Riverwater Partners, an investment management company, released its “Micro Opportunities Strategy” Q4 2024 investor letter. A copy of the letter can be downloaded here. Although the Micro Opportunities Strategy had impressive absolute returns in the fourth quarter, it fell short of the benchmark, which resulted in a year-over-year underperformance. The quarterly results were primarily driven by stock selection. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Riverwater Partners Micro Opportunities Strategy highlighted stocks like A-Mark Precious Metals, Inc. (NASDAQ:AMRK), in the fourth quarter 2024 investor letter. A-Mark Precious Metals, Inc. (NASDAQ:AMRK) is a precious metals trading company. The one-month return of A-Mark Precious Metals, Inc. (NASDAQ:AMRK) was 4.21%, and its shares gained 0.84% of their value over the last 52 weeks. On January 21, 2025, A-Mark Precious Metals, Inc. (NASDAQ:AMRK) stock closed at $27.47 per share with a market capitalization of $636.867 million.
Riverwater Partners Micro Opportunities Strategy stated the following regarding A-Mark Precious Metals, Inc. (NASDAQ:AMRK) in its Q4 2024 investor letter:
“On the other hand, A-Mark Precious Metals, Inc. (NASDAQ:AMRK) was the largest detractor. AMRK benefitted earlier in the year from rising gold prices but faced headwinds as gold prices declined post-election and earnings disappointed. The company’s business model, which experiences shrinking margins when buyers turn into sellers during gold price surges, remains misunderstood by the market. Despite recent challenges, we remain confident in AMRK’s long-term potential and expect margins to recover as gold prices have come down.”
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A-Mark Precious Metals, Inc. (NASDAQ:AMRK) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 23 hedge fund portfolios held A-Mark Precious Metals, Inc. (NASDAQ:AMRK) at the end of the second quarter which was 17 in the previous quarter. In the fiscal first quarter 0f 2025, A-Mark Precious Metals, Inc. (NASDAQ:AMRK) reported $2.72 billion in revenues, up 9% from prior year’s quarter. While we acknowledge the potential of A-Mark Precious Metals, Inc. (NASDAQ:AMRK) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
We previously discussed A-Mark Precious Metals, Inc. (NASDAQ:AMRK) in another article, where we shared Praetorian Capital’s views on the company. In addition, please check out our hedge fund investor letters Q4 2024 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.