Palm Valley Capital Management, an investment management company, has announced the third quarter 2024 investor letter for the Palm Valley Capital Fund. A copy of the letter can be downloaded here. Palm Valley Capital Fund gained 2.43% in the third quarter. In comparison, the S&P Small-Cap 600 Index and Morningstar Small-Cap Index returned 10.13% and 8.48%, respectively. During the quarter, the fund’s equity position increased by 8.32%, slightly below the small-cap benchmark. Cash equivalents represented 81.5% of the fund’s assets at the end of the period. Plus, check out the fund’s top 5 holdings to find out the best stocks for 2024.
Palm Valley Capital Fund featured stocks like Helen of Troy Limited (NASDAQ:HELE) in its Q3 2024 Investor Letter. Helen of Troy Limited (NASDAQ:HELE) offers a wide range of consumer products. Helen of Troy Limited (NASDAQ:HELE) has a 1-month return of 12.26%, with the company’s stock losing 43.27% of its value over the past 52 weeks. On October 3, 2024, shares of Helen of Troy Limited (NASDAQ:HELE) closed at $61.54 per share, giving it a market cap of $1.404 billion.
Palm Valley Capital Fund said the following about Helen of Troy Limited (NASDAQ:HELE) in its Q3 2024 investor letter:
“Helen of Troy Limited (NASDAQ:HELE) had the only new purchase made during the third quarter. It is a diverse collection of consumer products. The company’s top brands include OXO, These include Hydro Flask, Osprey, PUR, Hot Tools and Dry Bar.”Helen also has a leading position in the market through its licensed brands Braun, Vicks, Honeywell and Revlon, but the company’s performance has been affected by the pandemic. However, sales have shrunk over the past two years as consumer demand for Hellen products normalized post-stimulus. The company’s stock is heavily shorted, with short sellers claiming Helen is overleveraged, a failed roll-up with second-tier brands, and has poor cash flow, although most of the company’s brands We believe it is a mistake to have a major market share. ”
Woman using health and wellness products in a spa environment.
Helen of Troy Limited (NASDAQ:HELE) is not included in our list of 31 most popular stocks among hedge funds. Our database shows that 21 hedge fund portfolios held Helen of Troy Limited (NASDAQ:HELE) at the end of the second quarter, compared to 26 stocks in the prior quarter. While we see Helen of Troy Limited’s (NASDAQ:HELE) investment potential, 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 Helen of Troy Limited (NASDAQ:HELE) and shared Polen US Small Company Growth Strategy’s view on the company. Additionally, for investor letters from hedge funds and other leading investors, please visit our Hedge Fund Investor Letters Q3 2024 page.
Read next: Michael Burley sells these stocks, ushering in a new dawn for U.S. stocks.
Disclosure: None. This article was originally published on Insider Monkey.
