Palm Valley Capital Management, an investment management firm, released the “Palm Valley Capital Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, Palm Valley Capital Fund declined -0.09% outperforming the -0.58% decline in the S&P SmallCap 600 and slightly underperforming the 0.32% gain in the Morningstar Small Cap Total Return Index. The Fund faced losses on certain equity positions, but these were partly balanced out by gains from Treasury bill holdings. During the quarter the equity positions in the Fund reduced by 3.6%. Cash equivalents comprised 78% of the fund’s assets at the period’s end. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Palm Valley Capital Fund highlighted stocks like Helen of Troy Limited (NASDAQ:HELE), in the fourth quarter 2024 investor letter. Helen of Troy Limited (NASDAQ:HELE) offers a wide range of consumer products. The one-month return of Helen of Troy Limited (NASDAQ:HELE) was -17.09%, and its shares lost 52.30% of their value over the last 52 weeks. On January 6, 2025, Helen of Troy Limited (NASDAQ:HELE) stock closed at $59.75 per share with a market capitalization of $1.365 billion.
Palm Valley Capital Fund stated the following regarding Helen of Troy Limited (NASDAQ:HELE) in its Q4 2024 investor letter:
“We sold out of two positions during the fourth quarter: Crawford & Co. (ticker: CRD/A) and Helen of Troy Limited (NASDAQ:HELE). We acquired shares of the consumer products company Helen of Troy in the third quarter after an ugly July earnings report. The stock rose past our valuation after the following period’s results were better than expectations.”
A woman in a spa setting, using Health & Wellness products.
Helen of Troy Limited (NASDAQ:HELE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 25 hedge fund portfolios held Helen of Troy Limited (NASDAQ:HELE) at the end of the third quarter which was 21 in the previous quarter. While we acknowledge the potential of Helen of Troy Limited (NASDAQ:HELE) 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 Helen of Troy Limited (NASDAQ:HELE) and shared the list of oversold small cap stocks to buy. Palm Valley Capital Fund initiated a position in Helen of Troy Limited (NASDAQ:HELE) during Q3 2024. In addition, please check out our hedge fund investor letters Q4 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.