TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the second quarter, the strategy returned 0.08% (gross) and -0.13% (net) compared to -3.21% for the Russell Midcap Growth Index. The equity markets performed well in the second quarter, as long as one held only a small number of the biggest, fastest-growing U.S. stocks (i.e., the Magnificent Seven). In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital Management U.S. Focus Growth Strategy highlighted stocks like Legend Biotech Corporation (NASDAQ:LEGN), in the second quarter 2024 investor letter. Legend Biotech Corporation (NASDAQ:LEGN) is a clinical-stage biopharmaceutical company. The one-month return of Legend Biotech Corporation (NASDAQ:LEGN) was -10.76%, and its shares lost 23.59% of their value over the last 52 weeks. On September 11, 2024, Legend Biotech Corporation (NASDAQ:LEGN) stock closed at $49.75 per share with a market capitalization of $9.113 billion.
TimesSquare Capital Management U.S. Focus Growth Strategy stated the following regarding Legend Biotech Corporation (NASDAQ:LEGN) in its Q2 2024 investor letter:
“Pulling back by -27% was Legend Biotech Corporation (NASDAQ:LEGN), a biotechnology developer of cell therapies to treat blood cancers such as multiple myeloma and leukemia. Recently both the European Union and the FDA approved the use of Legend’s Carvykti treatment of multiple myeloma. Some investors may have been concerned about possible supply delays as Legend ramps up production. Though with a long-standing agreement with Johnson & Johnson and a new partnership with Novartis for increasing production capacity, we see a long runway of growth ahead. Later in the quarter, there were concerns surrounding potential negative impacts from Congress’s draft BIOSECURE Act, which would bar certain Chinese-controlled biotechnology companies from U.S. government contracts. Our initial view is that Legend may not fall under the scope of the Act, though in our discussions with Legend’s management they seem ready to take steps to avoid possible negative outcomes from the Act. However, with that potential risk we removed the position from our concentrated strategy.”
A laboratory with workers in masks and lab coats focused on analyzing cell therapies.
Legend Biotech Corporation (NASDAQ:LEGN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held Legend Biotech Corporation (NASDAQ:LEGN) at the end of the second quarter which was 27 in the previous quarter. While we acknowledge the potential of Legend Biotech Corporation (NASDAQ:LEGN) 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 discussed Legend Biotech Corporation (NASDAQ:LEGN) and shared the list of largest biotech hedge funds and their top stock picks. TimesSquare Capital U.S. Focus Growth Strategy initiated a position in Legend Biotech Corporation (NASDAQ:LEGN) during Q1 2024. In addition, please check out our hedge fund investor letters Q2 2024 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.