Artisan Partners, an investment management company, released its “Artisan Small Cap Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In Q2, data indicated strong US economic activity and a robust labor market, while inflation gradually moved closer to the Fed’s 2% target. In the second quarter, its Investor Class fund ARTSX returned -4.45%, Advisor Class fund APDSX posted a return of -4.40%, and Institutional Class fund APHSX returned -4.38%, compared to a return of -2.92% for the Russell 2000 Growth Index. From a sector standpoint, the underperformance was due to negative security selection, while the impact of allocation was slightly positive. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2024.
Artisan Small Cap Fund highlighted stocks like Wingstop Inc. (NASDAQ:WING) in the second quarter 2024 investor letter. Wingstop Inc. (NASDAQ:WING) is a restaurant company that operates under the brand name Wingstop. The one-month return of Wingstop Inc. (NASDAQ:WING) was 13.29%, and its shares gained 123.66% of their value over the last 52 weeks. On July 26, 2024, Wingstop Inc. (NASDAQ:WING) stock closed at $366.36 per share with a market capitalization of $11.007 billion.
Artisan Small Cap Fund stated the following regarding Wingstop Inc. (NASDAQ:WING) in its Q2 2024 investor letter:
“Notable trims in the quarter included Workiva and Wingstop Inc. (NASDAQ:WING). Wingstop has been an extremely strong performer for our portfolio since the beginning of 2023. The company is in the early stages of growing its store count domestically and internationally, which we believe is supported by attractive economics for franchisees and growing brand awareness. We continue to be impressed by the company’s earnings results, which are benefiting from strong same-store sales momentum driven by menu innovation, national branding efforts, integration of delivery providers and an ongoing value-based bundling strategy. We trimmed the position based on our valuation discipline.”
Customers savoring boneless wings at a bustling restaurant owned by the company.
Wingstop Inc. (NASDAQ:WING) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held Wingstop Inc. (NASDAQ:WING) at the end of the first quarter which was 32 in the previous quarter. In the first quarter, Wingstop Inc (NASDAQ:WING) reported $145.8 million in revenues, up 34.1% compared to the fiscal first quarter of 2023. While we acknowledge the potential of Wingstop Inc. (NASDAQ:WING) 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 Wingstop Inc. (NASDAQ:WING) and shared TimesSquare Capital U.S. Small Cap Growth Strategy’s views on the company. In the first quarter of 2024, the Artisan Small Cap Fund reduced its investment in Wingstop Inc. (NASDAQ:WING) due to valuation discipline. 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.
