Should You Hold Crown Holdings (CCK)?

Middle Coast Investing, an investment advisor firm, released its fourth-quarter investor letter. A copy of the letter can be downloaded here. It was a strong quarter for the strategy which outperformed the S&P 500 and the Russell 2000. However, in full year 2024, the strategy beat the Russell 2000, the most relevant benchmark, but trailed the S&P 500, the most important benchmark. In addition, please check the fund’s top five holdings to know its best picks in 2024.

Middle Coast Investing highlighted stocks like Crown Holdings, Inc. (NYSE:CCK) in Q4 quarter 2024 investor letter. Headquartered in Yardley, Pennsylvania, Crown Holdings, Inc. (NYSE:CCK) engages in the packaging business. The one-month return of Crown Holdings, Inc. (NYSE:CCK) was -9.05%, and its shares lost 12.53% of their value over the last 52 weeks. On January 8, 2025, Crown Holdings, Inc. (NYSE:CCK) stock closed at $80.02 per share with a market capitalization of $9.57 billion.

Middle Coast Investing stated the following regarding Crown Holdings, Inc. (NYSE:CCK) in its Q4 2024 investor letter:

“Crown Holdings, Inc. (NYSE:CCK) is an aluminum can maker, primarily, and fits in the category. Its balance sheet also has more debt than I’d like, but the business appears stable and likely to grow. Aluminum cans are more recyclable than glass or plastic, which may fuel share gains. Many investors I respect view Ball Inc (BALL), Crown’s larger competitor, as a better run company and better way to play aluminum cans. Crown appears to be growing volume more in 2024 than Ball, however. I have just a starter position in this stock while I learn more about the dynamics between the two companies and the industry as a whole.”

A closeup shot of a large industrial machine that manufactures steel cans.

Crown Holdings, Inc. (NYSE:CCK) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 43 hedge fund portfolios held Crown Holdings, Inc. (NYSE:CCK) at the end of the third quarter which was 48 in the previous quarter. While we acknowledge the potential of Crown Holdings, Inc. (NYSE:CCK) 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 Crown Holdings, Inc. (NYSE:CCK) and shared the list of best aluminum and aluminum mining stocks 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.