Madison Investments, an investment advisor, released its “Madison Investors Fund” third-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the fund (Class Y) appreciated 7.80% compared to a 5.89% return for the S&P 500 index. In the YTD, nine months period, the fund returned 16.96% compared to a 22.08% return for the index. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Madison Investors Fund highlighted stocks like Keysight Technologies, Inc. (NYSE:KEYS) in the third quarter 2024 investor letter. Keysight Technologies, Inc. (NYSE:KEYS) is an electronic design and test solutions provider to commercial communications, networking, aerospace, defense and government, automotive, energy, semiconductor, electronic, and education industries. The one-month return of Keysight Technologies, Inc. (NYSE:KEYS) was 4.39%, and its shares gained 29.55% of their value over the last 52 weeks. On October 17, 2024, Keysight Technologies, Inc. (NYSE:KEYS) stock closed at $158.17 per share with a market capitalization of $27.651 billion.
Madison Investors Fund stated the following regarding Keysight Technologies, Inc. (NYSE:KEYS) in its Q3 2024 investor letter:
“We purchased a stake in Keysight Technologies, Inc. (NYSE:KEYS). Keysight is a leading electronic test and measurement company with a reputation for manufacturing highly reliable oscilloscopes, network analyzers, signal generators, and spectrum analyzers. Keysight serves a wide range of customers across telecommunication, data centers, semiconductors, and industrial markets. Its instruments are absolutely mission critical for the research and development as well as deployment of just about anything with sophisticated electronic componentry or signals. For instance, without Keysight’s instruments, telecommunication carriers couldn’t deploy 5G networks and semiconductor manufacturers couldn’t test the performance of their circuitry. Customers are very sticky and brand loyal as it takes years to establish a good reputation among engineers. This means that Keysight primarily competes on the quality of its products rather than price.”
A technician examining a complex circuit board in a semiconductor development lab.
Keysight Technologies, Inc. (NYSE:KEYS) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 36 hedge fund portfolios held Keysight Technologies, Inc. (NYSE:KEYS) at the end of the second quarter which was 33 in the previous quarter. In the fiscal third quarter of 2024, Keysight Technologies, Inc. (NYSE:KEYS) generated revenue of $1.2 billion and earnings per share of $1.57. While we acknowledge the potential of Keysight Technologies, Inc. (NYSE:KEYS) 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 addition, please check out our hedge fund investor letters Q3 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.