Latest news with #AlgerSmallCapFocusFund
Yahoo
19-04-2025
- Business
- Yahoo
FTAI Aviation Ltd. (FTAI) Slid After a Short-Seller Report
Fred Alger Management, an investment management company, released its 'Alger Small Cap Focus Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. Changing trade, monetary, and fiscal policies increased volatility in US stocks. The emergence of artificial intelligence (AI) models from China added to the uncertainty. Against this backdrop, the class A shares of the fund underperformed the Russell 2000 Growth Index. The Communication Services and Energy sectors contributed to the relative performance of the fund in the quarter, while the Health Care and Information Technology sectors detracted. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its first-quarter 2025 investor letter, Alger Small Cap Focus Fund highlighted stocks such as FTAI Aviation Ltd. (NASDAQ:FTAI). FTAI Aviation Ltd. (NASDAQ:FTAI) owns and acquires aviation and offshore energy equipment for transportation, operating through the Aviation Leasing and Aerospace Products segments. The one-month return of FTAI Aviation Ltd. (NASDAQ:FTAI) was -12.84%, and its shares gained 36.62% of their value over the last 52 weeks. On April 17, 2025, FTAI Aviation Ltd. (NASDAQ:FTAI) stock closed at $93.00 per share with a market capitalization of $9.538 billion. Alger Small Cap Focus Fund stated the following regarding FTAI Aviation Ltd. (NASAQ:FTAI) in its Q1 2025 investor letter: "FTAI Aviation Ltd. (NASAQ:FTAI) is a global aviation company specializing in the acquisition, leasing, and sales of aircraft and aircraft engines, particularly focused on CFM56 and V2500 engines. The company operates through two main segments: Aviation Leasing, which manages and leases aviation assets generating rental income, and Aerospace Products, which develops, manufactures, repairs, and sells aircraft engines and aftermarket components. FTAI primarily earns revenue from leasing fees, equipment sales, and maintenance services. We believe FTAI has established a differentiated business model that maximizes profits from a highly attractive niche within the aerospace aftermarket—used CFM56 jet engines, which dominate short- to medium haul flights globally. During the quarter, shares detracted from performance following a short-seller report alleging that actual maintenance revenue and individual engine module sales were materially lower than reported, claiming FTAI inflated Aerospace Products revenues by categorizing one-time engine sales as Maintenance, Repair, and Overhaul (MRO) revenue, and suggesting profitability was driven more by asset sales than genuine value-added services. In response, FTAI's board commissioned an independent audit, which cleared the company of all allegations, allowing FTAI to file its annual report on time. Aside from the short-seller impact, shares were also pressured by broader market trends as investors rotated away from last year's strong performers. Despite these near-term challenges, we remain confident in FTAI's fundamentals and believe it represents one of the best investment opportunities to capitalize on the multi-year commercial aerospace cycle." A team of airline employees surrounded by flight deck controls, with a variety of aircraft outside. FTAI Aviation Ltd. (NASDAQ:FTAI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 54 hedge fund portfolios held FTAI Aviation Ltd. (NASDAQ:FTAI) at the end of the fourth quarter compared to 41 in the third quarter. FTAI Aviation Ltd. (NASDAQ:FTAI) ended the year strongly and reported adjusted EBITDA of $252 million in Q4 2024, up 9% from Q3 2024 and up 55% from Q4 2023. While we acknowledge the potential of FTAI Aviation Ltd. (NASDAQ:FTAI) 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 covered FTAI Aviation Ltd. (NASAQ:FTAI) and shared the list of beaten down large cap stocks that can double according to Wall Street. In addition, please check out our hedge fund investor letters Q1 2025 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. Sign in to access your portfolio
Yahoo
19-04-2025
- Business
- Yahoo
Here's Why Agilysys (AGYS) Traded Down in Q1
Fred Alger Management, an investment management company, released its 'Alger Small Cap Focus Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. Changing trade, monetary, and fiscal policies increased volatility in US stocks. The emergence of artificial intelligence (AI) models from China added to the uncertainty. Against this backdrop, the class A shares of the fund underperformed the Russell 2000 Growth Index. The Communication Services and Energy sectors contributed to the relative performance of the fund in the quarter, while the Health Care and Information Technology sectors detracted. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its first-quarter 2025 investor letter, Alger Small Cap Focus Fund highlighted stocks such as Agilysys, Inc. (NASDAQ:AGYS). Agilysys, Inc. (NASDAQ:AGYS) develops and markets software-enabled solutions and services to the hospitality industry. The one-month return of Agilysys, Inc. (NASDAQ:AGYS) was -7.51%, and its shares lost 15.05% of their value over the last 52 weeks. On April 17, 2025, Agilysys, Inc. (NASDAQ:AGYS) stock closed at $69.45 per share with a market capitalization of $1.942 billion. Alger Small Cap Focus Fund stated the following regarding Agilysys, Inc. (NASDAQ:AGYS) in its Q1 2025 investor letter: "Agilysys, Inc. (NASDAQ:AGYS) provides innovative software solutions for the hospitality industry, including point-of-sale (POS) systems, payment gateways, reservation and table management, guest offers management, property management, inventory and procurement, analytics, document management, and mobile and wireless services. During the quarter, shares detracted from performance after the company reported lower-than-expected fiscal third quarter revenues. The revenue shortfall was primarily due to weaker-than-expected POS software sales, particularly within the Managed Food Service segment, and softer international sales. As a result, management lowered their full-year revenue guidance, citing near-term challenges associated with transitioning their POS product to a new version." An expert IT engineer demonstrating a new software solution to hotel managers in a boardroom. Agilysys, Inc. (NASDAQ:AGYS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 20 hedge fund portfolios held Agilysys, Inc. (NASDAQ:AGYS) at the end of the fourth quarter which was 20 in the previous quarter. In the third quarter of fiscal 2025, Agilysys, Inc. (NASDAQ:AGYS) reported a record revenue of $69.6 million, reflecting an increase of 14.9% from prior year's comparable quarter. While we acknowledge the potential of Agilysys, Inc. (NASDAQ:AGYS) 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 covered Agilysys, Inc. (NASDAQ:AGYS) and shared the list of best cruise stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q1 2025 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.
Yahoo
19-04-2025
- Business
- Yahoo
Here's Why Investors Rotated Away from Xometry (XMTR)
Fred Alger Management, an investment management company, released its 'Alger Small Cap Focus Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. Changing trade, monetary, and fiscal policies increased volatility in US stocks. The emergence of artificial intelligence (AI) models from China added to the uncertainty. Against this backdrop, the class A shares of the fund underperformed the Russell 2000 Growth Index. The Communication Services and Energy sectors contributed to the relative performance of the fund in the quarter, while the Health Care and Information Technology sectors detracted. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its first-quarter 2025 investor letter, Alger Small Cap Focus Fund highlighted stocks such as Xometry, Inc. (NASDAQ:XMTR). Xometry, Inc. (NASDAQ:XMTR) is an AI powered online marketplace that helps buyers to source custom-manufactured parts and assemblies. The one-month return of Xometry, Inc. (NASDAQ:XMTR) was -14.01%, and its shares gained 37.32% of their value over the last 52 weeks. On April 17, 2025, Xometry, Inc. (NASDAQ:XMTR) stock closed at $22.04 per share with a market capitalization of $1.109 billion. Alger Small Cap Focus Fund stated the following regarding Xometry, Inc. (NASDAQ:XMTR) in its Q1 2025 investor letter: "Xometry, Inc.'s (NASDAQ:XMTR) AI-enabled technology platform is powered by proprietary machine learning algorithms, resulting in a sophisticated marketplace for manufacturing. Although the company reported strong fiscal fourth-quarter results that exceeded analyst estimates, shares fell after management guided to a modest loss for fiscal 2025 on an earnings-before-interest taxes-depreciation-and-amortization (EBITDA) basis. Additionally, we believe shares detracted from performance amid a broader sell-off affecting high-growth, unprofitable companies, as investors rotated away from stocks that performed strongly in 2024. Additionally, the company secured several new cloud contracts, including five with major insurers, underscoring strong market demand for its offerings. Given the strong operating results, shares contributed to performance during the quarter." A machinist operating a CNC machine in a well-lit facility, scrutinizing the quality of a part. Xometry, Inc. (NASDAQ:XMTR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 14 hedge fund portfolios held Xometry, Inc. (NASDAQ:XMTR) at the end of the fourth quarter which was 7 in the previous quarter. While we acknowledge the potential of Xometry, Inc. (NASDAQ:XMTR) 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 covered Xometry, Inc. (NASDAQ:XMTR) and shared the list of best 3D printing and additive manufacturing stocks to buy. In Q4 2024, Xometry, Inc. (NASDAQ:XMTR) contributed to Alger Small Cap Growth Fund's performance after reporting strong results. In addition, please check out our hedge fund investor letters Q1 2025 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. Sign in to access your portfolio
Yahoo
19-04-2025
- Business
- Yahoo
Guidewire Software (GWRE) Surged on Strong Quarterly Results
Fred Alger Management, an investment management company, released its 'Alger Small Cap Focus Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. Changing trade, monetary, and fiscal policies increased volatility in US stocks. The emergence of artificial intelligence (AI) models from China added to the uncertainty. Against this backdrop, the class A shares of the fund underperformed the Russell 2000 Growth Index. The Communication Services and Energy sectors contributed to the relative performance of the fund in the quarter, while the Health Care and Information Technology sectors detracted. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its first-quarter 2025 investor letter, Alger Small Cap Focus Fund highlighted stocks such as Guidewire Software, Inc. (NYSE:GWRE). Guidewire Software, Inc. (NYSE:GWRE) offers a platform for property and casualty (P&C) insurance companies. The one-month return of Guidewire Software, Inc. (NYSE:GWRE) was -1.10%, and its shares gained 77.32% of their value over the last 52 weeks. On April 17, 2025, Guidewire Software, Inc. (NYSE:GWRE) stock closed at $191.33 per share with a market capitalization of $16.049 billion. Alger Small Cap Focus Fund stated the following regarding Guidewire Software, Inc. (NYSE:GWRE) in its Q1 2025 investor letter: "Guidewire Software, Inc. (NYSE:GWRE) is the market leader in providing SaaS and software solutions for the property and casualty (PnC) insurance segment, serving major customers throughout the industry. The company offers a comprehensive suite of solutions covering policy, billing, and claims, and is recognized as the most advanced cloud technology provider among its competitors. We believe that new customer adoption of cloud solutions, combined with the ongoing migration of existing clients to the cloud, represents a key long term growth driver, positioning the company for continued cross selling and upselling opportunities. During the quarter, Guidewire reported strong fiscal second-quarter results, driven by better than-expected growth in annual recurring revenue (ARR). • Xometry is a leading two-sided marketplace for on-demand manufacturing services. The company provides real-time access to global manufacturing demand and capacity, with sourcing and pricing available across a network of buyers and sellers. In our view, this marketplace enables buyers (e.g., engineers and product designers) to efficiently source manufacturing processes and sellers of manufacturing services to grow their businesses." An insurance adjuster reviewing images and paperwork to process a claim. Guidewire Software, Inc. (NYSE:GWRE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 60 hedge fund portfolios held Guidewire Software, Inc. (NYSE:GWRE) at the end of the fourth quarter which was 51 in the previous quarter. While we acknowledge the potential of Guidewire Software, Inc. (NYSE:GWRE) 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 covered Guidewire Software, Inc. (NYSE:GWRE) and shared Wasatch U.S. Select Strategy's views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q1 2025 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. Sign in to access your portfolio
Yahoo
19-04-2025
- Business
- Yahoo
GeneDx Holdings Corp. (WGS) Rose on Robust Customer Demand
Fred Alger Management, an investment management company, released its 'Alger Small Cap Focus Fund' first quarter 2025 investor letter. A copy of the letter can be downloaded here. Changing trade, monetary, and fiscal policies increased volatility in US stocks. The emergence of artificial intelligence (AI) models from China added to the uncertainty. Against this backdrop, the class A shares of the fund underperformed the Russell 2000 Growth Index. The Communication Services and Energy sectors contributed to the relative performance of the fund in the quarter, while the Health Care and Information Technology sectors detracted. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its first-quarter 2025 investor letter, Alger Small Cap Focus Fund highlighted stocks such as GeneDx Holdings Corp. (NASDAQ:WGS). GeneDx Holdings Corp. (NASDAQ:WGS) is a genomics company. The one-month return of GeneDx Holdings Corp. (NASDAQ:WGS) was -1.28%, and its shares gained 897.60% of their value over the last 52 weeks. On April 17, 2025, GeneDx Holdings Corp. (NASDAQ:WGS) stock closed at $95.47 per share with a market capitalization of $2.724 billion. Alger Small Cap Focus Fund stated the following regarding GeneDx Holdings Corp. (NASDAQ:WGS) in its Q1 2025 investor letter: "GeneDx Holdings Corp. (NASDAQ:WGS) is a specialty laboratory focused on genetic testing for the diagnosis of rare diseases, primarily targeting pediatric patients in neonatal intensive care units and those with developmental disorders. Currently, GeneDx offers three primary categories of testing: (1) whole exome/genome sequencing, (2) hereditary cancer screening, and (3) individual gene tests and smaller genetic panels. Shares contributed positively to performance during the quarter after the company reported strong fiscal fourth-quarter results, driven by robust customer demand. Additionally, management raised their fiscal 2025 revenue guidance, exceeding analyst estimates." A modern office space where the team is engaging in business development and management services. GeneDx Holdings Corp. (NASDAQ:WGS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 32 hedge fund portfolios held GeneDx Holdings Corp. (NASDAQ:WGS) at the end of the fourth quarter which was 19 in the previous quarter. While we acknowledge the potential of GeneDx Holdings Corp. (NASDAQ:WGS) 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 covered GeneDx Holdings Corp. (NASDAQ:WGS) and shared the list of high growth low debt stocks to invest in. In addition, please check out our hedge fund investor letters Q1 2025 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. Sign in to access your portfolio
