Artisan Partners, an investment management company, released its “Artisan Global Discovery Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In the second quarter, the fund’s Investor Class APFDX returned -2.99%, Advisor Class APDDX posted a return of -2.98% and Institutional Class APHDX returned -2.91%, compared to a -2.06% return for the MSCI All Country World Small Mid Index. Negative security selection, which concentrated on the consumer staples and industrials sectors, led the portfolio to underperform in the quarter, this was partially offset by outperformance within information technology, consumer discretionary, and communication services. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Artisan Global Discovery Fund highlighted stocks like Elastic N.V. (NYSE:ESTC) in the second quarter 2024 investor letter. Elastic N.V. (NYSE:ESTC) is a search artificial intelligence (AI) company provides hosted and managed solutions designed to run in hybrid, public or private clouds, and multi-cloud environments. The one-month return of Elastic N.V. (NYSE:ESTC) was -30.11%, and its shares lost 6.67% of their value over the last 52 weeks. On September 4, 2024, Elastic N.V. (NYSE:ESTC) stock closed at $73.34 per share with a market capitalization of $7.535 billion.
Artisan Global Discovery Fund stated the following regarding Elastic N.V. (NYSE:ESTC) in its Q2 2024 investor letter:
“During the quarter, we initiated new GardenSM positions in Liberty Formula One, Elastic N.V. (NYSE:ESTC) and Onto Innovation. Elastic is a software company that specializes in search and data analysis solutions. Elastic’s search, observability and security solutions are built on the Elastic Search AI Platform, which thousands of companies use, including more than 50% of the Fortune 500. Customers use the software to gain visibility into their data, reduce mean-time-to-resolution and drive actionable outcomes. We believe the company will benefit from the rise of generative artificial intelligence (AI). It provides a differentiated offering due to the combination of a unique pricing model based on consumption, products that handle numerous data types and volumes, and an open architecture environment that offers generative AI development flexibility.”
A group of software engineers working in an open, futuristic office.
Elastic N.V. (NYSE:ESTC) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 58 hedge fund portfolios held Elastic N.V. (NYSE:ESTC) at the end of the second quarter which was 55 in the previous quarter. The first quarter revenue of Elastic N.V. (NYSE:ESTC) grew 18% year-over-year. While we acknowledge the potential of Elastic N.V. (NYSE:ESTC) 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 Elastic N.V. (NYSE:ESTC) and shared TimesSquare Capital U.S. Mid Cap Growth Strategy’s 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.
