Next Century Growth Investors, LLC, an investment Management Company, released its “Micro-Cap Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. Equity markets were mixed in the second quarter, large-cap stocks continue to outperform small-cap stocks. The strategy returned (0.95)% (net of fees) compared to a (5.56)% return for the Russell Microcap Growth Index. The Strategy outperformed in health care and technology and underperformed in consumer discretionary during the quarter. The firm believes that the economy’s trajectory and the outlook for earnings forecasts will determine the future course of the market. In addition, please check the fund’s top five holdings to know its best picks in 2024.
NCG Micro-Cap Strategy highlighted stocks like Lincoln Educational Services Corporation (NASDAQ:LINC), in the second quarter 2024 investor letter. Lincoln Educational Services Corporation (NASDAQ:LINC) offers various career-oriented post-secondary education services that operates through Campus Operations and Transitional segments. The one-month return of Lincoln Educational Services Corporation (NASDAQ:LINC) was -4.76%, and its shares gained 32.37% of their value over the last 52 weeks. On September 6, 2024, Lincoln Educational Services Corporation (NASDAQ:LINC) stock closed at $11.41 per share with a market capitalization of $359.129 million.
NCG Micro-Cap Strategy stated the following regarding Lincoln Educational Services Corporation (NASDAQ:LINC) in its Q2 2024 investor letter:
“Lincoln Educational Services Corporation (NASDAQ:LINC) is a for-profit education company focused on auto, healthcare, and skilled trades. The company has over 20 campuses and the education programs are delivered in a hybrid model of on campus and online. The company is experiencing strong demand given a healthy job market and solid wages in their areas of focus. We believe the company can capitalize on this demand by opening new campuses, growing within existing programs, and adding new programs over time.”
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Lincoln Educational Services Corporation (NASDAQ:LINC) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 13 hedge fund portfolios held Lincoln Educational Services Corporation (NASDAQ:LINC) at the end of the second quarter which was 13 in the previous quarter. Lincoln Educational Services Corporation (NASDAQ:LINC) generated nearly $103 million in revenues in the second quarter, representing a 16% year-over-year increase. While we acknowledge the potential of Lincoln Educational Services Corporation (NASDAQ:LINC) 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 Q2 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.
