SouthernSun Asset Management, LLC, an investment management firm, released its “SouthernSun Small Cap Strategy” first quarter 2024 investor letter. A copy of the letter can be downloaded here. In the first quarter, the strategy increased 7.01% on a gross basis (6.83% net) compared to a 5.18% return for the Russell 2000 Index and 2.90% for the Russell 2000 Value Index. The strategy returned 16.98% on a gross basis (16.13% net) for the trailing twelve months compared to 19.71% and 18.75% respectively for the indexes over the same period. In addition, please check the top 5 holdings of the strategy to know its best pick in 2024.
SouthernSun Small Cap Strategy featured stocks like Boot Barn Holdings, Inc. (NYSE:BOOT) in the first quarter 2024 investor letter. Headquartered in Irvine, California, Boot Barn Holdings, Inc. (NYSE:BOOT) is a lifestyle retail chain that offers western and work-related footwear, apparel, and accessories. On May 1, 2024, Boot Barn Holdings, Inc. (NYSE:BOOT) stock closed at $102.06 per share. One-month return of Boot Barn Holdings, Inc. (NYSE:BOOT) was 3.88%, and its shares gained 42.52% of their value over the last 52 weeks. Boot Barn Holdings, Inc. (NYSE:BOOT) has a market capitalization of $3.093 billion.
SouthernSun Small Cap Strategy stated the following regarding Boot Barn Holdings, Inc. (NYSE:BOOT) in its first quarter 2024 investor letter:
“Boot Barn Holdings, Inc. (NYSE:BOOT) is the largest retailer of western and work-related footwear, apparel, and accessories in the United States with more than 380 stores in 44 states, and an e-commerce channel consisting of bootbarn.com, sheplers.com and countryoutfitter.com. BOOT was one of the top contributors in the Small Cap strategy in the first quarter. We believe management has a sensible and achievable plan to expand their store count to approximately 900 stores over the next several years and believe they can do this without adding leverage to the balance sheet. Gross margin was up 180 bps in the most recent quarter, as they increased the mix of higher-margin proprietary brands. We continue to like the long-term growth and profitability prospects for BOOT and believe that the management team is well qualified to execute their strategy.”
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 30 Most Popular Stocks Among Hedge Funds. According to our database at the end of the fourth quarter, Boot Barn Holdings, Inc. (NYSE:BOOT) was held by 32 hedge fund portfolios, compared to 29 in the previous quarter.
We previously discussed Boot Barn Holdings, Inc. (NYSE:BOOT) in another article, where we shared the list of stocks receiving a massive vote of approval from Wall Street analysts. 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.
