Why One Fund Sold $5 Million of Chart Industries Stock

On January 23, Connecticut-based Iridian Asset Management disclosed a sale of 23,051 shares of Chart Industries (NYSE:GTLS), with an estimated transaction value of $4.67 million based on quarterly average pricing.

What happened

According to its SEC filing dated January 23, Iridian Asset Management reduced its holding in Chart Industries by 23,051 shares during the fourth quarter. The estimated value of the shares sold is $4.67 million, calculated using the quarterly average closing price. The fund ended the quarter with 6,326 shares worth $1.30 million. The reported quarter-end position value dropped by $4.58 million, reflecting both trading activity and stock price movement.

What else to know

The fund sold Chart Industries shares, leaving the position at 0.48% of reportable AUM as of December 31.

Top five holdings after the filing:

• NYSE:ACVA: $23.97 million (8.8% of AUM)
• NYSE:HLF: $23.67 million (8.7% of AUM)
• NYSE:HGV: $20.81 million (7.7% of AUM)
• NYSE:POST: $16.75 million (6.2% of AUM)
• NYSE:LAD: $15.68 million (5.8% of AUM)

As of January 22, Chart Industries shares were priced at $207.49, down 4% over the past year and underperforming the S&P 500’S roughly 14% gain in the same period. The position was previously 2.3% of the fund's AUM as of the prior quarter.

Company overview

Company snapshot

• Chart Industries manufactures engineered equipment for energy and industrial gas industries, including cryogenic storage tanks, heat exchangers, LNG equipment, and specialty products for hydrogen, CO2 capture, and biogas.
• The company generates revenue through the sale of capital equipment, aftermarket services, and leasing solutions across four operating segments: Cryo Tank Solutions, Heat Transfer Systems, Specialty Products, and Repair, Service & Leasing.
• It serves a global customer base in energy, industrial gas, power, food and beverage, aerospace, and specialty end-markets, targeting both large-scale industrial clients and niche applications.

Chart Industries is a leading provider of highly engineered equipment and solutions for the energy and industrial gas sectors, with a broad product portfolio spanning cryogenic and heat transfer technologies. The company leverages its technical expertise and diversified offerings to serve critical applications in LNG, hydrogen, and carbon capture, positioning itself at the forefront of energy transition trends. With a global footprint and a strong aftermarket service business, Chart Industries delivers value through innovation, reliability, and customer-centric solutions.

What this transaction means for investors

Portfolio moves like this are usually less about conviction shifts and more about capital discipline when the upside becomes capped. With Chart Industries now in a definitive agreement to be acquired by Baker Hughes for $210 per share in cash, the stock’s return profile has fundamentally changed. At that point, position sizing becomes a function of deal timing, risk, and opportunity cost rather than operating momentum.

Operationally, Chart continues to execute. Third-quarter orders hit a record $1.68 billion, up nearly 44% year over year, driven by strength in LNG, data centers, and carbon capture, and backlog expanded to $6.05 billion. Adjusted EBITDA was $277 million, and free cash flow totaled $94.7 million despite $266 million in merger-related expenses tied to the terminated Flowserve deal and the pending Baker Hughes transaction.

Against that backdrop, trimming a position that fell from 2.3% of assets to under 0.5% looks pragmatic, especially in a portfolio increasingly concentrated in higher-beta names like ACV Auctions and Hilton Grand Vacations.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chart Industries. The Motley Fool has a disclosure policy.