Meridian Funds, managed by ArrowMark Partners, released its “Meridian Hedged Equity Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. The direction of interest rates, inflation, and the outcome of the US election all had a significant impact on the markets throughout the quarter. In the quarter, the fund appreciated 0.07% (net), trailing its benchmark, the S&P 500 Index, which returned 2.41%, and its secondary benchmark, the CBOE S&P 500 Buy/Write Index’s 5.79% return. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
In its fourth quarter 2024 investor letter, Meridian Hedged Equity Fund emphasized stocks such as Danaher Corporation (NYSE:DHR). Danaher Corporation (NYSE:DHR) manufactures and distributes a diverse portfolio of products and services for professional, medical, industrial, and commercial applications. The one-month return of Danaher Corporation (NYSE:DHR) was 1.98%, and its shares lost 18.76% of their value over the last 52 weeks. On March 11, 2025, Danaher Corporation (NYSE:DHR) stock closed at $205.61 per share with a market capitalization of $146.95 billion.
Meridian Hedged Equity Fund stated the following regarding Danaher Corporation (NYSE:DHR) in its Q4 2024 investor letter:
“Danaher Corporation (NYSE:DHR) is a global leader in life sciences and diagnostics, with a strong presence in bioprocessing, medical research, and clinical diagnostics. We hold Danaher for its competitive positioning in growing end-markets, particularly its underappreciated non-COVID bioprocessing franchise, and its consistent free cash flow generation. Third-quarter results were mixed, with organic revenue growth surpassing guidance but falling short of broader expectations. Strength in bioprocessing orders contrasted with softness in life sciences instruments and ongoing inventory destocking. The diagnostics business delivered solid growth, driven by strong respiratory testing performance. Despite near-term challenges, we remain confident in Danaher’s market leadership and its ability to capture renewed demand as conditions normalize. We also expect the company’s operational excellence and strategic M&A capabilities to drive further value creation as end markets recover.”
A healthcare professional in a lab coat holding a microscope and looking at a slide under the lens.
Danaher Corporation (NYSE:DHR) is in 27th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 101 hedge fund portfolios held Danaher Corporation (NYSE:DHR) at the end of the fourth quarter which was 98 in the previous quarter. In 2024, Danaher Corporation (NYSE:DHR) reported an annual sale of $23.9 billion with a 1.5% decrease in core revenue. In the fourth quarter the company generated $6.5 billion in sales, showing a 1% core revenue growth. While we acknowledge the potential of Danaher Corporation (NYSE:DHR) 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 Danaher Corporation (NYSE:DHR) and shared the list of big-cap stocks those are plunging so far in 2025. 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.