Lakehouse Capital, a Sydney-based investment manager, released its “Lakehouse Global Growth Fund” November 2023 investor letter. A copy of the same can be downloaded here. During November, global equity markets performed well with the team focusing on tracking earnings reports of various portfolio companies. The portfolio’s holdings continue to perform well, displaying strong fundamentals and executing on their growth opportunities. The Fund returned 10.9% net of fees and expenses for the month compared to 4.3% for its benchmark. Since its inception in December 2017, the Fund has returned 124.8% compared to 75.0% for its benchmark’s, MSCI All Country World Index, Net Total Returns (AUD). In addition, please check the fund’s top five holdings to know its best picks in 2023.
Lakehouse Global Growth Fund featured stocks like MercadoLibre, Inc. (NASDAQ:MELI) in its Q4 2023 investor letter. Headquartered in Montevideo, Uruguay, Mercadolibre, Inc. (NASDAQ:MELI) is an online commerce platform that operates through Mercado Libre Marketplace and Mercado Pago FinTech platform. On March 5, 2024, MercadoLibre, Inc. (NASDAQ:MELI) stock closed at $1,525.59 per share. One-month return of MercadoLibre, Inc. (NASDAQ:MELI) was -11.96%, and its shares gained 26.94% of their value over the last 52 weeks. MercadoLibre, Inc. (NASDAQ:MELI) has a market capitalization of $77.343 billion.
Lakehouse Global Growth Fund stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its fourth quarter 2023 investor letter:
“The Funds second largest holding, Buenos Aires-based e-commerce leader MercadoLibre, Inc. (NASDAQ:MELI) delivered another standout result in November that came in well ahead of analysts’ expectations. Net revenue grew 40% year-on-year in U.S. dollar terms to $3.76 billion while operating income grew 131% to $685 million, providing a very impressive balance of growth and profitability. The marketplace business grew across all major regions and total gross merchandise volume (GMV) increased to $11.4 billion, up 32% year-on-year. The platform’s core metrics remained healthy with items sold accelerating for the fourth straight quarter to 357 million, unique buyers increasing 18% year-on-year to 50.3 million and items sold per buyer reaching an all-time high of 7.1.
As always, the company continues to invest in its logistics capabilities and is now able to deliver 80% of all items sold within 48 hours and 54% same or next day. In our view, building and owning a first-class logistics network is critical for the company’s success as it will ultimately help protect its market share and profits from competitors over the long-term. We also note that faster shipping accelerates sales growth, which in turn, fosters wider selection, better prices, and greater investment in logistics, all part of a virtuous cycle. Zooming out, as the largest ecommerce player in LATAM, we continue to believe MercadoLibre is in an ideal position to capitalise on the significant opportunities ahead and deliver many years of above average growth and margin expansion.”
A businesswoman using her mobile device to shop on a ecommerce platform.
MercadoLibre, Inc. (NASDAQ:MELI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, MercadoLibre, Inc. (NASDAQ:MELI) was held by 81 hedge fund portfolios, up from 76 in the previous quarter, according to our database.
We discussed MercadoLibre, Inc. (NASDAQ:MELI) in another article and shared Baron Global Advantage Fund’s views on the company. In addition, please check out our hedge fund investor letters Q4 2023 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.
