Miller Value Deep Value Select disclosed a new position in Coty Inc, citing significant undervaluation amid a mixed quarterly performance.
Miller Value Partners’ Deep Value Select fund initiated a stake in Coty Inc (COTY) during the second quarter, labeling the stock as ‘significantly mispriced.’ The move comes as the fund posted a 5.80% gain net of fees for the quarter, trailing the S&P 1500 Value Index’s 8.42% and the S&P 600 Value Index’s 15.93% returns.
The fund’s performance lagged broader value benchmarks despite its new position in Coty, a beauty and fragrance company. The S&P 1500 Value Index and S&P 600 Value Index outpaced Deep Value Select by 2.62 and 10.13 percentage points, respectively.
No immediate market reaction was detailed in the disclosure, though the fund’s focus on undervalued assets may signal confidence in Coty’s long-term prospects.