Madison Funds, an investment management firm, published its “Madison Small Cap Fund” first quarter 2021 investor letter – a copy of which can be downloaded here. The Madison Small Cap Fund Class Y (at NAV) outperformed the Russell 2000 Index by 103 basis points (bps) and by 280 bps compared to the Russell 2500 Index for the Q1 of 2021. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.
Madison Small Cap Fund, in their Q1 2021 investor letter, mentioned Armstrong World Industries, Inc. (NYSE: AWI), and shared their insights on the company. Armstrong World Industries, Inc. is a Lancaster, Pennsylvania-based manufacturing company that currently has a $4.9 billion market capitalization. Since the beginning of the year, AWI delivered a 41.53% return, extending its 12-month gains to 88.09%. As of April 28, 2021, the stock closed at $104.03 per share.
Here is what Madison Investors Funds has to say about Armstrong World Industries, Inc. in their Q1 2021 investor letter:
“We added (position) to Armstrong Worldwide in the quarter. Armstrong Worldwide is a leading producer of ceiling tiles into the commercial office market. The company should see accelerating demand as our economy continues to recover.”
Our calculations show that Armstrong World Industries, Inc. (NYSE: AWI) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Armstrong World Industries, Inc. was in 31 hedge fund portfolios, compared to 30 funds in the third quarter. AWI delivered a 32.87% return in the past 3 months.
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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Disclosure: None. This article is originally published at Insider Monkey.
