Colfax Corp (CFX) Has Risen 7% in Last One Year, Underperforms Market
If you are looking for the best ideas for your portfolio you may want to consider some of Del Principe O’Brien Financial Advisors top stock picks. Del Principe O’Brien Financial Advisors, an investment management firm, is bullish on Colfax Corp (NYSE:CFX) stock. In its Q2 2019 investor letter – you can download a copy here – the firm discussed its investment thesis on Colfax Corp (NYSE:CFX) stock. Colfax Corp (NYSE:CFX) manufactures welding, air and gas handling equipment, and medical devices.
In August 2019, Del Principe O’Brien Financial Advisors had released its Q2 2019 investor letter. Colfax Corp (NYSE:CFX) stock has posted a return of 7.2% in the trailing one year period, underperforming the S&P 500 Index which returned 10.2% in the same period. This suggests that the investment firm was wrong in its decision. On a year-to-date basis, Colfax Corp (NYSE:CFX) stock has fallen by 15.7%.
In Q2 2019 investor letter, Del Principe O’Brien Financial Advisors said the fund posted a return of 7.1% in the second quarter of 2019, outperforming the S&P 500 Index which returned 4.30% in the same period. Let’s take a look at comments made by Del Principe O’Brien Financial Advisors about Colfax Corp (NYSE:CFX) stock in the Q2 2019 investor letter.
"In February of this year, Colfax completed its biggest deal ever: the purchase of orthopedic solutions leader DJO Global Inc., for $3.15 billion. Colfax bought the company to tap into the growing demand among aging baby boomers for medical devices such as knee and hip implants. The acquisition marks a significant improvement in Colfax’s portfolio. Compared with its other brands, DJO’s orthopedic products provide a larger end market, higher margins, and lower cyclicality, all of which, in our eyes, boosts Colfax’s intrinsic value."
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In Q2 2020, the number of bullish hedge fund positions on Colfax Corp (NYSE:CFX) stock increased by about 22% from the previous quarter (see the chart here), so a number of other hedge fund managers seem to agree with Colfax's growth potential. Our calculations showed that Colfax Corp (NYSE:CFX) isn't ranked among the 30 most popular stocks among hedge funds.
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