Investment advisory firm Ithaka Group released the “Ithaka US Growth Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. The second quarter of 2024 saw a surge in optimism among global markets, driven by the anticipation of a looser monetary policy from the Federal Reserve and the ongoing development prospects presented by artificial intelligence (AI). This positive outlook increased the S&P 500 by 4.3% for the quarter and 15.3% for the year, the Russell 1000 Growth (“R1000G”) by 8.3% for the quarter and 21.7% for the year, and the Dow decreasing by 1.7% for the quarter and increasing by 3.7% for the year. In the second quarter, the portfolio underperformed and returned 4.2% (gross of fees) compared to the Russell 1000 Growth’s (R1G) 8.3% return. Stock Selection led the portfolio to underperform in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Ithaka US Growth Strategy highlighted stocks like Veeva Systems Inc. (NYSE:VEEV), in the second quarter 2024 investor letter. Veeva Systems Inc. (NYSE:VEEV) offers cloud-based software for the life sciences industry. The one-month return of Veeva Systems Inc. (NYSE:VEEV) was 16.10%, and its shares lost 3.01% of their value over the last 52 weeks. On September 6, 2024, Veeva Systems Inc. (NYSE:VEEV) stock closed at $215.31 per share with a market capitalization of $34.866 billion.
Ithaka US Growth Strategy stated the following regarding Veeva Systems Inc. (NYSE:VEEV) in its Q2 2024 investor letter:
“Since its inception, Veeva Systems Inc. (NYSE:VEEV) has grown to become the leading SaaS provider of cloud solutions for the global life sciences industry. Veeva’s industry-specific cloud solutions provide data, software, and services to address a broad range of needs, including multi-channel customer relationship management, content management, master data management, and customer data management. Veeva’s products help its customers bring products to market faster while maintaining compliance with government regulations. Veeva’s underperformance in the quarter was due to a $30M revenue guidance cut during their fi scal fi rst quarter earnings announcement. The cut was due to deal scrutiny from enterprise customers driven by ongoing macro uncertainty and near term disruption from AI resource allocation.”
A team of IT experts monitoring a network of computers managing the medical content and communications.
Veeva Systems Inc. (NYSE:VEEV) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 50 hedge fund portfolios held Veeva Systems Inc. (NYSE:VEEV) at the end of the second quarter which was 46 in the previous quarter. While we acknowledge the potential of Veeva Systems Inc. (NYSE:VEEV) 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 Veeva Systems Inc. (NYSE:VEEV) and shared Conestoga Capital Advisors’ views on the company. Ensemble Capital Management, another investment management company, established a position in Veeva Systems Inc. (NYSE:VEEV) during Q2 2024, believing it is gaining traction in the life sciences software market. 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.
