O’keefe Stevens Advisory, an investment advisory firm, released its fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. 2024 was an eventful year for the fund, and its largest position, Nvidia (NVDA), grew over 170% as business remained robust. The 2024 results were satisfactory, with Nvidia and Fannie Mae (FNMA & FNMAS) showing positive performance, while Warner Brothers Discovery (WBD), Graftech (EAF), and GreenFirst Forest Products (ICLTF) significantly underperformed. In addition, please check the top 5 holdings of the strategy to know its best pick in 2024.
In its fourth quarter 2024 investor letter, O’keefe Stevens Advisory emphasized stocks such as AerCap Holdings N.V. (NYSE:AER). AerCap Holdings N.V. (NYSE:AER) engages in the lease, financing, sale, and management of flight equipment. The one-month return AerCap Holdings N.V. (NYSE:AER) was 1.06%, and its shares gained 26.20% of their value over the last 52 weeks. On February 10, 2025, AerCap Holdings N.V. (NYSE:AER) stock closed at $96.83 per share, with a market capitalization of $18.372 billion.
O’keefe Stevens Advisory stated the following regarding AerCap Holdings N.V. (NYSE:AER) in its Q4 2024 investor letter:
“AerCap Holdings N.V. (NYSE:AER) performed well in 2024 due to a robust secondary market for used aircraft stemming from supply shortages. Throughout 2024, the stock rose steadily, finishing the year up 29.8%, while initiating its first dividend in May. Our thesis remains unchanged as secondary transactions occur at significant premiums to carrying values. We are most excited that lease renewals signed in 2023-2024 will finally impact results, improving profitability. We expect AerCap to compound book value in the mid-teens over the next several years. We expect another year of above-average returns as the stock trades at tangible book value, 7.5 times our 2025 EPS estimate, and optionality related to Russian insurance claims.”
An aerial view of aircrafts flying in formation, reflecting the company’s punctuality and efficiency.
AerCap Holdings N.V. (NYSE:AER) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 68 hedge fund portfolios held AerCap Holdings N.V. (NYSE:AER) at the end of the third quarter which was 64 in the previous quarter. While we acknowledge the potential of AerCap Holdings N.V. (NYSE:AER) 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 AerCap Holdings N.V. (NYSE:AER) and shared Billionaire George Soros’ top stock picks. O’keefe Stevens Advisory named AerCap Holdings N.V. (NYSE:AER) as one of its top picks for 2024 in its Q4 2023 letter and shared the factors that have contributed to the company’s impressive performance and growth. In addition, please check out our hedge fund investor letters Q3 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.