Columbia Acorn Fund, distributed by Columbia Management Investment Distributors, released its second quarter 2024 investor letter. A copy of the fund can be downloaded here. In the quarter, the fund returned -6.01%, while the benchmark, the Russell 2500 Growth Index, returned -4.22%. The second quarter brought a significant change in market sentiment. The underperformance of the holdings in the quarter was primarily driven by a disappointing earnings season. In addition, you can check the fund’s top 5 holdings for its best picks for 2024.
Columbia Acorn Fund highlighted stocks like SPX Technologies, Inc. (NYSE:SPXC) in the second quarter 2024 investor letter. SPX Technologies, Inc. (NYSE:SPXC) distributes infrastructure equipment for HVAC and detection and measurement markets. The one-month return of SPX Technologies, Inc. (NYSE:SPXC) was -5.24%, and its shares gained 80.60% of their value over the last 52 weeks. On September 10, 2024, SPX Technologies, Inc. (NYSE:SPXC) stock closed at $141.86 per share with a market capitalization of $6.567 billion.
Columbia Acorn Fund stated the following regarding SPX Technologies, Inc. (NYSE:SPXC) in its Q2 2024 investor letter:
“SPX Technologies, Inc. (NYSE:SPXC) is a manufacturer of industrial equipment, including cooling towers, boilers and transformers. The company benefited from its industry-leading brands, significant installed base which drives recurring revenue and continued transformation of its product portfolio. Led by the data center, semiconductor and health care markets, SPX has a multi-year path to organic growth and accretive acquisitions, which should further drive its innovation pipeline and scale advantages.”
An engineer adjusting a robotic arm in a factory line to control engineered air movement solutions.
SPX Technologies, Inc. (NYSE:SPXC) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 18 hedge fund portfolios held SPX Technologies, Inc. (NYSE:SPXC) at the end of the second quarter which was 19 in the previous quarter. In the second quarter, SPX Technologies, Inc.’s (NYSE:SPXC) revenue increased by 18.4% and adjusted EBITDA by 45% year-on-year. While we acknowledge the potential of SPX Technologies, Inc. (NYSE:SPXC) 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 SPX Technologies, Inc. (NYSE:SPXC) and shared Conestoga Capital Advisors’ views on the company. In addition, please check out our hedge fund investor letters Q2 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.
