Next Century Growth Investors, LLC, an investment Management Company, released its “Micro-Cap Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. Equity markets were mixed in the second quarter, large-cap stocks continue to outperform small-cap stocks. The strategy returned (0.95)% (net of fees) compared to a (5.56)% return for the Russell Microcap Growth Index. The Strategy outperformed in health care and technology and underperformed in consumer discretionary during the quarter. The firm believes that the economy’s trajectory and the outlook for earnings forecasts will determine the future course of the market. In addition, please check the fund’s top five holdings to know its best picks in 2024.
NCG Micro-Cap Strategy highlighted stocks like Orion Group Holdings, Inc. (NYSE:ORN), in the second quarter 2024 investor letter. Orion Group Holdings, Inc. (NYSE:ORN) is a specialty construction company that operates through Marine and Concrete segments. The one-month return of Orion Group Holdings, Inc. (NYSE:ORN) was -8.01%, and its shares gained 39.48% of their value over the last 52 weeks. On September 6, 2024, Orion Group Holdings, Inc. (NYSE:ORN) stock closed at $6.43 per share with a market capitalization of $214.576 million.
NCG Micro-Cap Strategy stated the following regarding Orion Group Holdings, Inc. (NYSE:ORN) in its Q2 2024 investor letter:
“Orion Group Holdings, Inc. (NYSE:ORN) is a leading provider of marine construction services and vertical concrete construction. In marine, they are a leader in enabling the buildout, expansion, and maintenance of ports in the United States. ORN’s size, scale, and ability to maintain and grow their equipment fleet relative to a highly fragmented end market allows them to drive growth and profits. There are numerous government and military spending initiatives within the marine segment so the growth outlook should remain strong.”
A bridge under construction, watched over by a team of experienced engineers.
Orion Group Holdings, Inc. (NYSE:ORN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 13 hedge fund portfolios held Orion Group Holdings, Inc. (NYSE:ORN) at the end of the second quarter which was 19 in the previous quarter. The company generated revenue of $192 million and adjusted EBITDA of $5.5 million in the second quarter. While we acknowledge the potential of Orion Group Holdings, Inc. (NYSE:ORN) 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 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.
