Menu Close

Here’s Why ClearBridge Investments Sold its CSG Systems (CSGS) Position

view original post

ClearBridge Investments, an investment management firm, published its “Small Cap Value Strategy” first quarter 2022 investor letter – a copy of which can be downloaded here. The ClearBridge Small Cap Value Strategy outperformed its Russell 2000 Value Index benchmark during the first quarter. On an absolute basis, the Strategy had losses across seven of the 11 sectors in which it was invested during the quarter. The leading detractors were the consumer discretionary, IT, and health care sectors, while the leading contributor was the energy sector. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, ClearBridge Investments Small Cap Value Strategy mentioned CSG Systems International, Inc. (NASDAQ:CSGS) and explained its insights for the company. Founded in 1994, CSG Systems International, Inc. (NASDAQ:CSGS) is an Englewood, Colorado-based multinational corporation provider with a $1.9 billion market capitalization. CSG Systems International, Inc. (NASDAQ:CSGS) delivered a 7.41% return since the beginning of the year, while its 12-month returns are up by 35.28%. The stock closed at $61.89 per share on May 04, 2022.

Here is what ClearBridge Investments Small Cap Value Strategy has to say about CSG Systems International, Inc. (NASDAQ:CSGS) in its Q1 2022 investor letter:

“We exited our position in CSG Systems (NASDAQ:CSGS), in the IT sector. CSG provides revenue management and digital monetization, customer engagement and payment solutions primarily to the communications industry. We decided to exit the position as a result of our updated assessment of the company’s perceived value range, and we determined that the company’s current share price and prospects offered less upside potential than some of the potential new inclusions to the portfolio.”


Our calculations show that CSG Systems International, Inc. (NASDAQ:CSGS) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. CSG Systems International, Inc. (NASDAQ:CSGS) was in 20 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 18 funds in the previous quarter. CSG Systems International, Inc. (NASDAQ:CSGS) delivered a 8.12% return in the past 3 months.

In August 2021, we published an article that includes CSG Systems International, Inc. (NASDAQ:CSGS) in 5 Technology Stocks that Pay Dividends. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.