Columbia Threadneedle Investments, an investment management company released its “Columbia Threadneedle Global Technology Growth Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. Equity markets rose once again, marking the fourth consecutive quarter of positive returns for stocks as the Federal Reserve lowered interest rates for the first time since the start of the pandemic, with a much anticipated 0.5% (50 basis point) cut marking a shift to a more balanced policy. In the quarter, the fund returned -0.94% compared to the S&P Global 1200 Information Technology Index-net’s 0.72% return. Security selection drove the fund’s performance relative to the benchmark. In addition, you can check the fund’s top 5 holdings for its best picks for 2024.
Columbia Threadneedle Global Technology Growth Strategy highlighted stocks like Oracle Corporation (NYSE:ORCL), in the third quarter 2024 investor letter. Oracle Corporation (NYSE:ORCL) offers products and services that address enterprise information technology environments. The one-month return of Oracle Corporation (NYSE:ORCL) was 11.52%, and its shares gained 65.10% of their value over the last 52 weeks. On November 22, 2024, Oracle Corporation (NYSE:ORCL) stock closed at $192.29 per share with a market capitalization of $532.847 billion.
Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Oracle Corporation (NYSE:ORCL) in its Q3 2024 investor letter:
“Oracle Corporation (NYSE:ORCL) soared after the company reported stellar earnings that smashed quarterly earnings expectations and shares climbed even higher after the company updated long-term growth aspirations at an investor event featuring several new products. The stock has re-rated over 60% in 2024 and cemented its status as an AI contender (and not an AI pretender) and the only vendor providing a complete enterprise technology stack. Oracle has partnerships with all three big cloud providers, and the company’s compelling infrastructure offering position the company as a durable “picks[1]and-shovels” provider to AI workloads.”
A team of IT professionals meticulously crafting a large-scale enterprise performance management system.
Oracle Corporation (NYSE:ORCL) ranks 27th in our list of the 31 Most Popular Stocks Among Hedge Funds. As per our database, 91 hedge fund portfolios held Oracle Corporation (NYSE:ORCL) at the end of the third quarter which was 93 in the previous quarter. Oracle Corporation (NYSE:ORCL) reported a $13.3 billion in revenues in the fiscal first quarter of 2025, up 8% from last year. While we acknowledge the potential of Oracle Corporation (NYSE:ORCL) 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 Oracle Corporation (NYSE:ORCL) and shared Madison Sustainable Equity Fund’s views on the company. 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.