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 Ross Stores, Inc. (NASDAQ:ROST) in the third quarter 2024 investor letter. Headquartered in Dublin, California, Ross Stores, Inc. (NASDAQ:ROST) is an off-price fashion and apparel retailer. The one-month return of Ross Stores, Inc. (NASDAQ:ROST) was 9.92%, and its shares gained 15.66% of their value over the last 52 weeks. On December 6, 2024, Ross Stores, Inc. (NASDAQ:ROST) stock closed at $156.48 per share with a market capitalization of $51.91 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding Ross Stores, Inc. (NASDAQ:ROST) in its Q3 2024 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, or premium brands. Ross Stores, Inc. (NASDAQ:ROST), an off-price retailer of apparel and home accessories, received a 4% markup to its stock price, though lagged the benchmark sector average gain of 8%. Their second quarter came in nicely above the consensus. Ross’ value proposition and upgraded branded offerings are resonating with consumers.”
A close-up of a mannequin outfitted with the company’s latest collection of apparel.
Ross Stores, Inc. (NASDAQ:ROST) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 55 hedge fund portfolios held Ross Stores, Inc. (NASDAQ:ROST) at the end of the third quarter which was 53 in the previous quarter. In the third quarter, Ross Stores, Inc.’s (NASDAQ:ROST) total revenues increased $5.1 billion from $4.9 billion in Q3 2023. While we acknowledge the potential of Ross Stores, Inc. (NASDAQ:ROST) 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 Ross Stores, Inc. (NASDAQ:ROST) and shared the list of best retail stocks to invest in. 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.
