A Closer Look at Investment Management Firm Wasatch Advisors' Q3 and Q4 Portfolio Holdings

Investment management firm Wasatch Advisors Inc recently released its holdings for Q3 and Q4 of 2022. The report revealed some interesting changes in the company's portfolio, with some holdings seeing significant increases or decreases in value. Let's take a closer look at some of these changes.

One of the standout holdings in the Q3 report was Ensign Group Inc (ENSG), a provider of healthcare services. The company held 5,422,658 shares in ENSG with a value of $431,101. However, in Q4, Wasatch Advisors reduced its stake to 5,055,758 shares, with a value of $478,325 - an 11% increase. This suggests that the company still has faith in ENSG, despite the reduced investment.

Another significant holding that saw an increase in value is Five Below Inc (FIVE), a discount retailer. Wasatch Advisors held 2,595,174 shares in FIVE with a value of $357,278 in Q3. However, by Q4, the company had increased its stake to 2,478,387 shares with a value of $438,352, representing a 22.7% increase. This suggests that Wasatch Advisors is optimistic about the future prospects of FIVE and believes that the stock is undervalued.

On the other hand, some holdings saw a decrease in holding or value. CyberArk Software Ltd (CYBR) is a cybersecurity company that saw its value decrease by 22.7% from Q3 to Q4. Wasatch Advisors held 2,610,586 shares in CYBR with a value of $391,431 in Q3. However, the company reduced its stake to 2,332,662 shares with a value of $302,429 by Q4. This may suggest that the company has lost confidence in CYBR and is divesting its holdings in the company.

Healthequity Inc (HQY) is another holding that decreased in value from Q3 to Q4, with a decrease of 8.1%. The company held 5,726,062 shares in HQY with a value of $384,620 in Q3. By Q4, the company had held on to 5,731,921 shares, but the value had decreased to $353,315. This suggests that Wasatch Advisors may have lost confidence in HQY's potential for growth and reduced its holdings accordingly.

There were also some notable changes in holdings that previously did not appear in the Q3 report. Abcam PLC (ABCM) did not appear in the Q3 report, but by Q4, Wasatch Advisors had acquired 8,514,508 shares of the life science research tools provider with a value of $132,485. This is an interesting move that suggests Wasatch Advisors sees potential in ABCM as a growth stock.

Another new addition to Wasatch Advisors' portfolio is TaskUs Inc (TASK), a business process outsourcing company. The company acquired 3,893,657 shares of TASK with a value of $59,205. This could be indicative of the company's belief that outsourcing companies like TASK will see increased demand as businesses continue to adapt to a remote work environment.

Overall, the changes in holdings for Wasatch Advisors Inc's Q3 and Q4 reports provide an interesting snapshot of the firm's portfolio. The increased investments in FIVE and ENSG suggest optimism toward those companies, while the decreased holdings in CYBR and HQY suggest a loss of confidence. The additions of ABCM and TASK to the portfolio indicate a willingness to explore new areas of potential growth. These changes in holdings provide valuable insights for investors looking to make informed decisions on their own portfolios.