TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” third-quarter investor letter. A copy of the letter can be downloaded here. Within equities, smaller or value-oriented stocks in developed economies yielded higher, whereas emerging markets saw the opposite trend. In the third quarter, the strategy returned 4.96% (gross) and 4.75% (net) while the Russell Midcap Growth Index returned 6.54%. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted stocks like Samsara Inc. (NYSE:IOT) in the third quarter 2024 investor letter. Samsara Inc. (NYSE:IOT) offers solutions to connect physical operations data to its connected operations cloud. The one-month return of Samsara Inc. (NYSE:IOT) was -4.55%, and its shares gained 46.66% of their value over the last 52 weeks. On December 9, 2024, Samsara Inc. (NYSE:IOT) stock closed at $50.13 per share with a market capitalization of $29.08 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding Samsara Inc. (NYSE:IOT) in its Q3 2024 investor letter:
“Among the wide variety of Information Technology companies, we prefer critical system providers, specialized component designers, systems that improve productivity or efficiency for their clients, and others that are growing their shares of corporate IT budgets. Samsara Inc. (NYSE:IOT) develops Internet connected sensor systems. Strong results boosted the stock by 43%. The quarter was highlighted by new customer wins and revenue growth. Samsara’s value proposition is their products create tangible return on investment. Its client space spans across construction, field services, utilities, transportation, and logistics.”
A data analyst wearing virtual reality goggles while analyzing on-board telematics.
Samsara Inc. (NYSE:IOT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 30 hedge fund portfolios held Samsara Inc. (NYSE:IOT) at the end of the third quarter which was 26 in the previous quarter. Samsara Inc. (NYSE:IOT) ended the third quarter with $1.35 billion in ARR, growing 35% year-over-year. While we acknowledge the potential of Samsara Inc. (NYSE:IOT) 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 Samsara Inc. (NYSE:IOT) and shared AI news updates that broke the internet. Baron Fifth Avenue Growth Fund established a position in Samsara Inc. (NYSE:IOT) during Q3 2024, recognizing its significant long-term growth potential. 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.