The London Company, an investment management company, released “The London Company Large Cap Strategy” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. U.S. equities increased in the fourth quarter and most of the major indices saw positive gains. The quarter’s economic data was mixed but generally encouraging. The portfolio returned 0.8% (0.6% net) during the quarter compared to a 2.8% increase for the Russell 1000 Index. Positive sector exposure has contributed to offset the negative impact of stock selection on the relative performance. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
In its fourth quarter 2024 investor letter, The London Company Large Cap Strategy emphasized stocks such as The Progressive Corporation (NYSE:PGR). The Progressive Corporation (NYSE:PGR) is an insurance holding company that operates Personal Lines, Commercial Lines, and Property segments. The one-month return of The Progressive Corporation (NYSE:PGR) was 11.25%, and its shares gained 41.86% of their value over the last 52 weeks. On February 24, 2025, The Progressive Corporation (NYSE:PGR) stock closed at $272.63 per share with a market capitalization of $159.816 billion.
The London Company Large Cap Strategy stated the following regarding The Progressive Corporation (NYSE:PGR) in its Q4 2024 investor letter:
“The Progressive Corporation (NYSE:PGR) – PGR was a weaker performer in 4Q after a strong start to the year. Policy growth continued to be strong, but expectations were high and growth decelerated slightly throughout the quarter. That said, retention has remained high, and share, gains continue. PGR’S best-in-class market segmentation gives preferred drivers lower rates, leaving competitors with worse drivers and more erratic pricing strategies. We remain attracted to its best-in-class operations, conservative underwriting, and shareholder friendly capital allocation philosophy.”
A team of accountants in a boardroom, discussing strategic moves of an insurance company.
The Progressive Corporation (NYSE:PGR) is in 30th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 100 hedge fund portfolios held The Progressive Corporation (NYSE:PGR) at the end of the fourth quarter compared to 95 in the third quarter. While we acknowledge the potential of The Progressive Corporation (NYSE:PGR) 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 The Progressive Corporation (NYSE:PGR) and shared the list of best non-tech stocks to buy for the long term. 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.