Lakehouse Capital, a Sydney-based investment manager, released its “Lakehouse Global Growth Fund” April 2024 investor letter. A copy of the letter can be downloaded here. April was a busy month as many of the companies in the portfolio reported earnings. The Fund returned -4.3% net of fees and expenses for the month compared to -2.8% for its benchmark. Since its inception in December 2017, the Fund has returned 152.8% compared to 96.0% for its benchmark, the MSCI All Country World Index, Net Total Returns (AUD). As of the end of April, the Fund’s largest sector allocations were to consumer discretionary (19.3%), information technology (22.6%), and communication services (27.0%). In addition, please check the fund’s top five holdings to know its best picks in 2024.
Lakehouse Global Growth Fund highlighted stocks like Sea Limited (NYSE:SE) in the April 2024 investor letter. Sea Limited (NYSE:SE) engages in the digital entertainment, e-commerce, and digital financial service businesses. Sea Limited’s (NYSE:SE) one-month return was 6.43%, and its shares gained 13.17% of their value over the last 52 weeks. On June 3, 2024, Sea Limited (NYSE:SE) stock closed at $69.35 per share with a market capitalization of $39.83 billion.
Lakehouse Global Growth Fund stated the following regarding Sea Limited (NYSE:SE) in its April 2024 investor letter:
“At the portfolio level, the biggest contributor to performance during the month was Sea Limited (NYSE:SE) (+18.2%), which performed well as both Shopee and its primary competitor, TikTok Shop, raised take-rates meaningfully across several countries during the quarter. This is a noteworthy development as we are now starting to see mounting evidence of more rational competitive behaviour from the dominant players in Southeast Asia’s e-commerce market, which in turn,signals a more favourable industry structure lay ahead.”
A smiling customer receiving their purchase from an e-commerce company.
Sea Limited (NYSE:SE) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 61 hedge fund portfolios held Sea Limited (NYSE:SE) at the end of the first quarter which was 51 in the previous quarter. Sea Limited (NYSE:SE) reported a strong first quarter. The company’s three segments have shown strong growth and an improved profit profile in the quarter. While we acknowledge the potential of Sea Limited 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 Sea Limited (NYSE:SE) and shared the list of unstoppable growth stocks to buy. In addition, please check out our hedge fund investor letters Q1 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.
