Investing in Osterweis Capital Management Inc: Comparing Q3 2022 vs. Q4 2022 Holdings

Osterweis Capital Management Inc. is a privately owned registered investment advisor based in San Francisco, California. Founded in 1983, the firm manages the Osterweis Fund, which has a value of about $6 billion. In this article, we will take a look at the changes in their holdings comparing Q3 2022 vs. Q4 2022.

The Osterweis Fund invests in a diverse range of sectors, including health care, technology, industrials, consumer products, and financials. The company's strategy is focused on investing in undervalued companies with strong balance sheets, cash flow, and above-average growth prospects. The fund is managed by John Osterweis, who has over 40 years of investment experience.

In the last quarter, Osterweis Capital Management Inc.'s holdings have undergone significant changes, with some stocks gaining while others lost. Interestingly, it was discovered that the company made no new purchases, but instead sold off some stocks, and made significant additions to their existing positions.

Here are some of the significant changes in holdings in the Osterweis Fund in Q3 2022 vs. Q4 2022:

Microsoft Corp (MSFT): Microsoft continued to be the top holding in Q3 2022, with no signs of changes in the portfolio managers' positions. However, there was a slight decrease of about 0.1% QoQ in the number of shares held.

Alphabet Inc (GOOG): Osterweis Capital Management had the most significant decrease in holdings for this period in Alphabet Inc., falling by 9.1% from its previous quarterly holding. The dropping share value and uncertainty following the news of the antitrust lawsuit are likely responsible for the change.

Air Products and Chemicals Inc (APD): Osterweis added 21% to its previous holding in the chemical company, which indicates the fund manager's strong confidence in Air Products and Chemicals Inc.

Dollar General Corp New (DG): The Osterweis Fund added 3.4% to its previous holding of Dollar General Corp. Its investment in the discount giant could be driven by its better than expected earning results in the previous quarter.

Progressive Corp (PGR): Osterweis Capital Management's odds seemed stacked in favor of Progressive, with no significant changes in the number of shares held by the fund manager.

Waste Connections Inc (WCN): Waste Connections is a stable pick for Osterweis Fund, with an increase in the number of shares held. However, the value of the shares only decreased by 1.5%.

CVS Health Corp (CVS): CVS was one of the biggest losers in Osterweis holdings with a decrease of 33.2% in the number of shares held. It could be due to the company's underwhelming earning results in the previous quarter.

Johnson & Johnson (JNJ): Johnson & Johnson added 11.8% to its share value in the previous quarter, as the firm seeks to continue being a part of the healthcare giant.

Visa Inc. (V): Visa was one of the bigger gainers in the Osterweis holdings with an increase of 75.3% in shares held. The transition to digital payments has made the financial sector more attractive, and Osterweis seems to be betting big on Visa's future.

Old Dominion Freight Line Inc. (ODFL): Osterweis added to its holding in Old Dominion Freight Line Inc., increasing the number of shares by 13.7%.

In conclusion, comparing Osterweis Capital Management Inc.'s holdings in Q3 2022 vs. Q4 2022, we can conclude that the fund managers made significant moves to focus on a few selected stocks in their portfolio while decreasing their position in some sectors.