Ariel Investments, an investment management company, released its “Ariel Focus Fund” fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. Small cap issues fell in December due to uncertainty and slower Federal Reserve easing, but investors should focus on solid fundamentals as stock prices rise. In the fourth quarter, the fund declined -1.19%, compared to -1.98% return for the Russell 1000 Value Index and the +2.41% return for the S&P 500 Index. The fund increased +13.48%, over the trailing one-year period, compared to +14.37% and +25.02%, respectively, for the indexes. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, Ariel Focus Fund emphasized stocks such as Barrick Gold Corporation (NYSE:GOLD). Barrick Gold Corporation (NYSE:GOLD) engages in the exploration, mine development, production, and sale of gold and copper properties. The one-month return of Barrick Gold Corporation (NYSE:GOLD was 7.19%, and its shares gained 14.81% of their value over the last 52 weeks. On February 28, 2025, Barrick Gold Corporation (NYSE:GOLD stock closed at $17.75 per share with a market capitalization of $30.68 billion.
Ariel Focus Fund stated the following regarding Barrick Gold Corporation (NYSE:GOLD in its Q4 2024 investor letter:
“Lastly, gold mining company, Barrick Gold Corporation (NYSE:GOLD) fell following an investor day where management reduced five-year guidance for gold production and raised cost estimates. Meanwhile, a dispute with the African government of Mali and associated negative headlines created an overhang on shares. Despite ongoing uncertainty, management remains laser focused on upgrading its mining operations and broadly improving efficiencies amid today’s rising prices for precious metals. The company also continues to prioritize capital returns to shareholders via dividends and share repurchases. At current valuation levels, we believe the risk/reward is priced in.”
Aerial view of the Rodeo gold mine with a team of miners in the foreground.
Barrick Gold Corporation (NYSE:GOLD is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 44 hedge fund portfolios held Barrick Gold Corporation (NYSE:GOLD at the end of the fourth quarter compared to 42 in the third quarter. While we acknowledge the potential of Barrick Gold Corporation (NYSE:GOLD 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 Barrick Gold Corporation (NYSE:GOLD and shared the list of best performing large cap stocks to buy according to analysts. In addition, please check out our hedge fund investor letters Q4 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.