Alphyn Capital Management, an investment management firm, released its second-quarter 2024 investor letter. A copy of the letter can be downloaded here. The Master Account of the fund returned -2.7% net in the second quarter compared to 4.3% for the S&P500 Index. As of June 30, 2024, the top ten holdings accounted for approximately 66% of the portfolio, and approximately 16% of the portfolio was held in cash. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Alphyn Capital Management highlighted stocks like Enovis Corporation (NYSE:ENOV), in the second quarter 2024 investor letter. Enovis Corporation (NYSE:ENOV) is a medical technology company. The one-month return of Enovis Corporation (NYSE:ENOV) was 1.71%, and its shares lost 30.22% of their value over the last 52 weeks. On July 11, 2024, Enovis Corporation (NYSE:ENOV) stock closed at $45.68 per share with a market capitalization of $2.506 billion.
Alphyn Capital Management stated the following regarding Enovis Corporation (NYSE:ENOV) in its Q2 2024 investor letter:
“I exited Enovis Corporation (NYSE:ENOV). On paper, their strategy of carving out a niche in foot and ankle niche and expanding to Europe through acquisitions is intelligent, allowing for potential cross-selling opportunities. Nevertheless, it is a relatively small company facing stiff competition from industry giants like Stryker and Zimmer, who have significant advantages of scale, large budgets for product development (such as robotics), extensive sales forces, and established platforms that surgeons have already trained on. It is less clear to me that Envois will “win” and it appears to have additional headwinds managing an extensive integration, including “negative synergies” from overlapping sales channels with its newly acquired companies.”
A patient recieving cold therapy treatment using the company’s products.
Enovis Corporation (NYSE:ENOV) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 29 hedge fund portfolios held Enovis Corporation (NYSE:ENOV) at the end of the first quarter which was 30 in the previous quarter. Enovis Corporation (NYSE:ENOV) reported sales of $516 million in the first quarter, representing a 27% year-over-year increase and 5% on a pro forma basis. While we acknowledge the potential of Enovis Corporation (NYSE:ENOV) 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.
We discussed Enovis Corporation (NYSE:ENOV) in another article and shared the list of fastest growing health tech companies in the world. 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.
