ClearBridge Investments, an investment management company, released its “ClearBridge Mid Cap Growth Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. Beginning in July, a significant shift away from large caps fueled a rebound that propelled the Russell Midcap Index 9.21% higher outperforming the large cap Russell 1000 Index’s 6.08% gain. In the third quarter, the Strategy beat its benchmark driven by contributions from its investments in the IT and healthcare sectors. In addition, please check the fund’s top five holdings to know its best picks in 2024.
ClearBridge Mid Cap Growth Strategy highlighted stocks like Doximity, Inc. (NYSE:DOCS) in its Q3 2024 investor letter. Headquartered in San Francisco, California, Doximity, Inc. (NYSE:DOCS) provides a cloud-based digital platform for medical professionals. The one-month return of Doximity, Inc. (NYSE:DOCS) was -7.27%, and its shares gained 124.01% of their value over the last 52 weeks. On December 9, 2024, Doximity, Inc. (NYSE:DOCS) stock closed at $53.83 per share with a market capitalization of $10.05 billion.
ClearBridge Mid Cap Growth Strategy stated the following regarding Doximity, Inc. (NYSE:DOCS) in its Q3 2024 investor letter:
“Health care was also a positive contributor in the third quarter. Our top-performing holding in the sector was Doximity, Inc. (NYSE:DOCS), which operates a digital platform for medical professionals that supports collaboration, patient care and telehealth. The company has a history of consistent execution and, while it stumbled last year in effectively communicating realistic guidance and outlooks, it appears that management has regained investors’ trust through several quarters of solid execution.”
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Doximity, Inc. (NYSE:DOCS) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 19 hedge fund portfolios held Doximity, Inc. (NYSE:DOCS) at the end of the third quarter which was 26 in the previous quarter. In the second quarter of fiscal 2025, Doximity, Inc. (NYSE:DOCS) delivered $137 million of revenue, which represents 20% year-on-year increase and a 7% above the high end of its guidance range. While we acknowledge the potential of Doximity, Inc. (NYSE:DOCS) 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 Doximity, Inc. (NYSE:DOCS) and shared Fidelity Growth Strategies Fund’s views on the company. Doximity, Inc. (NYSE:DOCS) boosted Meridian Growth Fund’s third-quarter performance due to strong revenue growth and margin expansion. In addition, please check out our hedge fund investor letters Q3 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.