Latest news with #Russell2500Value
Yahoo
23-04-2025
- Business
- Yahoo
Quarterly Earnings Beat Lifted Adtalem Global Education (ATGE) in Q1
Ariel Investments, an investment management company, released its 'Ariel Fund' first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2025, the majority of the main U.S. indices saw a decline. Even though Wall Street is tense and markets are still volatile, the firm is taking advantage of the turbulence by carefully purchasing the undervalued stock of quality companies whose value should be realized over the long term. Against this backdrop, Ariel Fund returned -8.00% in the quarter, lagging both the Russell 2500 Value and Russell 2000 Value indices, which returned -5.83% and -7.74%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Ariel Fund highlighted stocks such as Adtalem Global Education Inc. (NYSE:ATGE). Adtalem Global Education Inc. (NYSE:ATGE) offers workforce solutions that operate through Chamberlain, Walden, and Medical and Veterinary segments. The one-month return of Adtalem Global Education Inc. (NYSE:ATGE) was 0.85%, and its shares gained 116.35% of their value over the last 52 weeks. On April 22, 2025, Adtalem Global Education Inc. (NYSE:ATGE) stock closed at $102.14 per share with a market capitalization of $3.806 billion. Ariel Fund stated the following regarding Adtalem Global Education Inc. (NYSE:ATGE) in its Q1 2025 investor letter: "Shares of global leader in for-profit education, Adtalem Global Education Inc. (NYSE:ATGE), also jumped following a top- and bottom-line quarterly earnings beat driven by accelerating new student enrollment growth and a subsequent raise to fiscal year 2025 guidance. Revenue per student and margins at Chamberlain and Walden also came in significantly better than expected. Meanwhile, we remain encouraged by management's solid execution of remediation initiatives at the medical and veterinary schools, where revenue growth outperformed and total enrollment trends are improving. Although regulatory uncertainty within the U.S education landscape remains, we view ATGE as well insulated, if not a beneficiary of potentially less onerous government scrutiny. Longer term, we believe ATGE's strong fundamentals, quality programs, free cash flow generation and sturdy balance sheet are attractive. As the number one grantor of nursing degrees in the U.S. and the largest producer of African American MDs, PhDs and nurses in the country, we remain confident ATGE will benefit from the healthcare worker shortage in the U.S." A group of students in a lecture hall, with a professor lecturing to them in the forefront. Adtalem Global Education Inc. (NYSE:ATGE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. Our database shows that 32 hedge fund portfolios held Adtalem Global Education Inc. (NYSE:ATGE) at the end of the fourth quarter, compared to 26 in the third quarter. Adtalem Global Education Inc.'s (NYSE:ATGE) revenue grew by 14% in the second quarter of fiscal 2025 to $448 million. While we acknowledge the potential of Adtalem Global Education Inc. (NYSE:ATGE) 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 Adtalem Global Education Inc. (NYSE:ATGE) and shared the list of best education stocks to buy in 2025. 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
23-04-2025
- Business
- Yahoo
Sphere Entertainment Co. (SPHR) Traded Lower Due to Profit Taking
Ariel Investments, an investment management company, released its 'Ariel Fund' first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2025, the majority of the main U.S. indices saw a decline. Even though Wall Street is tense and markets are still volatile, the firm is taking advantage of the turbulence by carefully purchasing the undervalued stock of quality companies whose value should be realized over the long term. Against this backdrop, Ariel Fund returned -8.00% in the quarter, lagging both the Russell 2500 Value and Russell 2000 Value indices, which returned -5.83% and -7.74%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Ariel Fund highlighted stocks such as Sphere Entertainment Co. (NYSE:SPHR). Sphere Entertainment Co. (NYSE:SPHR) is a US-based live entertainment and media company. Sphere Entertainment Co.'s (NYSE:SPHR) one-month return was -26.49%, and its shares lost 39.59% of their value over the last 52 weeks. On April 22, 2025, Sphere Entertainment Co. (NYSE:SPHR) stock closed at $24.84 per share with a market capitalization of $889.94 million. Ariel Fund stated the following regarding Sphere Entertainment Co. (NYSE:SPHR) in its Q1 2025 investor letter: "Lastly, shares of live entertainment, media and technology company, Sphere Entertainment Co. (NYSE:SPHR), came under pressure as some investors took profits on solid earnings performance. In our view, this share price action runs counter to the company's strong business fundamentals. Looking ahead, we expect financial results will continue to ramp up as SPHR scales its concert residencies, secures additional marquee sporting events and reaches higher venue utilization across show types. Advertising, sponsorship and suite revenue should provide additional upside. Meanwhile, international expansion beyond Abu Dhabi remains a priority. In our view, the experiential immersive venue in Las Vegas and its franchise opportunities as well as the company's two regional sports and entertainment networks present a meaningfully underappreciated long-term opportunity." Stagehands setting up the equipment for a live entertainment event. Sphere Entertainment Co. (NYSE:SPHR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. Our database shows that 1 hedge fund portfolios held Sphere Entertainment Co. (NYSE:SPHR) at the end of the fourth quarter, compared to 0 in the third quarter. While we acknowledge the potential of Sphere Entertainment Co. (NYSE:SPHR) 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 Sphere Entertainment Co. (NYSE:SPHR) and shared the list of best entertainment stocks to buy according to analysts. 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
23-04-2025
- Business
- Yahoo
Here's What Supports J.M. Smucker Co. (SJM)
Ariel Investments, an investment management company, released its 'Ariel Fund' first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2025, the majority of the main U.S. indices saw a decline. Even though Wall Street is tense and markets are still volatile, the firm is taking advantage of the turbulence by carefully purchasing the undervalued stock of quality companies whose value should be realized over the long term. Against this backdrop, Ariel Fund returned -8.00% in the quarter, lagging both the Russell 2500 Value and Russell 2000 Value indices, which returned -5.83% and -7.74%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Ariel Fund highlighted stocks such as The J. M. Smucker Company (NYSE:SJM). The J. M. Smucker Company (NYSE:SJM) manufactures and markets branded food and beverage products. The one-month return of The J. M. Smucker Company (NYSE:SJM) was 2.84%, and its shares lost 0.69% of their value over the last 52 weeks. On April 22, 2025, The J. M. Smucker Company (NYSE:SJM) stock closed at $117.73 per share with a market capitalization of $12.528 billion. Ariel Fund stated the following regarding The J. M. Smucker Company (NYSE:SJM) in its Q1 2025 investor letter: "Additionally, leading manufacturer of consumer food products, The J. M. Smucker Company (NYSE:SJM) traded higher over the period. While sales came in below expectations, a significant bottom-line beat and subsequent raise to its FY25 EPS outlook boosted shares. While Hostess remains under pressure, management reiterated its long-term sales target, with near term focus on stabilizing revenue. The company is implementing a five-pillar plan to improve the brand with marketing investments. Looking ahead, we believe SJM's portfolio of iconic and emerging foods brands, coupled with its broad-based innovation and productivity agenda, supports an attractive total shareholder return opportunity." A wholesaler distributing peanut butter, fruit spreads and specialty spreads to a retailer. The J. M. Smucker Company (NYSE:SJM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. Our database shows that 37 hedge fund portfolios held The J. M. Smucker Company (NYSE:SJM) at the end of the fourth quarter, compared to 30 in the third quarter. While we acknowledge the potential of The J. M. Smucker Company (NYSE:SJM) 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 The J. M. Smucker Company (NYSE:SJM) and shared the list of best pet stocks to buy according to billionaires. 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
23-04-2025
- Business
- Yahoo
Should You Hold Leslie's (LESL)?
Ariel Investments, an investment management company, released its 'Ariel Fund' first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2025, the majority of the main U.S. indices saw a decline. Even though Wall Street is tense and markets are still volatile, the firm is taking advantage of the turbulence by carefully purchasing the undervalued stock of quality companies whose value should be realized over the long term. Against this backdrop, Ariel Fund returned -8.00% in the quarter, lagging both the Russell 2500 Value and Russell 2000 Value indices, which returned -5.83% and -7.74%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Ariel Fund highlighted stocks such as Leslie's, Inc. (NASDAQ:LESL). Leslie's, Inc. (NASDAQ:LESL) is a direct-to-consumer pool and spa care brand. The one-month return of Leslie's, Inc. (NASDAQ:LESL) was -29.57%, and its shares lost 85.53% of their value over the last 52 weeks. On April 22, 2025, Leslie's, Inc. (NASDAQ:LESL) stock closed at $0.615 per share with a market capitalization of $113.93 million. Ariel Fund stated the following regarding Leslie's, Inc. (NASDAQ:LESL) in its Q1 2025 investor letter: "By comparison, U.S. direct-to-consumer pool and spa care services company, Leslie's, Inc. (NASDAQ:LESL), detracted from performance this quarter on mixed earnings results. Green shoots began to emerge on the top-line as positive sales were offset by increased spend on the transformation strategy. The new executive leadership team is reevaluating pricing, optimizing inventory and implementing customer loyalty programs. Although investors remain on the sidelines, we believe early progress on these initiatives will yield efficiency improvements. While we have been deeply disappointed with this investment, we are optimistic the new efforts will positively impact the business and position the company for long-term success. In our view, LESL's current valuation reflects extreme pessimism, which is unwarranted given the company's loyal client base, vertically integrated supply chain, scale advantage and seamless customer experience." A close-up of a pool with freshly applied chemicals, showing the efficacy of the company's products. Leslie's, Inc. (NASDAQ:LESL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. Our database shows that 29 hedge fund portfolios held Leslie's, Inc. (NASDAQ:LESL) at the end of the fourth quarter, compared to 25 in the third quarter. While we acknowledge the potential of Leslie's, Inc. (NASDAQ:LESL) 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 Leslie's, Inc. (NASDAQ:LESL) and shared the list of best seasonal stocks to buy according to hedge funds. Leslie's, Inc. (NASDAQ:LESL) detracted from Ariel Fund's performance last quarter due to disappointing financial and operating 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
23-04-2025
- Business
- Yahoo
Here's Why Paramount Global (PARA) Surged in Q1
Ariel Investments, an investment management company, released its 'Ariel Fund' first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2025, the majority of the main U.S. indices saw a decline. Even though Wall Street is tense and markets are still volatile, the firm is taking advantage of the turbulence by carefully purchasing the undervalued stock of quality companies whose value should be realized over the long term. Against this backdrop, Ariel Fund returned -8.00% in the quarter, lagging both the Russell 2500 Value and Russell 2000 Value indices, which returned -5.83% and -7.74%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Ariel Fund highlighted stocks such as Paramount Global (NASDAQ:PARA). Paramount Global (NASDAQ:PARA) is a mass media company that operates through TV Media, Direct-to-Consumer, and Filmed Entertainment segments. The one-month return of Paramount Global (NASDAQ:PARA) was -7.42%, and its shares lost 13.41% of their value over the last 52 weeks. On April 22, 2025, Paramount Global (NASDAQ:PARA) stock closed at $10.98 per share with a market capitalization of $7.83 billion. Ariel Fund stated the following regarding Paramount Global (NASDAQ:PARA) in its Q1 2025 investor letter: "Several stocks in the portfolio had strong returns in the quarter. Shares of entertainment company, Paramount Global (NASDAQ:PARA), rose during the period. The company entered 2025 with healthy operating momentum at Paramount+, with strong year-over-year engagement growth driven by its original programming and sports offerings. As such, Paramount+ remains on track for domestic profitability this year, with global profitability likely in 2026. Meanwhile, declining linear TV viewership and related pressure on advertising from ratings erosion remain headwinds. Although the Skydance transaction is expected to close in the near term, some investors are concerned the merger may remain in FCC purgatory. Whether the deal is approved or not, we believe the underlying value of the company's proprietary content and media assets is not reflected in its current share price." A closeup of a digital newsroom, highlighting the complexity of the modern media landscape. Paramount Global (NASDAQ:PARA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. Our database shows that 54 hedge fund portfolios held Paramount Global (NASDAQ:PARA) at the end of the fourth quarter, compared to 44 in the third quarter. While we acknowledge the potential of Paramount Global (NASDAQ:PARA) 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 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.
