Artisan International Value Fund Q3 2025 Portfolio Update

Samsung Electronics experienced renewed investor interest driven by new product announcements, significant future orders, and robust demand for memory semiconductors. Concurrently, ABB reported faster revenue growth and increased profitability following a multiyear process improvement program. Alibaba's share price surged 60% as investors recognized its previous mispricing, while shares of Lloyds Bank and Naver were sold after reaching their estimated intrinsic values.

Analysis

Renewed investor interest in Samsung Electronics is driven by major joint customer announcements regarding new products, significant future orders, and robust demand for basic memory semiconductors. Concurrently, ABB has demonstrated accelerated revenue growth and enhanced profitability, attributed to its multiyear process improvement program. These developments highlight the market's positive response to both innovation and operational efficiency.

Alibaba's share price surged by 60% during the quarter, as other investors recognized its prior mispricing, indicating a significant re-rating based on fundamental value. This re-evaluation underscores the potential for substantial gains when market perceptions align with underlying company strength.

Conversely, shares of Lloyds Bank and Naver were sold after reaching their estimated intrinsic values, reflecting a disciplined approach to portfolio management. The overall market sentiment, as indicated by a strongly positive score of 0.8 and an optimistic tone, suggests a favorable environment for companies exhibiting strong fundamentals and positive catalysts, leading to a market impact score of 0.6.

Key Decisions for Investors

• Investors should prioritize companies demonstrating clear fundamental improvements, such as product innovation and operational efficiency, which can drive renewed investor interest and financial performance.
• Actively identify and evaluate potential mispricings in the market, as demonstrated by Alibaba's significant re-rating, to capitalize on unrecognized value.
• Maintain disciplined portfolio management by regularly assessing positions against intrinsic value estimates and being prepared to realize gains when targets are met, as seen with Lloyds Bank and Naver.