Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Small Cap Growth Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. Small-cap stocks were unable to sustain the positive gains made in the first quarter and finished the second quarter in negative territory. Among the style indexes, the Russell 2000® Growth Index outperformed the Russell 2000® Value Index by a modest margin, with a decrease of 2.92% compared to a decrease of 3.75%. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Carillon Eagle Small Cap Growth Fund highlighted stocks like Evolent Health, Inc. (NYSE:EVH), in the second quarter 2024 investor letter. Evolent Health, Inc. (NYSE:EVH) is a specialty care management services provider in oncology, cardiology, and musculoskeletal markets. The one-month return of Evolent Health, Inc. (NYSE:EVH) was 32.29%, and its shares gained 18.97% of their value over the last 52 weeks. On August 28, 2024, Evolent Health, Inc. (NYSE:EVH) stock closed at $30.85 per share with a market capitalization of $3.588 billion.
Carillon Eagle Small Cap Growth Fund stated the following regarding Evolent Health, Inc. (NYSE:EVH) in its Q2 2024 investor letter:
“Evolent Health, Inc. (NYSE:EVH) is a leader in value-based care. It leverages a unique platform and AI technology to assist physicians in delivering efficient care plans for patients with cancer, cardiovascular disease, and complex musculoskeletal conditions, thereby reducing medical costs. Despite recent stock pressure due to higher than expected care levels depressing gross margins, the company’s contracts with managed care organizations ensure compensation adjustments, keeping Evolent on track for a healthy earnings before interest, taxes, depreciation, and amortization (EBITDA) run rate by the end of the year. Given its severe undervaluation, Evolent could potentially attract acquisition interest from private equity or managed care organizations.”
A doctor looking at their computer, discussing their patient’s care options with a group of experts.
Evolent Health, Inc. (NYSE:EVH) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 29 hedge fund portfolios held Evolent Health, Inc. (NYSE:EVH) at the end of the second quarter which was 28 in the previous quarter. Evolent Health, Inc. (NYSE:EVH) reported $647 million in revenue for the second quarter, exceeding internal expectations. While we acknowledge the potential of Evolent Health, Inc. (NYSE:EVH) 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 Evolent Health, Inc. (NYSE:EVH) and shared Oppenheimer’s favorite stocks for the next 12 months and the top stock picks. In addition, please check out our hedge fund investor letters Q2 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.
