GreensKeeper Asset Management, an investment management company, released its third quarter investor letter. A copy of the letter can be downloaded here. The Value Fund appreciated +4.7% (net) in the third quarter, +16.7% year to date and +24.4% over the past twelve months, however, the US dollar lowered returns by about -1.1% in Q3. The broader markets are clearly in positive territory for the year after a successful quarter. After the Federal Reserve decided to lower interest rates by 50 basis points in September, the major indices saw a surge, with the DJIA and S&P 500 closing the quarter at all-time highs. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
GreensKeeper Asset Management highlighted stocks like Alphabet Inc. (NASDAQ:GOOGL) in the third quarter 2024 investor letter. Alphabet Inc. (NASDAQ:GOOGL), the parent company of Google, offers various platforms and services operating through Google Services, Google Cloud, and Other Bets segments. The one-month return of Alphabet Inc. (NASDAQ:GOOGL) was -3.53%, and its shares gained 27.34% of their value over the last 52 weeks. On December 4, 2024, Alphabet Inc. (NASDAQ:GOOGL) stock closed at $174.37 per share with a market capitalization of $2.144 trillion.
GreensKeeper Asset Management stated the following regarding Alphabet Inc. (NASDAQ:GOOGL) in its Q3 2024 investor letter:
“Alphabet Inc. (NASDAQ:GOOGL) was our largest detractor this quarter, declining by -8.8%. Global antitrust pressures have intensified, with the U.S. Department of Justice and the European Commission targeting several dominant technology companies, including Alphabet. Historically, Alphabet has signed agreements with Apple to serve as the exclusive default search engine for the Safari browser—a practice that a US court recently ruled violated antitrust law. Despite the growing possibility that Alphabet will be required to end its exclusive distribution agreements with Apple, we believe that when faced with a choice screen, the vast majority of users will continue to select Google as their preferred search engine due to its quality advantage over competitors. In EU countries where Google was previously compelled to terminate similar agreements, 97% of users opted to retain Google as their default search engine when given a choice. A similar outcome in the United States would likely have an immaterial impact on GOOGL’s earnings power. Alphabet is also facing other regulatory cases, which we monitor closely.”
A user’s hands typing a search query into a Google Search box, emphasizing the company’s search capabilities.
Alphabet Inc. (NASDAQ:GOOGL) is in 4th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 202 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOGL) at the end of the third quarter which was 216 in the previous quarter. While we acknowledge the potential of Alphabet Inc. (NASDAQ:GOOGL) 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 Alphabet Inc. (NASDAQ:GOOGL) and shared the list of AI stocks that will skyrocket. 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.