Meridian Funds, managed by ArrowMark Partners, released its “Meridian Growth Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. Large cap growth stocks saw a 7.1% gain in the quarter, contributing to 33.4% annual gains. The strong performance was driven by optimism for Trump’s re-election, anticipated tax cuts, and a business-friendly regulatory environment. In the fourth quarter, the fund returned -0.81% (net) underperforming the benchmark, the Russell 2500 Growth Index’s 2.43% return. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, Meridian Growth Fund emphasized stocks such as Remitly Global, Inc. (NASDAQ:RELY). Remitly Global, Inc. (NASDAQ:RELY) offers digital financial services for immigrants, their families, and other citizens. The one-month return of Remitly Global, Inc. (NASDAQ:RELY) was 12.03%, and its shares gained 22.00% of their value over the last 52 weeks. On February 20, 2025, Remitly Global, Inc. (NASDAQ:RELY) stock closed at $25.79 per share with a market capitalization of $5.108 billion.
Meridian Growth Fund stated the following regarding Remitly Global, Inc. (NASDAQ:RELY) in its Q4 2024 investor letter:
“Remitly Global, Inc. (NASDAQ:RELY) is a digitally native money transfer company that is taking share in the cross-border remittance market from established competitors such as Western Union and MoneyGram. The company has reached a level of scale that we believe can translate into significantly improving profitability going forward. The stock advanced following robust revenue growth that exceeded expectations and an upward revision to its full-year revenue and EBITDA growth outlook. We increased our position during the period based on our favorable outlook for the company.”
A senior banker shaking hands with migrant customers in a corporate boardroom.
Remitly Global, Inc. (NASDAQ:RELY) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 35 hedge fund portfolios held Remitly Global, Inc. (NASDAQ:RELY) at the end of the fourth quarter compared to 29 in the third quarter. In the fourth quarter 2024, Remitly Global, Inc. (NASDAQ:RELY) revenue increased by 33% year-over-year to$351.9 million, while its full-year revenue reached $1.26 billion, up 34% from 2023. While we acknowledge the potential of Remitly Global, Inc. (NASDAQ:RELY) 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 Remitly Global, Inc. (NASDAQ:RELY) and shared the list of best growth stocks under $25 to buy. 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.