosophy is rooted in a long-term, intrinsic value-based approach. They believe in investing in companies that are undervalued in the market but have strong potential for growth. The firm's portfolio for Q2 2023, which ended on June 30, 2023, comprised 167 stocks with a total value of $22.23 billion.
Top Holdings
The top holdings in Diamond Hill Capital (Trades, Portfolio)'s portfolio were AIG (4.16%), COP (2.83%), and NVR (2.77%).
Key Transactions
The firm's top three trades of the quarter included transactions in Target Corp (TGT, Financial), Take-Two Interactive Software Inc (TTWO, Financial), and Weyerhaeuser Co (WY, Financial).
New Position: Target Corp (TGT, Financial)
Diamond Hill Capital (Trades, Portfolio) established a new position in Target Corp (TGT), purchasing 1,816,719 shares. This gave the stock a 1.08% weight in the equity portfolio. The shares were traded at an average price of $148.67 during the quarter. As of August 15, 2023, Target Corp had a market cap of $58.18 billion and a stock price of $126.05. The stock has returned -24.83% over the past year. GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 8 out of 10.
Sold Out: Take-Two Interactive Software Inc (TTWO, Financial)
The firm sold out its 1,551,285-share investment in Take-Two Interactive Software Inc (TTWO). The shares were traded at an average price of $130.57 during the quarter. As of August 15, 2023, the company had a market cap of $23.90 billion and a stock price of $140.735. The stock has returned 10.36% over the past year. GuruFocus gives the company a financial strength rating of 5 out of 10 and a profitability rating of 7 out of 10.
Reduced Position: Weyerhaeuser Co (WY, Financial)
Diamond Hill Capital (Trades, Portfolio) reduced its investment in Weyerhaeuser Co (WY) by 6,114,765 shares, impacting the equity portfolio by 0.86%. The shares were traded at an average price of $30.1 during the quarter. As of August 15, 2023, the company had a market cap of $23.98 billion and a stock price of $32.815. The stock has returned -6.97% over the past year. GuruFocus gives the company a financial strength rating of 6 out of 10 and a profitability rating of 8 out of 10.
In conclusion, Diamond Hill Capital (Trades, Portfolio)'s Q2 2023 portfolio update reveals a strategic mix of new investments, sell-outs, and position reductions. The firm's investment decisions reflect its commitment to a value-based investment approach, focusing on companies with strong growth potential.
