TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” second-quarter investor letter. A copy of the same can be downloaded here. The equity markets performed well in the second quarter, as long as one held only a small number of the biggest, fastest-growing U.S. stocks. Given the Magnificent Seven’s superior performance, differences in growth and value among large caps were downplayed. There wasn’t much style diversity between mid-caps, small caps, or outside the U.S. In the second quarter, the strategy returned -2.94% (gross) and -3.14% (net) while the Russell Midcap Growth Index returned -3.21%. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted stocks like BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ), in the second quarter 2024 investor letter. BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) operates warehouse clubs that provide groceries, general merchandise, gasoline and other ancillary services, coupon books, and promotions. The one-month return of BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) was -5.59%, and its shares gained 15.64% of their value over the last 52 weeks. On September 12, 2024, BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) stock closed at $80.75 per share with a market capitalization of $10.706 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) in its Q2 2024 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, or premium brands. Here there was a 16% gain from warehouse club operator BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ). Its revenues and earnings were better than expected, and BJ’s showed accelerating growth from membership fee income.”
A customer happily filling up their tank at the Wholesale Club’s gasoline station.
BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 34 hedge fund portfolios held BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) at the end of the second quarter which was 25 in the previous quarter. While we acknowledge the potential of BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) 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 BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) and shared the list of stocks that have Jim Cramer’s attention. BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) contributed to the performance of TimesSquare Capital Management in the previous quarter. 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.
