Columbia Threadneedle Investments, an investment management company released its “Columbia Threadneedle Global Technology Growth Strategy” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter, the fund returned 9.96% gross of fees and 9.72% net of fees compared to S&P Global 1200 Information Technology Index’s 12.35% return. Corporate earnings, lower interest rates, and expectations of further rate cuts, along with supportive Federal Reserve actions, led to an upward trend in stock prices. Large-cap growth stocks outperformed small-caps in the quarter. In addition, you can check the fund’s top 5 holdings for its best picks for 2024.
Columbia Threadneedle Global Technology Growth Strategy highlighted stocks like Advanced Micro Devices, Inc. (NASDAQ:AMD) in the second quarter 2024 investor letter. Advanced Micro Devices, Inc. (NASDAQ:AMD) is a semiconductor company that operates through Data Center, Client, Gaming, and Embedded segments. The one-month return of Advanced Micro Devices, Inc. (NASDAQ:AMD) was 10.63%, and its shares gained 59.15% of their value over the last 52 weeks. On September 27, 2024, Advanced Micro Devices, Inc. (NASDAQ:AMD) stock closed at $164.35 per share with a market capitalization of $265.997 billion.
Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Advanced Micro Devices, Inc. (NASDAQ:AMD) in its Q2 2024 investor letter:
“Shares of Advanced Micro Devices, Inc. (NASDAQ:AMD) lagged the market after the company reported earnings results that, while generally strong, left the market wanting more. The company reported AI revenue of ~$600 million and increased its forward-looking outlook for AI revenue growth, but shares took a breather, as results missed elevated expectations after the stock’s strong performance. Despite the stock’s underperformance during the quarter, the company’s AI story remains very much intact. The growth outlook for the company is supported by better cloud demand, enterprise recovery and continued share gains ahead of the company’s new AI product launch.”
A close up of a complex looking PCB board with several intergrated semiconductor parts.
Advanced Micro Devices, Inc. (NASDAQ:AMD) is in 13th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 108 hedge fund portfolios held Advanced Micro Devices, Inc. (NASDAQ:AMD) at the end of the second quarter which was 124 in the previous quarter. While we acknowledge the potential of Advanced Micro Devices, Inc. (NASDAQ:AMD) 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 Advanced Micro Devices, Inc. (NASDAQ:AMD) and shared the list of best revenue growth stocks to buy according to analysts along with the latest Federal Reserve actions and their market impact. In Q2 2024, Advanced Micro Devices, Inc. (NASDAQ:AMD) detracted from the performance of Baron Technology Fund due to investor concerns about its competitive edge against NVIDIA in the AI market.
In addition, please check out our hedge fund investor letters Q2 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.