TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” first-quarter investor letter. A copy of the letter can be downloaded here. In the first quarter, the strategy returned 11.72% (gross) and 11.49% (net) compared to 9.50% for the Russell Midcap Growth Index. The first-quarter performance was barbelled, particularly for U.S. small- to mid-cap equities. The best-performing stocks were those with the highest quality (return on equity) or low valuations (price/earnings). Stocks with higher risk (beta) or stocks with hyper-growth expectations were also rewarded. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Focus Growth Strategy highlighted stocks like Legend Biotech Corporation (NASDAQ:LEGN), in the first quarter 2024 investor letter. Legend Biotech Corporation (NASDAQ:LEGN) is a clinical-stage biopharmaceutical company. The one-month return of Legend Biotech Corporation (NASDAQ:LEGN) was 2.90%, and its shares lost 41.11% of their value over the last 52 weeks. On June 21, 2024, Legend Biotech Corporation (NASDAQ:LEGN) stock closed at $42.61 per share with a market capitalization of $7.767 billion.
TimesSquare Capital U.S. Focus Growth Strategy stated the following regarding Legend Biotech Corporation (NASDAQ:LEGN) in its first quarter 2024 investor letter:
“We began buying shares in Legend Biotech Corporation (NASDAQ:LEGN), a biotechnology developer of cell therapies to treat blood cancers such as multiple myeloma and leukemia. The European Union approved the use of Legend’s Carvykti treatment of multiple myeloma and later the FDA followed suit. Some investors may have been concerned about possible delays as Legend ramps up production, and its price declined. Though with a long-standing agreement with Johnson & Johnson and a new partnership with Novartis, we see a long runway of growth ahead, so we initiated a position.”
A laboratory with workers in masks and lab coats focused on analyzing cell therapies.
Legend Biotech Corporation (NASDAQ:LEGN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 27 hedge fund portfolios held Legend Biotech Corporation (NASDAQ:LEGN) at the end of the first quarter which was 34 in the previous quarter. In the first quarter, Legend Biotech Corporation (NASDAQ:LEGN) generated $94 million in revenues (See the details here). While we acknowledge the potential of Legend Biotech Corporation (NASDAQ:LEGN) 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 discussed Legend Biotech Corporation (NASDAQ:LEGN) in another article and shared the list of oversold midcap stocks to buy. 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.
