Should You Sell LivaNova PLC (LIVN)?

Greenlight Capital, an investment management firm, released its fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In 2024, the Greenlight Capital funds returned 7.2% net of fees and expenses, compared to 25.0% for the S&P 500 index. The Partnerships have returned 3,117% cumulatively or 12.9% annualized both net of fees and expenses, since its inception in May 1996. The S&P 500 index has returned 1,421% or 10.0% annualized, over the same period. Election uncertainty dominated 2024, and now that the election is over, it seems like there is more uncertainty than ever before. In addition, please check the fund’s top five holdings to know its best picks in 2024.

Greenlight Capital highlighted stocks like LivaNova PLC (NASDAQ:LIVN) in the fourth quarter 2024 investor letter. Headquartered in London, the United Kingdom, LivaNova PLC (NASDAQ:LIVN) is a medical device company. The one-month return of LivaNova PLC (NASDAQ:LIVN) was 3.38%, and its shares lost 2.58% of their value over the last 52 weeks.  On January 22, 2024, LivaNova PLC (NASDAQ:LIVN) stock closed at $48.65 per share with a market capitalization of $2.64 billion.

Greenlight Capital stated the following regarding LivaNova PLC (NASDAQ:LIVN) in its Q4 2024 investor letter:

“We sold our position in LivaNova PLC (NASDAQ:LIVN) after three and a half years at a -6% IRR. When we bought the shares, we believed that LIVN had three exciting opportunities in its pipeline. None of those materialized and we decided to move on.”

A close-up of a medical device used for therapeutic solutions in a world-class hospital.

LivaNova PLC (NASDAQ:LIVN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 37 hedge fund portfolios held LivaNova PLC (NASDAQ:LIVN) at the end of the third quarter which was 39 in the previous quarter. LivaNova PLC’s (NASDAQ:LIVN) third quarter 2024 revenue increased 11% to $318 million in the third quarter compared to Q3 2023. While we acknowledge the potential of LivaNova PLC (NASDAQ:LIVN) 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 LivaNova PLC (NASDAQ:LIVN) and shared the list of most promising medical stocks according to hedge funds. 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.