Technology company Red Hat (RHT) released its third quarter financial results on Thursday. Here’s what the results mean for mutual fund investors.
Inside the Results
The company reported earnings of $48 million, or 26 cents per share. Adjusted income came in at 42 cents per share, above analysts’ estimate of 40 cents per share.
Revenue rose 15% to $395 million. Analysts expected to see revenue of $451.39 million.
Good Headwinds in the Technology Space
The company has been benefiting from higher enterprise demand for its software used in data-centers. Its competitors, including Oracle (ORCL), have also been posting positive earnings. Although Red Hat has upside potential, it is still a very expensive stock from a valuation standpoint.
Mutual Funds to Watch
The mutual funds below may be a good option for investors seeking exposure to RHT. The three funds listed currently hold the largest stakes in the company.
|FDGRX||Fidelity® Growth Company||3.51%|
|RPMGX||T. Rowe Price Mid-Cap Growth||2.80%|
|PRGFX||T. Rowe Price Growth Stock||2.28%|
The Bottom Line
The funds listed above allow investors to gain exposure to a wide range of holdings. Investors interested in RHT may also be interested in Oracle (ORCL).
Shares of RHT are up 23% YTD.