Parnassus Investments, an investment management company, released the “Parnassus Growth Equity Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, the Fund (Investor Shares) returned 4.85% (net of fees) underperforming the Russell 1000 Growth Index’s 7.07% gain. For the year, the fund returned 26.85% compared to Russell 1000 Growth’s 33.36% return. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, Parnassus Growth Equity Fund emphasized stocks such as Atlassian Corporation (NASDAQ:TEAM). Atlassian Corporation (NASDAQ:TEAM) is a company that designs, develops, licenses, and maintains various software products. The one-month return of Atlassian Corporation (NASDAQ:TEAM) was -22.99%, and its shares gained 16.53% of their value over the last 52 weeks. On March 19, 2025, Atlassian Corporation (NASDAQ:TEAM) stock closed at $229.86 per share with a market capitalization of $60.223 billion.
Parnassus Growth Equity Fund stated the following regarding Atlassian Corporation (NASDAQ:TEAM) in its Q4 2024 investor letter:
“We also added several new positions, including two in Information Technology: Atlassian Corporation (NASDAQ:TEAM), a maker of innovative software that allows IT developers and other employees to seamlessly collaborate on complex projects, and Datadog, a dominant cloud monitoring platform.
Atlassian’s innovative software allows IT developers and other employees to seamlessly collaborate on complex projects. Applications in their suite, such as Jira, are entrenched and widely recognized as industry standards. We believe the company is poised to benefit from an AI product cycle, as its platform becomes more integral to organizational software development.”
A software company’s engineer staring at a computer monitor with intense concentration.
Atlassian Corporation (NASDAQ:TEAM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 75 hedge fund portfolios held Atlassian Corporation (NASDAQ:TEAM) at the end of the fourth quarter compared to 44 in the third quarter. While we acknowledge the potential of Atlassian Corporation (NASDAQ:TEAM) 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 Atlassian Corporation (NASDAQ:TEAM) and shared the list of best SaaS stocks to buy according to Billionaires. Atlassian Corporation (NASDAQ:TEAM) significantly contributed to Artisan Mid Cap Fund’s strong performance last quarter, with earnings surpassing expectations and signaling a turnaround. In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors.
READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.
Disclosure: None. This article is originally published at Insider Monkey.