Artisan Partners, an investment management company, released its “Artisan Mid Cap Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, the fund’s Investor Class fund ARTMX returned 5.11%, Advisor Class fund APDMX posted a return of 5.14%, and Institutional Class fund APHMX returned 5.14%, compared to an 8.14% return for the Russell Midcap Growth Index. US equities achieved solid Q4 gains, concluding a strong year. Following Donald Trump’s election win, optimism surged over deregulation and tax cuts. However, concerns about inflation from proposed tariffs and immigration policies emerged in December, introducing market volatility. Despite this, markets ended 2024 with strong gains, marking one of the best two-year performance stretches in decades. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, Artisan Mid Cap Fund emphasized stocks such as Monday.com Ltd. (NASDAQ:MNDY). Monday.com Ltd. (NASDAQ:MNDY) develops software applications and work management tools. The one-month return of Monday.com Ltd. (NASDAQ:MNDY) was 6.56%, and its shares gained 23.19% of their value over the last 52 weeks. On March 4, 2025, Monday.com Ltd. (NASDAQ:MNDY) stock closed at $276.52 per share with a market capitalization of $13.787 billion.
Artisan Mid Cap Fund stated the following regarding Monday.com Ltd. (NASDAQ:MNDY) in its Q4 2024 investor letter:
“We ended our investment campaigns in ON Semiconductor, Monday.com Ltd. (NASDAQ:MNDY) and CoStar Group during the quarter. Monday.com is a software provider specializing in project management offerings for businesses of all sizes. Our thesis was based on the company’s core project management product being differentiated due to its ease of implementation and wide use cases, driving attractive payback periods of two years. Meanwhile, the company was introducing new products for new and existing customers, and the management team was pivoting toward a more disciplined expense structure. The stock was a strong performer, but in the recent quarterly results, which were solid overall, it displayed signs of slowing growth. Given the stock’s elevated valuation, we no longer see the risk-reward as attractive relative to other opportunities.”
Software engineers collaborating on a project while seated in a shared workspace.
Monday.com Ltd. (NASDAQ:MNDY) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 68 hedge fund portfolios held Monday.com Ltd. (NASDAQ:MNDY) at the end of the fourth quarter which was 49 in the previous quarter. While we acknowledge the potential of Monday.com Ltd. (NASDAQ:MNDY) 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 Monday.com Ltd. (NASDAQ:MNDY) and shared the list of best performing software stocks to buy according to analysts. In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors.
READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.
Disclosure: None. This article is originally published at Insider Monkey.