Invesco Small Cap Value Fund Sold Vistra Corp. (VST) on Price Appreciation

Invesco Distributors, Inc., an investment management firm, released its “Invesco Small Cap Value Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, the fund outperformed the benchmark due to stock selection and an overweight in industrials. Despite elevated short-term fears, the firm identified long-term intrinsic value upside across diverse industries. Fund remained overweight in economically sensitive stocks compared to benchmark and peers. 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, Invesco Small Cap Value Fund emphasized stocks such as Vistra Corp. (NYSE:VST). Vistra Corp. (NYSE:VST) is an integrated retail electricity and power generation company. The one-month return of Vistra Corp. (NYSE:VST) was -31.36%, and its shares gained 86.98% of their value over the last 52 weeks. On March 11, 2025, Vistra Corp. (NYSE:VST) stock closed at $114.36 per share with a market capitalization of $38.8 billion.

Invesco Small Cap Value Fund stated the following regarding Vistra Corp. (NYSE:VST) in its Q4 2024 investor letter:

“Vistra Corp. (NYSE:VST): This large US power producer and retail energy provider has been a long-term fund holding. Shares have risen in recent years due to strong demand, apparently driven by the build out of energy-intensive AI data centers. Given this price appreciation, we sold the position to fund more attractive opportunities.”

Is Vistra Corp. (VST) The Best Upside Stock To Buy Right Now?

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Vistra Corp. (NYSE:VST) is in 28th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 120 hedge fund portfolios held Vistra Corp. (NYSE:VST) at the end of the fourth quarter which was 97 in the previous quarter. While we acknowledge the potential of Vistra Corp. (NYSE:VST) 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 Vistra Corp. (NYSE:VST) and shared the list of top beaten down large cap stocks that can double according to Wall Street. 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.