Investment management firm Columbia Threadneedle Investments has released its second quarter 2024 investor letter for the Columbia Contrarian Core Fund. A copy of the letter can be downloaded here. During the quarter, the Columbia Contrarian Core Fund returned 5.39% (net of fees), compared to a return of 3.57% for the Russell 1000 Index. Favorable stock selection and aggressive sector allocation led to the fund’s outperformance in the quarter. Plus, check out the fund’s top 5 holdings to find out the best stocks for 2024.
Columbia Contrarian Core Fund highlighted stocks such as NVIDIA Corporation (NASDAQ:NVDA) in its Q2 2024 Investor Letter. NVIDIA Corporation (NASDAQ:NVDA) provides graphics, computing, and networking solutions. NVIDIA Corporation (NASDAQ:NVDA) has a 1-month return of 3.91%, and the company’s stock has increased 185.16% in value over the past 52 weeks. On September 26, 2024, NVIDIA Corporation (NASDAQ:NVDA) stock closed at $124.04 per share, giving it a market cap of $3.43 trillion.
Columbia Contrarian Core Fund said the following about NVIDIA Corporation (NASDAQ:NVDA) in its Q2 2024 Investor Letter:
“NVIDIA Corporation (NASDAQ:NVDA) – NVIDIA continued its rally after releasing first-quarter results in May that featured record revenue growth of 262% year-over-year. The stock began split trading, with a 10-for-1 forward stock split making it easier for both employees and investors to own the stock. It has officially surpassed Microsoft as the most valuable publicly traded company in terms of market capitalization (though it will let Microsoft go). Other companies will also benefit from the artificial intelligence (AI) trend this year. However, NVIDIA stands out as the undisputed leader in this space, and it is hard to imagine that NVIDIA will continue to challenge that position.We are seeing very strong demand levels for Blackwell Systems. The recent introduction looks like an exciting next phase of growth for the stock.”
A close-up view of a colorful high-end graphics card connected to a gaming computer.
NVIDIA Corporation (NASDAQ:NVDA) ranks 5th on the list of 31 most popular stocks among hedge funds. According to our database, 179 hedge fund portfolios held NVIDIA Corporation (NASDAQ:NVDA) at the end of the second quarter, compared to 186 in the prior quarter. NVIDIA Corporation (NASDAQ:NVDA) reported another record quarter in Q2 with revenue of $30 billion. This represents a 122% year-over-year increase and a 15% quarter-over-quarter increase. While we see the potential of NVIDIA Corporation (NASDAQ:NVDA) as an investment, we believe AI stocks are more likely to deliver higher returns in a shorter time frame. If you’re looking for an AI stock with as much promise as NVIDIA, but trading at less than 5x earnings, check out our report on the cheapest AI stocks.
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In another article, we discussed NVIDIA Corporation (NASDAQ:NVDA) and shared a list of notable AI stocks with latest news and analyst ratings. Additionally, for investor letters from hedge funds and other leading investors, please visit our Hedge Fund Investor Letters Q2 2024 page.
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Disclosure: None. This article was originally published on Insider Monkey.
