Laughing Water Capital, an investment management company, released its fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, Class A interests in Laughing Water Capital returned about 18.6% bringing year-to-date returns to approximately 39.5%. The SP500TR and R2000 returned 2.4% and 0.3% in the quarter and 25% and 11.5% year-to-date, respectively. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Laughing Water Capital highlighted stocks like PAR Technology Corporation (NYSE:PAR) in the fourth quarter 2024 investor letter. PAR Technology Corporation (NYSE:PAR) offers omnichannel cloud-based hardware and software solutions to the restaurant and retail industries. The one-month return of PAR Technology Corporation (NYSE:PAR) was -2.53%, and its shares gained 56.06% of their value over the last 52 weeks. On January 21, 2025, PAR Technology Corporation (NYSE:PAR) stock closed at $73.21 per share with a market capitalization of $2.768 billion.
Laughing Water Capital stated the following regarding PAR Technology Corporation (NYSE:PAR) in its Q4 2024 investor letter:
“PAR Technology Corporation (NYSE:PAR) – PAR, our restaurant software business, continues its march toward being the best-in-class technology partner for enterprise scale restaurants. Notably, following the sale of its Defense business, PAR is now a pure play in this arena and its adjacencies, including convenience stores, which increasingly focus on fresh food. In a recent investor day, PAR detailed the operating leverage in their business, including expectations for continued ~25% growth and the fact that operating expenses have not really grown in two years. This combination should quickly lead to substantial free cash flow, which in the hands of a very capable capital allocator should be very valuable.”
An engineer working in a tech lab, surrounded by tools and components.
PAR Technology Corporation (NYSE:PAR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held PAR Technology Corporation (NYSE:PAR) at the end of the third quarter which was 19 in the previous quarter. In the September quarter, PAR Technology Corporation (NYSE:PAR) reported $96.8 million in revenues, representing 41% year-over-year growth. While we acknowledge the potential of PAR Technology Corporation (NYSE:PAR) 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 previously discussed PAR Technology Corporation (NYSE:PAR) in another article and shared the list of stocks billion Dollar hedge fund Voss Capital is crazy about. In addition, please check out our hedge fund investor letters Q4 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.