Next Century Growth Investors, LLC, an investment Management Company, released its “Small Cap Strategy” first-quarter 2024 investor letter. A copy of the letter can be downloaded here. The market continued its rally in the first quarter of 2024; it paused in January but resumed its upward trajectory in February and March. In the quarter the small-cap strategy generated gains from most sectors, except technology where two tech stocks contributed significantly to the index performance. Against this backdrop, the strategy returned 9.35% (net of fees) in the quarter, compared to a 7.58% return for the Russell 2000 Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Next Century Growth Small Cap Strategy highlighted stocks like DoubleVerify Holdings, Inc. (NYSE:DV), in the first quarter 2024 investor letter. DoubleVerify Holdings, Inc. (NYSE:DV) is a software platform provider for digital media measurement and data analytics. The one-month return of DoubleVerify Holdings, Inc. (NYSE:DV) was 13.42%, and its shares lost 48.50% of their value over the last 52 weeks. On July 1, 2024, DoubleVerify Holdings, Inc. (NYSE:DV) stock closed at $19.74 per share with a market capitalization of $3.427 billion.
Next Century Growth Small Cap Strategy stated the following regarding DoubleVerify Holdings, Inc. (NYSE:DV) in its first quarter 2024 investor letter:
“DoubleVerify Holdings, Inc. (NYSE:DV) offers software that makes digital advertising stronger, safer, and more secure for advertisers. Their solutions protect brands from buying ad inventory that is fraudulent or unsuitable, improve targeting of ad buying, and provide measurement of advertising effectiveness. DV has become a trusted source for large brand advertisers, and they have carved out a strong competitive position. Demand remains strong as more and more advertising spend is shifted online. DV has been delivering revenue growth >20% and they have strong levels of profitability margins.”
A professional executive in a modern office setting talking on the phone surrounded by their digital media software delivery platform.
DoubleVerify Holdings, Inc. (NYSE:DV) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held DoubleVerify Holdings, Inc. (NYSE:DV) at the end of the first quarter which was 27 in the previous quarter. In the first quarter, DoubleVerify Holdings, Inc. (NYSE:DV) reported a 15% increase in total revenue to $141 million, primarily driven by a 16% growth in advertiser revenue. While we acknowledge the potential of DoubleVerify Holdings, Inc. (NYSE:DV) 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.
We discussed DoubleVerify Holdings, Inc. (NYSE:DV) in another article and shared Artisan Small Cap Fund’s views on the company. In addition, please check out our hedge fund investor letters Q1 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.
