Longleaf Partners Fund is Expecting a Surge in CNX Resources Corporation’s (CNX) Stock Price

Core Insights - Longleaf Partners Fund reported a return of -0.33% in Q3 2025, underperforming the S&P 500's 8.12% and Russell 1000 Value's 5.33% returns, expressing dissatisfaction with the portfolio's flat performance [1] - The fund focuses on investments in real assets and brands that generate growing free cash flow (FCF) per share, anticipating an increase in its ~10x FCF multiple to the mid-teens as management implements margin improvement strategies and share repurchases [1] Company Specifics - CNX Resources Corporation (NYSE:CNX) is highlighted as a key investment, with a one-month return of 1.58% and a 52-week loss of 10.47%, closing at $32.74 per share with a market capitalization of $4.63 billion on October 23, 2025 [2] - The fund expects CNX Resources to trade at a premium FCF multiple of 10-15x as its hedges mature and share repurchases continue, projecting that the stock price could exceed $50 per share due to higher-than-expected FCF per share from its low-cost approach [3] Market Position - CNX Resources is not among the 30 most popular stocks among hedge funds, with 33 hedge fund portfolios holding the stock at the end of Q2 2025, down from 36 in the previous quarter [4] - While acknowledging CNX Resources' potential, the analysis suggests that certain AI stocks may offer greater upside potential and lower downside risk [4]