TimesSquare Capital Management, an equity investment management company, released its “U.S. Small Cap Growth Strategy” first-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter the fund returned 5.77% (net), compared to a 7.58% return for the Russell 2000 Growth Index. Despite a decline in many equity markets in January, they rebounded over the following two months, resulting in a robust 2024 first quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Small Cap Growth Strategy highlighted stocks like Boot Barn Holdings, Inc. (NYSE:BOOT) in the first quarter 2024 investor letter. Boot Barn Holdings, Inc. (NYSE:BOOT) is a lifestyle retail chain that offers western and work-related footwear, apparel, and accessories. The one-month return of Boot Barn Holdings, Inc. (NYSE:BOOT) was 21.34%, and its shares gained 65.40% of their value over the last 52 weeks. On June 18, 2024, Boot Barn Holdings, Inc. (NYSE:BOOT) stock closed at $133.81 per share with a market capitalization of $4.068 billion.
TimesSquare Capital U.S. Small Cap Growth Strategy stated the following regarding Boot Barn Holdings, Inc. (NYSE:BOOT) in its first quarter 2024 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, or premium brands. Boot Barn Holdings, Inc. (NYSE:BOOT), a retail store operator of western and work-related footwear, apparel, and accessories, climbed 24% despite mixed fiscal third quarter results. While sales were impacted by unfavorable weather conditions in the northern and eastern parts of the country, lower freight costs translated into better operating margins and higher earnings.”
A farmer standing in a sun-drenched field wearing overalls and a rugged pair of western-style boots.
Boot Barn Holdings, Inc. (NYSE:BOOT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 25 hedge fund portfolios held Boot Barn Holdings, Inc. (NYSE:BOOT) at the end of the first quarter which was 32 in the previous quarter. Boot Barn Holdings, Inc.’s (NYSE:BOOT) net sales for the fiscal fourth quarter of 2024 dropped 8.7% to $388 million, but net sales for the full year fiscal 2024 rose by almost 100% to nearly $1.7 billion. While we acknowledge the potential of Boot Barn Holdings, Inc. (NYSE:BOOT) 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 Boot Barn Holdings, Inc. (NYSE:BOOT) and shared SouthernSun Small Cap Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q1 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.
