Aristotle Capital Boston, LLC, an investment advisor, released its “Small/Mid Cap Equity Strategy” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. The volatility that was seen in 2024 persisted into the fourth quarter. SMID caps reported modest gains in the fourth quarter, with the Russell 2500 index yielding a total return of 0.62% and a year-to-date total return of 11.99%. In the fourth quarter, the fund delivered a return of -0.45% net of fees (-0.37% gross of fees) underperforming the Russell 2500 Index’s 0.62% total return. Security selection drove the underperformance of the strategy in the quarter. For more information on the fund’s best picks in 2024, please check its top five holdings.
Aristotle SMID Cap Equity Strategy highlighted stocks like Insight Enterprises, Inc. (NASDAQ:NSIT), in the fourth quarter 2024 investor letter. Insight Enterprises, Inc. (NASDAQ:NSIT) offers information technology, hardware, software, and services. The one-month return of Insight Enterprises, Inc. (NASDAQ:NSIT) was 11.60%, and its shares lost 6.94% of their value over the last 52 weeks. On January 21, 2025, Insight Enterprises, Inc. (NASDAQ:NSIT) stock closed at $172.25 per share with a market capitalization of $5.47 billion.
Aristotle SMID Cap Equity Strategy stated the following regarding Insight Enterprises, Inc. (NASDAQ:NSIT) in its Q4 2024 investor letter:
“Insight Enterprises, Inc. (NASDAQ:NSIT), is a global technology “solutions integrator” specializing in designing, building and managing complex IT solutions for businesses of various size and scale. Areas of expertise include data center, cloud, security, and AI. Over the next several years, NSIT is poised to benefit from increased demand from an increasing complex technology landscape, the continued transition of enterprise business to the cloud and the emergence of AI as a must have IT tool. They are also expected to realize improved financial performance over the next several years as the benefits of strategic investments that have expanded the company’s portfolio of IT solutions are realized as well as from the integration/cross-selling of acquisitions completed over the past couple of years.”
A professional at a computerscreen, working on a complex hardware solution.
Insight Enterprises, Inc. (NASDAQ:NSIT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 20 hedge fund portfolios held Insight Enterprises, Inc. (NASDAQ:NSIT) at the end of the third quarter which was 28 in the previous quarter. Insight Enterprises, Inc.’s (NASDAQ:NSIT) net revenue was $2.1 billion in the third quarter of 2024, down 8% year-over-year in U.S. dollars and also in constant currency. While we acknowledge the potential of Insight Enterprises, Inc. (NASDAQ:NSIT) 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 previously discussed Insight Enterprises, Inc. (NASDAQ:NSIT) in another article, where we shared Polen U.S. Small Company Growth Strategy’s views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q4 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.