Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Mid Cap Growth Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. Having carried over some of the strength from the previous year into the first quarter, mid-cap stocks reversed course and ended the second quarter at a loss. The Russell Midcap Growth Index (down 3.21%) slightly outperformed the Russell Midcap Value Index (down 3.40%) in the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Carillon Eagle Mid Cap Growth Fund highlighted stocks like Five Below, Inc. (NASDAQ:FIVE), in the second quarter 2024 investor letter. Five Below, Inc. (NASDAQ:FIVE) is a US-based specialty value retailer. The one-month return of Five Below, Inc. (NASDAQ:FIVE) was 3.10%, and its shares lost 58.30% of their value over the last 52 weeks. On August 19, 2024, Five Below, Inc. (NASDAQ:FIVE) stock closed at $78.12 per share with a market capitalization of $4.302 billion.
Carillon Eagle Mid Cap Growth Fund stated the following regarding Five Below, Inc. (NASDAQ:FIVE) in its Q2 2024 investor letter:
“Five Below, Inc. (NASDAQ:FIVE is a high-growth value retailer. The stock underperformed as quarterly earnings missed expectations and forward guidance was lowered. Five Below saw its transaction growth go negative after a long stretch of positive growth. The company’s customer base appears to be pulling back in discretionary-focused items due to the accumulated weight of inflation.”
A family happily shopping for everyday items in a specialty retail store.
Five Below, Inc. (NASDAQ:FIVE) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held Five Below, Inc. (NASDAQ:FIVE) at the end of the second quarter which was 39 in the previous quarter. Five Below, Inc.’s (NASDAQ:FIVE) sales climbed by 11.8% to $811.9 million in the first quarter of 2024 from $726.2 million in Q1 2023. While we acknowledge the potential of Five Below, Inc. (NASDAQ:FIVE) 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 Five Below, Inc. (NASDAQ:FIVE) and shared Giverny Capital Asset Management’s views on the company. Five Below, Inc. (NASDAQ:FIVE) fell in Q1 2024 as well since the fiscal-year guidance and quarterly earnings fell short of expectations. 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.
