Parnassus Investments, an investment management company, released the “Parnassus Growth Equity Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In the second quarter, the Fund (Investor Shares) returned 3.74% (net of fees) underperforming the Russell 1000 Growth Index’s 8.33%. Stock selection in the Information Technology sector primarily drove the portfolio’s underperformance. Also, overweight position and stock selection in the Financials sector detracted. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Parnassus Growth Equity Fund highlighted stocks like Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), in the second quarter 2024 investor letter. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, packages, tests, and sells integrated circuits and other semiconductor devices. The one-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was 2.96%, and its shares gained 101.86% of their value over the last 52 weeks. On September 20, 2024, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stock closed at $174.08 per share with a market capitalization of $902.793 billion.
Parnassus Growth Equity Fund stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q2 2024 investor letter:
“Taiwan Semiconductor Manufacturing Company Limited’s (NYSE:TSM) leading position in AI chip production continued to boost investor sentiment on the stock. During the quarter, announcements by several large technology companies to expand their AI investments signaled insatiable demand for TSMC’s chips and contributed to the stock’s rise.”
A close-up of a complex network of integrated circuits used in logic semiconductors.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is in 11th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 156 hedge fund portfolios held Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of the second quarter which was 135 in the previous quarter. The second quarter revenue of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) increased 13.6% sequentially in NT or 10.3% in U.S. dollars. While we acknowledge the potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) 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 Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and shared the list of AI stocks Wall Street is talking about. Ave Maria World Equity Fund benefitted from the performance of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in Q2 2024. 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.