Greenlight Capital, an investment management firm, released its fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In 2024, the Greenlight Capital funds returned 7.2% net of fees and expenses, compared to 25.0% for the S&P 500 index. The Partnerships have returned 3,117% cumulatively or 12.9% annualized both net of fees and expenses, since its inception in May 1996. The S&P 500 index has returned 1,421% or 10.0% annualized, over the same period. Election uncertainty dominated 2024, and now that the election is over, it seems like there is more uncertainty than ever before. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Greenlight Capital highlighted stocks like Tenet Healthcare Corporation (NYSE:THC) in the fourth quarter 2024 investor letter. Tenet Healthcare Corporation (NYSE:THC) is a diversified healthcare services company headquartered in Dallas, Texas. The one-month return of Tenet Healthcare Corporation (NYSE:THC) was 5.06%, and its shares gained 62.62% of their value over the last 52 weeks. On January 22, 2024, Tenet Healthcare Corporation (NYSE:THC) stock closed at $134.42 per share with a market capitalization of $12.78 billion.
Greenlight Capital stated the following regarding Tenet Healthcare Corporation (NYSE:THC) in its Q4 2024 investor letter:
“Peloton (PTON) and Tenet Healthcare Corporation (NYSE:THC) were also large winners during 2024. We exited THC after two years at a 99% IRR. The investment benefited from a low initial entry price, the company deleveraging by selling a few hospitals at substantial premiums to that implied by the stock price, strong results in the core business and share repurchases. With the valuation at a more reasonable level and the possible risk that the Trump administration might be less friendly to this sector, we decided to declare victory.”
A team of healthcare professionals in lab coats and masks meeting at a hospital ward.
Tenet Healthcare Corporation (NYSE:THC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 66 hedge fund portfolios held Tenet Healthcare Corporation (NYSE:THC) at the end of the third quarter which was 64 in the previous quarter. In the third quarter, Tenet Healthcare Corporation (NYSE:THC) reported total net operating revenues of $5.1 billion and consolidated adjusted EBITDA of $978 million, a 15% increase over third quarter 2023. While we acknowledge the potential of Tenet Healthcare Corporation (NYSE:THC) 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 Tenet Healthcare Corporation (NYSE:THC) and shared Meridian Contrarian Fund’s views on the company. 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.