TimesSquare Capital Management, an equity investment management company, released its “U.S. Small Cap Growth Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter the fund returned -1.59% (gross) and -1.83% (net), compared to a -2.92% return for the Russell 2000 Growth Index. The equity markets performed well in the second quarter, as long as one held only a handful of the biggest, fastest-growing U.S. stocks. Despite profitability turning positive this quarter following negative or neutral results in previous quarters, momentum remained the most important component in the worldwide market. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital Management U.S. Small Cap Growth Strategy highlighted stocks like Boot Barn Holdings, Inc. (NYSE:BOOT) in the second quarter 2024 investor letter. Boot Barn Holdings, Inc. (NYSE:BOOT) is a lifestyle retail chain that offers western and work-related footwear, apparel, and accessories. The one-month return of Boot Barn Holdings, Inc. (NYSE:BOOT) was 13.39%, and its shares gained 83.53% of their value over the last 52 weeks. On September 16, 2024, Boot Barn Holdings, Inc. (NYSE:BOOT) stock closed at $154.97 per share with a market capitalization of $4.727 billion.
TimesSquare Capital Management U.S. Small Cap Growth Strategy stated the following regarding Boot Barn Holdings, Inc. (NYSE:BOOT) in its Q2 2024 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, or premium brands. Boot Barn Holdings, Inc. (NYSE:BOOT) operates retail stores offering western and work-related footwear, apparel, and accessories. Their fiscal fourth quarter results included a modest beat to same store sales estimates. That spurred a 36% gain in its share price, and we trimmed the position on this strength.”
A farmer standing in a sun-drenched field wearing overalls and a rugged pair of western-style boots.
Boot Barn Holdings, Inc. (NYSE:BOOT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 23 hedge fund portfolios held Boot Barn Holdings, Inc. (NYSE:BOOT) at the end of the second quarter which was 25 in the previous quarter. Boot Barn Holdings, Inc.’s (NYSE:BOOT) net sales for the fiscal fourth quarter of 2024 dropped 8.7% to $388 million, but net sales for the full year fiscal 2024 rose by almost 100% to nearly $1.7 billion. While we acknowledge the potential of Boot Barn Holdings, Inc. (NYSE:BOOT) 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 Boot Barn Holdings, Inc. (NYSE:BOOT) and shared Wasatch Micro-Cap Growth-U.S. 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.
