An Analysis of Lyrical Asset Management LP's Q3 2022 vs. Q4 2022 Holdings

Investment companies are always on the lookout for potential profit opportunities in the market. Lyrical Asset Management LP, a well-known investment firm, recently released their Q3 2022 and Q4 2022 13F holdings comparison. The report details the changes made in the company's holdings of several issuers, and this blog post aims to analyze this information.

Changes in Holdings

Firstly, let's take a look at the largest changes in holdings made by Lyrical Asset Management LP. The biggest change was made in TD Synnex Corporation, where Lyrical increased its holdings from 919,148 shares in Q3 2022 to 1,358,668 shares in Q4 2022. This represents a significant increase in their holdings of the company, and the value rose from $74,626,000 to $110,310,000, a staggering 47.8% rise.

Another notable change was in Nintendo Co. Ltd. Unsponsored ADR, where the number of shares held by Lyrical Asset Management LP increased by 462.9%. In Q3 2022, they held 14,064 shares, whereas by Q4 2022, their holdings had increased to 64,695 shares. The value of their holdings rose from $143,000 to $659,000.

There were also some significant decreases in Lyrical Asset Management LP's holdings. Qurate Retail Inc. Class A saw their holdings drop from 11,803,248 shares to 0 in Q4 2022, representing a decrease of 100%. The value of their holdings also fell from $23,725,000 to 0.

Ameriprise Financial Inc. also saw a decrease in Lyrical's holdings, from 1,174,991 shares to 1,063,551 shares. The total value of these shares decreased from $296,039,000 to $267,961,000, a decrease of 9.5%.

The overall trend appears to be a decrease in holdings across multiple issuers. Out of the 39 issuers listed in the report, 21 issuers saw a decrease in Lyrical's holdings by the end of Q4 2022. This trend suggests that Lyrical Asset Management LP is becoming more cautious in its investment behavior, perhaps as a response to ongoing market volatility and uncertainty.

Possible Reasons for Changes

The decrease in holdings could have several potential explanations. One reason could be that Lyrical Asset Management LP has been taking profits from its investments as the market continues to perform well. This could be indicative of the company's concerns about the sustainability of current market conditions.

Another explanation for the reduced holdings could be that Lyrical is reallocating its investments, deciding to focus on other types of assets or issuers. It is also possible that Lyrical Asset Management LP is taking a more conservative approach, holding onto cash to weather any potential market downturns in the future.

Conclusion

The Q3 2022 vs. Q4 2022 13F holdings comparison from Lyrical Asset Management LP indicates that the company has made several significant changes to its holdings during this period. While some holdings have increased, a larger portion of issuers saw a reduction in the number of shares held by Lyrical.

It remains to be seen whether this trend will continue into the future. However, it is clear that Lyrical Asset Management LP is taking a more cautious approach in its investment behavior, at least for the time being. As the market continues to evolve, it will be interesting to see how Lyrical maneuvers and how this impacts the company's overall investment strategy.