Recent Transaction Overview
Mason Hawkins (Trades, Portfolio), through Southeastern Asset Management, has recently adjusted the firm's holdings in CNX Resources Corp (CNX, Financial). On December 31, 2023, the firm reduced its position by 1,037,431 shares, resulting in an 11.07% decrease in the firm's stake in the company. This transaction had a -0.77% impact on the portfolio, with the shares being traded at a price of $20 each. Following the trade, Southeastern Asset Management holds a total of 8,338,233 shares in CNX Resources Corp, which now represents 5.30% of the firm's holdings.
Mason Hawkins (Trades, Portfolio)' Investment Approach
Mason Hawkins (Trades, Portfolio), as the Chairman and CEO of Southeastern Asset Management, has been a prominent figure in the investment community since 1975. The firm's investment philosophy is grounded in value investing, focusing on acquiring stakes in businesses that are not only well-understood and managed by competent individuals but also available at a price below their intrinsic value. Southeastern Asset Management's approach involves a concentrated portfolio, typically holding fewer than 25 stocks, and selling them once they reach their appraised worth. CNX Resources Corp is among the firm's top holdings, alongside Mattel Inc (MAT, Financial), Affiliated Managers Group Inc (AMG, Financial), FedEx Corp (FDX, Financial), and Kellanova Co (K, Financial), with an equity portfolio valued at $2.6 billion. 
About CNX Resources Corp
CNX Resources Corp, based in the USA, is an independent natural gas and midstream company with a focus on low carbon intensity operations. Since its IPO on April 30, 1999, the company has been engaged in the exploration, development, production, and acquisition of natural gas properties primarily in the Appalachian Basin. CNX operates through segments such as Shale and Coalbed Methane, with the Shale segment being the most significant revenue generator. The company's market capitalization stands at $2.92 billion. 
Impact of the Trade on Mason Hawkins (Trades, Portfolio)' Portfolio
The recent sale of CNX Resources Corp shares by Mason Hawkins (Trades, Portfolio) has slightly reduced the firm's exposure to the energy sector, with the position now accounting for 5.30% of the portfolio. This move aligns with the firm's strategy of selling assets as they approach or reach their intrinsic value. The trade's impact on the portfolio is modest, but it reflects the firm's ongoing portfolio management and adherence to its value investment philosophy.
Market Valuation and Stock Performance
At the time of the transaction, CNX Resources Corp was trading at $20 per share, which is higher than the current market price of $19.23. The stock is deemed Significantly Overvalued with a GF Value of $13.10, and the price to GF Value ratio stands at 1.47. Since the trade, the stock has experienced a -3.85% decline, which is consistent with the year-to-date performance.
Financial Health and Growth Prospects
CNX Resources Corp's financial health and growth prospects are mixed. The company has a GF Score of 64/100, indicating moderate future performance potential. The Financial Strength is rated 4/10, while the Profitability Rank and Growth Rank both stand at 5/10. The GF Value Rank is low at 1/10, but the Momentum Rank is high at 10/10, reflecting recent market trends.
Other Notable Investors
Mason Hawkins (Trades, Portfolio) is not the only guru with an interest in CNX Resources Corp. Other notable investors include Mario Gabelli (Trades, Portfolio), First Eagle Investment (Trades, Portfolio), and Barrow, Hanley, Mewhinney & Strauss. These investors' positions in CNX Resources Corp vary, with Southeastern Asset Management being one of the largest shareholders.
Conclusion
Mason Hawkins (Trades, Portfolio)' recent transaction involving CNX Resources Corp shares represents a strategic adjustment in line with the firm's value investment philosophy. While the trade has a minor impact on the portfolio, it underscores the firm's commitment to disciplined investment decisions. For value investors, CNX Resources Corp's current market valuation and financial metrics suggest a cautious approach, given the stock's designation as Significantly Overvalued and its mixed financial health indicators.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
