LVS Advisory, a New York City-based full-service investment firm, recently released its fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. The LVS Event-Driven portfolio had a strong performance in 2024 with a 7.5% (net of fees) return, despite a challenging environment for the asset class. The LVS Growth Portfolio delivered an exceptionally strong year with an absolute return 36.7%, outperforming the S&P 500 by over 11%. For more information on the fund’s top picks in 2024, please check its top five holdings.
In its fourth quarter 2024 investor letter, LVS Advisory emphasized stocks such as Medpace Holdings, Inc. (NASDAQ:MEDP). Medpace Holdings, Inc. (NASDAQ:MEDP) is a clinical research-based drug and medical device development services provider. The one-month return of Medpace Holdings, Inc. (NASDAQ:MEDP) was -3.03%, and its shares lost 17.92% of their value over the last 52 weeks. On March 24, 2025, Medpace Holdings, Inc. (NASDAQ:MEDP) stock closed at $330.59 per share with a market capitalization of $10.07 billion.
LVS Advisory stated the following regarding Medpace Holdings, Inc. (NASDAQ:MEDP) in its Q4 2024 investor letter:
“Every experimental position will ultimately be classified as either having the potential to be a larger holding or added to our sell list. Medpace Holdings, Inc. (NASDAQ:MEDP) (discussed in the Q3 2024 letter) is a good example of a stock that has gone through this process. We initiated a small position in 2023 after some initial diligence and continued to better understand the business. When the stock declined over 30% from its highs in 2024, we were ready to make the position larger and understood the dynamics underlying the price decline which gave us confidence it was a buying opportunity.
On the other hand, if Medpace’s stock price fell for reasons that questioned our investment thesis, it would be easier for us to sell the stock and move on.
I have found this process of turning over experimental positions to be extremely accretive. Some investors strive to reduce turnover and only let new stocks into their portfolios with a high bar. I believe modest portfolio turnover is a sign of progress. We still want to keep a high bar and a long-term orientation for our larger, concentrated bets, but the experimental positions have improved our mental flexibility and nimbleness to explore new investment.”
A medical professional in a lab coat discussing with a colleague.
Medpace Holdings, Inc. (NASDAQ:MEDP) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held Medpace Holdings, Inc. (NASDAQ:MEDP) at the end of the fourth quarter which was 41 in the previous quarter. Medpace Holdings, Inc.’s (NASDAQ:MEDP) fourth quarter revenue was $536.6 million, up 7.7% year-over-year and full year 2024 revenue was $2.11 billion, up 11.8% from 2023. While we acknowledge the potential of Medpace Holdings, Inc. (NASDAQ:MEDP) 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 Medpace Holdings, Inc. (NASDAQ:MEDP) and shared the list of best diagnostics stocks to invest in. Madison Small Cap Fund purchased Medpace Holdings, Inc. (NASDAQ:MEDP) in the fourth quarter due to its consistent revenue growth and robust financial health. 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.
