Fidelity Investments, an investment management company, recently released its “Fidelity Dividend Growth Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. Fidelity Dividend Growth Fund is a diversified domestic equity strategy with a focus on large-cap core. The portfolio invests in large and mid-cap firms with potential for sustainable dividend growth. The fund’s Retail Class shares gained 4.42% in the third quarter, underperforming the 5.89% advance of the benchmark S&P 500 index. The Federal Reserve’s long-awaited shift to lowering interest rates, the promise of artificial intelligence, and robust corporate profitability drove the US stocks higher in Q3. In addition, you can check the fund’s top 5 holdings to know its best picks in 2024.
Fidelity Dividend Growth Fund highlighted stocks like QUALCOMM Incorporated (NASDAQ:QCOM), in the third quarter 2024 investor letter. QUALCOMM Incorporated (NASDAQ:QCOM) develops and commercializes foundational technologies for the wireless industry. The one-month return of QUALCOMM Incorporated (NASDAQ:QCOM) was -1.63%, and its shares gained 17.60% of their value over the last 52 weeks. On December 9, 2024, QUALCOMM Incorporated (NASDAQ:QCOM) stock closed at $160.74 per share with a market capitalization of $178.582 billion.
Fidelity Dividend Growth Fund stated the following regarding QUALCOMM Incorporated (NASDAQ:QCOM) in its Q3 2024 investor letter:
“At the stock level, QUALCOMM Incorporated (NASDAQ:QCOM) was a major detractor, returning about -14% the past three months. The firm develops and manufactures semiconductors, software and services used in mobile phones, and other wireless technologies. On July 31, the company reported second-quarter results, and issued guidance for Q3, both of which solidly exceeded expectations. The stock slid, however, on concerns about a slow recovery for smartphones. Additionally, shares dipped this quarter in step with other semiconductor-related names.”
A technician testing the latest 5G device, demonstrating the company’s commitment to innovation.
QUALCOMM Incorporated (NASDAQ:QCOM) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 74 hedge fund portfolios held QUALCOMM Incorporated (NASDAQ:QCOM) at the end of the third quarter which was 100 in the previous quarter. In the fiscal Q4 2024, QUALCOMM Incorporated (NASDAQ:QCOM) reported non-GAAP revenues of $10.2 billion and non-GAAP earnings per share of $2.69. While we acknowledge the potential of QUALCOMM Incorporated (NASDAQ:QCOM) 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 QUALCOMM Incorporated (NASDAQ:QCOM) and shared the list of trending AI stocks on latest news and ratings. 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.