Diamond Hill Capital, an investment management company, released its “Select Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. In Q2, markets saw a modest boost, delivering positive returns across the majority of regions and nations. The Russell 3000 Index showed a +3% increase in US stocks; however, the majority of the gains came from large-cap stocks, which increased by about +4%. Returns were negative across the cap spectrum, with mid-caps and small caps, as indicated by their respective Russell indices, each down about -3%. The portfolio underperformed the Russell 3000 Index in Q2 and returned -4.96% net of fees compared to 3.22% for the index. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2024.
Diamond Hill Select Strategy highlighted stocks like Abbott Laboratories (NYSE:ABT) in the second quarter 2024 investor letter. Abbott Laboratories (NYSE:ABT) engages in the discovery, development, manufacturing, and sale of healthcare products. On July 29, 2024, Abbott Laboratories (NYSE:ABT) stock closed at $104.77 per share. One-month return of Abbott Laboratories (NYSE:ABT) was 1.52%, and its shares lost 5.21% of their value over the last 52 weeks. Abbott Laboratories (NYSE:ABT) has a market capitalization of $182.261 billion.
Diamond Hill Select Strategy stated the following regarding Abbott Laboratories (NYSE:ABT) in its Q2 2024 investor letter:
“Abbott Laboratories (NYSE:ABT) is a diversified health care company with an extensive portfolio that spans medical devices, pharmaceuticals, nutritionals and diagnostics. With a substantial portion of its revenues generated internationally, emerging markets contribute about 40% of overall sales. We have always liked Abbott’s diverse mix of businesses and its fundamental growth prospects. The management team has consistently demonstrated skill in capital allocation, highlighted by strategic divestitures such as the European generic business in 2014, and significant acquisitions like St. Jude in 2016.”
An operating room with a doctor monitoring a patient’s vital signs during surgery with a medical device.
Abbott Laboratories (NYSE:ABT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. Abbott Laboratories (NYSE:ABT) was held by 62 hedge fund portfolios at the end of the first quarter, compared to 64 in the previous quarter, according to our database. During the second quarter, Abbott Laboratories (NYSE:ABT) recorded an organic sales growth of 7.4% and achieved adjusted earnings per share of $1.14, exceeding analyst estimates. While we acknowledge the potential of Abbott Laboratories (NYSE:ABT) 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 Abbott Laboratories (NYSE:ABT) and shared Aristotle Atlantic Core Equity Strategy’s views on the company. 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.
