Hillenbrand (HI) Explores Sale, Bids Anticipated Soon

Middle Coast Investing, an investment advisor firm, released its third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The third quarter was favorable for Middle Coast Investing. Its collective portfolio outperformed the S&P 500 and is ahead of benchmarks year to date. In Q3 2025, the US Portfolios returned 9.6% compared to 7.8% for the S&P 500. It’s Core U.S. portfolios returned 10% while the Russell 2000 returned 12%, the S&P 600 returned 8.7% and the Nasdaq generated 11.2% for the same period. Also, its European Portfolios appreciated by 5.5%. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Middle Coast Investing highlighted stocks such as Hillenbrand, Inc. (NYSE:HI). Hillenbrand, Inc. (NYSE:HI) is an industrial company that operates in two segments, Advanced Process Solutions and Molding Technology Solutions. The one-month return of Hillenbrand, Inc. (NYSE:HI) was 7.10%, and its shares gained 5.16% of their value over the last 52 weeks. On October 6, 2025, Hillenbrand, Inc. (NYSE:HI) stock closed at $26.69 per share, with a market capitalization of $1.881 billion.

Middle Coast Investing stated the following regarding Hillenbrand, Inc. (NYSE:HI) in its third quarter 2025 investor letter:

"You’ll notice in the winners section that we had luck with a couple reported deals that finally came to fruition. Hillenbrand, Inc. (NYSE:HI) and Brighthouse are similar type bets.

There are reports Hillenbrand is putting itself up for sale and that bids should come in soon. It is an industrial company that makes equipment for companies developing plastics. It is in a cyclical low point, and for now pays a good dividend and is profitable when you exclude one-off issues. My rule with these is to only invest if I’m comfortable owning the stock if a deal does not play out. We opened a small position feeling there is real value, and that a deal process might lead to it being realized soon."

Hillenbrand, Inc. (NYSE:HI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 19 hedge fund portfolios held Hillenbrand, Inc. (NYSE:HI) at the end of the second quarter, up from 12 in the previous quarter. While we acknowledge the potential of HILLENBRAND, INC. (NYSE:HI) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Hillenbrand, Inc. (NYSE:HI) and shared the list of most undervalued stocks with smart money ratings. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.