TimesSquare Capital Management, an equity investment management company, released its “U.S. Small Cap Growth Strategy” first-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter the fund returned 5.77% (net), compared to a 7.58% return for the Russell 2000 Growth Index. Despite a decline in many equity markets in January, they rebounded over the following two months, resulting in a robust 2024 first quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Small Cap Growth Strategy highlighted stocks like JFrog Ltd. (NASDAQ:FROG), in the first quarter 2024 investor letter. Incorporated in 2008, JFrog Ltd. (NASDAQ:FROG) provides an end-to-end hybrid software supply chain platform. The one-month return of JFrog Ltd. (NASDAQ:FROG) was -0.55%, and its shares gained 23.44% of their value over the last 52 weeks. On June 20, 2024, JFrog Ltd. (NASDAQ:FROG) stock closed at $32.76 per share with a market capitalization of $3.552 billion.
TimesSquare Capital U.S. Small Cap Growth Strategy stated the following regarding JFrog Ltd. (NASDAQ:FROG) in its first quarter 2024 investor letter:
“Among the wide variety of Information Technology companies, we prefer critical system providers, specialized component designers, and systems that improve productivity or efficiency for their clients. JFrog Ltd. (NASDAQ:FROG), which offers a comprehensive development operations platform that powers and controls the software supply chain, leapt 28%. They reported strong results that were highlighted by a solid acceleration in cloud revenue growth. JFrog is seeing a nice adoption of its entire platform which is fueling large deals. Their large customer count virtually doubled in the quarter. Going forward, the company believes their new security offerings will drive increased deal sizes and customer upgrades.”
A corporate executive standing in front of a large monitor, demonstrating the DevOps package repository.
JFrog Ltd. (NASDAQ:FROG) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held JFrog Ltd. (NASDAQ:FROG) at the end of the first quarter which was 40 in the previous quarter. JFrog Ltd. (NASDAQ:FROG) delivered total revenue of $100.3 million in the first quarter of 2024, an increase of 26% year over year. While we acknowledge the potential of JFrog Ltd. (NASDAQ:FROG) 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.
In another article, we discussed JFrog Ltd. (NASDAQ:FROG) and shared TimesSquare Capital U.S. Small Cap Growth Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q1 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.
