The London Company, an investment management company, released “The London Company Small Cap Strategy” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, US equities traded higher, with most indices posting positive returns. The fund appreciated 2.5% (2.3%, net) outperforming the 0.3% increase of the Russell 2000 Index. The positive impact of both stock selection and sector allocation contributed to the relative performance of the strategy in the quarter. For more information on the fund’s top picks in 2024, please check its top five holdings.
In its fourth quarter 2024 investor letter, The London Company Small Cap Strategy emphasized stocks such as White Mountains Insurance Group, Ltd. (NYSE:WTM). Headquartered in Hamilton, Bermuda, White Mountains Insurance Group, Ltd. (NYSE:WTM) is an insurance and other financial services provider. On February 24, 2025, White Mountains Insurance Group, Ltd. (NYSE:WTM) stock closed at $1,818.58 per share. One-month return of White Mountains Insurance Group, Ltd. (NYSE:WTM) was -5.33%, and its shares gained 2.92% of their value over the last 52 weeks. White Mountains Insurance Group, Ltd. (NYSE:WTM) has a market capitalization of $4.67 billion.
The London Company Small Cap Strategy stated the following regarding White Mountains Insurance Group, Ltd. (NYSE:WTM) in its Q4 2024 investor letter:
“White Mountains Insurance Group, Ltd. (NYSE:WTM) – WTM reported solid quarterly earnings, attributable to growth in their Ark/Outrigger underwriting results, which reported an excellent 77% combined ratio with favorable prior year developments despite a major Atlantic hurricane landfall. As a result, book value per share continued to increase. We remain confident in management’s ability to deliver outsized growth in book value per share over time through prudent capital allocation.”
A view of the skyline with a corporate high-rise building, symbolizing the power of the company’s financial services.
White Mountains Insurance Group, Ltd. (NYSE:WTM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge fund portfolios held White Mountains Insurance Group, Ltd. (NYSE:WTM) at the end of the fourth quarter compared to 18 in the third quarter. While we acknowledge the potential of White Mountains Insurance Group, Ltd. (NYSE:WTM) 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 White Mountains Insurance Group, Ltd. (NYSE:WTM) and shared The London Company Small Cap Strategy’s views on the company in the previous quarter. 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.