TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, the strategy returned -1.35% (gross) and -1.56% (net) compared to 8.14% for the Russell Midcap Growth Index. In the fourth quarter, the U.S. small to mid-cap growth equities with the greatest valuation (P/E), lowest quality (return on equity), or highest risk (beta or volatility) provided the strongest gains. In this environment, the portfolio’s fourth-quarter performance fell short of the Russell Midcap® Growth Index, resulting in poor performance for the year. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, TimesSquare Capital Management U.S. Focus Growth Strategy emphasized stocks such as BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ). 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 BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) was 2.59%, and its shares gained 56.09% of their value over the last 52 weeks. On April 3, 2025, BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) stock closed at $118.49 per share with a market capitalization of $15.602 billion.
TimesSquare Capital Management U.S. Focus Growth Strategy stated the following regarding BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) in its Q4 2024 investor letter:
“Membership warehouse club operator BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) rose 8%. They reported a solid quarter handily beating earnings estimates on the strength of better same store sales comparisons, increased customer traffic, and higher membership fees; those fees will be raised in January for the first time in seven years.”
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 30 Most Popular Stocks Among Hedge Funds. As per our database, 43 hedge fund portfolios held BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) at the end of the fourth quarter compared to 28 in the third 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.
We covered BJ’s Wholesale Club Holdings, Inc. (NYSE:BJ) in another article, where we shared River Road Small-Mid Cap Value Fund’s views on the company. 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.