TimesSquare Capital Management, an equity investment management company, released its “U.S. Small Cap Growth Strategy” second-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter the fund returned -1.59% (gross) and -1.83% (net), compared to a -2.92% return for the Russell 2000 Growth Index. The equity markets performed well in the second quarter, as long as one held only a handful of the biggest, fastest-growing U.S. stocks. Despite profitability turning positive this quarter following negative or neutral results in previous quarters, momentum remained the most important component in the worldwide market. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital Management U.S. Small Cap Growth Strategy highlighted stocks like Savers Value Village, Inc. (NYSE:SVV), in the second quarter 2024 investor letter. Savers Value Village, Inc. (NYSE:SVV) operates retail stores that sell second-hand merchandise. The one-month return of Savers Value Village, Inc. (NYSE:SVV) was 15.54%, and its shares lost 45.89% of their value over the last 52 weeks. On September 17, 2024, Savers Value Village, Inc. (NYSE:SVV) stock closed at $10.41 per share with a market capitalization of $1.678 billion.
TimesSquare Capital Management U.S. Small Cap Growth Strategy stated the following regarding Savers Value Village, Inc. (NYSE:SVV) in its Q2 2024 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, or premium brands. Savers Value Village, Inc. (NYSE:SVV), a retailer of second-hand merchandise, tumbled -37%. First quarter profits were modestly below expectations, primarily due to macroeconomic pressures in its Canadian business. Same store comparison trends were healthier in their U.S. operations. Management announced its recently completed acquisition of Two Peaches, a small thrift chain in the southern U.S., which adds seven new stores to its mix. Looking ahead, management maintained full-year sales guidance.”
A store cubicle filled with textiles, clothing, bedding, and bath items.
Savers Value Village, Inc. (NYSE:SVV) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 12 hedge fund portfolios held Savers Value Village, Inc. (NYSE:SVV) at the end of the second quarter which was 11 in the previous quarter. Savers Value Village, Inc.’s (NYSE:SVV) second quarter net sales increased 2% to $387 million. While we acknowledge the potential of Savers Value Village, Inc. (NYSE:SVV) 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 Savers Value Village, Inc. (NYSE:SVV) and shared the list of best new stocks to buy according to analysts. In addition, please check out our hedge fund investor letters Q2 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.