ClearBridge Investments, an investment management company, released its “ClearBridge All Cap Growth Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the U.S. equities market experienced a brief decline due to disappointing employment statistics, causing an increase in volatility. Stocks surged after the Federal Reserve dropped interest rates by 50 basis points, resulting in wide gains for the period. The strategy performed in line with the benchmark in a value-driven market, with increased participation from positions in health care and communication services. In addition, please check the fund’s top five holdings to know its best picks in 2024.
ClearBridge All Cap Growth Strategy highlighted stocks like Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), in the third quarter 2024 investor letter. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, packages, tests, and sells integrated circuits and other semiconductor devices. The one-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was 3.86%, and its shares gained 96.03% of their value over the last 52 weeks. On December 9, 2024, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stock closed at $199.17 per share with a market capitalization of $1.033 trillion.
ClearBridge All Cap Growth Strategy stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q3 2024 investor letter:
“While the Strategy continues to have a significant position in Nvidia, we are underweight semiconductors versus the benchmark. We added to our semiconductor positioning during the quarter with the purchase of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). TSM, an out-of-benchmark name, is the world’s fabrication production provider of choice. The criticality and sophistication of its manufacturing footprint powers all of the leading edge fabless global semiconductor companies, including Apple, Nvidia, Qualcomm, AMD and Broadcom. While AI has driven upside in data centers, PCs and handsets are at cycle lows, positioning half of the company’s business for a recovery.”
A close-up of a complex network of integrated circuits used in logic semiconductors.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is in 11th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 158 hedge fund portfolios held Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of the third quarter which was 156 in the previous quarter. The third quarter revenue of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) increased 12.8% sequentially in NT. While we acknowledge the potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) 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 Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and shared the list of trending AI stocks on latest news and ratings. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.
READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.
Disclosure: None. This article is originally published at Insider Monkey.