Artisan Partners, an investment management company, released its “Artisan Mid Cap Value Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In the second quarter, its Investor Class fund ARTQX returned -5.37%, Advisor Class fund APDQX posted a return of -5.34%, and Institutional Class fund APHQX returned -5.28, compared to a -3.40% return for the Russell Midcap Value Index. Markets contracted in Q2 after widespread market participation drove US stocks upward in late 2023 and early 2024, with a few mega-cap technology names pushing the S&P 500 Index to all-time highs. Healthcare and consumer discretionary holdings held back the portfolio’s performance relative to the index. Financials, industrials, and technology holdings outperformed on the positive side. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Artisan Mid Cap Value Fund highlighted stocks like Analog Devices, Inc. (NASDAQ:ADI) in the second quarter 2024 investor letter. Analog Devices, Inc. (NASDAQ:ADI) designs, manufactures, tests, and markets integrated circuits (ICs), software, and subsystems products. The one-month return of Analog Devices, Inc. (NASDAQ:ADI) was -14.04%, and its shares gained 10.86% of their value over the last 52 weeks. On August 6, 2024, Analog Devices, Inc. (NASDAQ:ADI) stock closed at $204.88 per share with a market capitalization of $101.665 billion.
Artisan Mid Cap Value Fund stated the following regarding Analog Devices, Inc. (NASDAQ:ADI) in its Q2 2024 investor letter:
“Turning to the positive side of the ledger, our top contributors were Analog Devices, Inc. (NASDAQ:ADI), NetApp and Arch Capital Group. Analog Devices (ADI) is the second-largest analog semiconductor chipmaker in the world behind Texas Instruments. Investors are excited about the prospects of a cyclical recovery in semiconductors as ADI’s bookings have turned higher on improving demand and tight inventories. Initially purchased in 2006, ADI is one of our longest held stocks as the company has proven to be an excellent compounder of value due to its leadership position in a secular growth industry, strong balance sheet and cash-generating properties. ADI operates in attractive segments that offer high gross and operating margins and have sticky customers. Producing chips into applications that often have decades of longevity (autos, industrial, communications) and that are a small fraction of the overall cost within the value chain makes this business attractive and hard to displace once designed into the product/application.”
A technician looking at a circuit board of analog semiconductor products.
Analog Devices, Inc. (NASDAQ:ADI) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 65 hedge fund portfolios held Analog Devices, Inc. (NASDAQ:ADI) at the end of the first quarter which was 62 in the previous quarter. Analog Devices, Inc. (NASDAQ:ADI) reported second-quarter revenue of $2.16 billion, down 34% year-over-year. While we acknowledge the potential of Analog Devices, Inc. (NASDAQ:ADI) 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 Analog Devices, Inc. (NASDAQ:ADI) and shared Aristotle Atlantic Large Cap Growth Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q2 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.
