Choice Equities Capital Management, a hedge fund manager, recently released its third-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the fund lost -1.8% on a net basis bringing year-to-date gain to +5.5% compared to the Russell 2000’s +9.3% gain for the quarter and +11.2% gain for YTD. The S&P 500 generated a quarterly gain of +5.9% taking year-to-date gains to +22.1%. Since its inception in 2017, the fund has generated annualized gains of +15.0% versus +7.8% and +14.5% returns for the indexes. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Choice Equities Capital Management highlighted stocks like The Hain Celestial Group, Inc. (NASDAQ:HAIN) in the third quarter 2024 investor letter. The Hain Celestial Group, Inc. (NASDAQ:HAIN) manufactures, markets, and distributes organic and natural products. The one-month return of The Hain Celestial Group, Inc. (NASDAQ:HAIN) was 4.82%, and its shares lost 22.76% of their value over the last 52 weeks. On November 4, 2024, The Hain Celestial Group, Inc. (NASDAQ:HAIN) stock closed at $9.06 per share with a market capitalization of $819.383 million.
Choice Equities Capital Management stated the following regarding The Hain Celestial Group, Inc. (NASDAQ:HAIN) in its Q3 2024 investor letter:
“The Hain Celestial Group, Inc. (NASDAQ:HAIN) – Hain Celestial Group is a recent addition to the portfolio. Since taking the helm in January 2023, CEO Wendy Davidson has been instrumental in driving the company’s transformation. Davidson has simplified the business by divesting non-core brands, focusing on higher-margin, core products, and implementing effective cost-saving measures. These initiatives have already led to noticeable improvements in operational efficiency, lower working capital needs, margin expansion, and a more consistent and desirable brand portfolio, positioning the company for attractive sustainable growth. As a result of these efforts, which have positioned the company well for several dollars of free cash flow per share in coming years, Hain Celestial Group now has lower leverage than most of its peers and stronger top and bottom-line growth prospects, yet the company trades at a highly discounted multiple on a forward-looking view. A more detailed internal memo has been attached for existing investors.”
Two hands crunching into a bag of the company’s organic vegetable chips.
The Hain Celestial Group, Inc. (NASDAQ:HAIN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 23 hedge fund portfolios held The Hain Celestial Group, Inc. (NASDAQ:HAIN) at the end of the second quarter which was 28 in the previous quarter. In the fiscal fourth quarter, The Hain Celestial Group, Inc. (NASDAQ:HAIN) experienced a decline in organic net sales growth of 4% year-over-year. This drop was attributed to decreased sales in both the North American and International segments. While we acknowledge the potential of The Hain Celestial Group, Inc. (NASDAQ:HAIN) 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 addition, please check out our hedge fund investor letters Q3 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.