Chartwell Investment Partners, LLC, an affiliate of Carillon Tower Advisers, Inc., released the “Carillon Chartwell Small Cap Growth Fund” first quarter 2024 investor letter. A copy of the letter can be downloaded here. In the first quarter of 2024, the U.S. economy showed signs of moderate growth, with indications of an upturn towards the end of the period. The Federal Reserve sees the economic performance as a “Goldilocks” scenario, balanced, with slowing demand, moderate wage pressure, and strong job growth. Future economic trends will determine interest rate decisions. High levels of fiscal spending, new home construction, industrial investments, and moderate wage growth are expected to support economic expansion over the near term. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Carillon Chartwell Small Cap Growth Fund highlighted stocks like Wolfspeed, Inc. (NYSE:WOLF), in the first quarter 2024 investor letter. Wolfspeed, Inc. (NYSE:WOLF) is a powerhouse semiconductor company that focuses on silicon carbide and gallium nitride (GaN) technologies. The one-month return of Wolfspeed, Inc. (NYSE:WOLF) was -14.02%, and its shares lost 59.28% of their value over the last 52 weeks. On June 25, 2024, Wolfspeed, Inc. (NYSE:WOLF) stock closed at $22.08 per share with a market capitalization of $2.779 billion.
Carillon Chartwell Small Cap Growth Fund stated the following regarding Wolfspeed, Inc. (NYSE:WOLF) in its first quarter 2024 investor letter:
“Wolfspeed, Inc. (NYSE:WOLF) was under pressure, as weak sales of electric vehicles (EVs) from automakers led to lower demand levels for the company’s specialized silicon carbide (SIC) chips widely used in EVs. These lower demand trends started in the second half of last year and continued through the first quarter.”
A worker assembling metal oxide semiconductor field effect transistors (MOSFETs) on a conveyer belt.
Wolfspeed, Inc. (NYSE:WOLF) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 33 hedge fund portfolios held Wolfspeed, Inc. (NYSE:WOLF) at the end of the first quarter which was 34 in the previous quarter. Wolfspeed, Inc. (NYSE:WOLF) recorded $201 million in revenue for the quarter, marking a 4% decrease from the previous quarter and an increase of 4% year over year. While we acknowledge the potential of Wolfspeed, Inc. (NYSE:WOLF) 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 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.