Parnassus Investments, an investment management company, released the “Parnassus Growth Equity Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. In the second quarter, the Fund (Investor Shares) returned 3.74% (net of fees) underperforming the Russell 1000 Growth Index’s 8.33%. Stock selection in the Information Technology sector primarily drove the portfolio’s underperformance. Also, overweight position and stock selection in the Financials sector detracted. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Parnassus Growth Equity Fund highlighted stocks like Old Dominion Freight Line, Inc. (NASDAQ:ODFL), in the second quarter 2024 investor letter. Old Dominion Freight Line, Inc. (NASDAQ:ODFL) is a less-than-truckload motor carrier that provides regional, inter-regional, and national less-than-truckload services, as well as expedited transportation. The one-month return of Old Dominion Freight Line, Inc. (NASDAQ:ODFL) was -2.19%, and its shares lost 4.65% of their value over the last three months. On September 20, 2024, Old Dominion Freight Line, Inc. (NASDAQ:ODFL) stock closed at $193.97 per share with a market capitalization of $41.691 billion.
Parnassus Growth Equity Fund stated the following regarding Old Dominion Freight Line, Inc. (NASDAQ:ODFL) in its Q2 2024 investor letter:
“To fund MSCI, we trimmed some of our existing positions and sold Old Dominion Freight Line, Inc. (NASDAQ:ODFL). This sale turned our overweight to an underweight in Industrials, which continues to face cyclical demand risk. We have owned Old Dominion since the Fund’s inception, and it has been a profitable position. We believe the competitive landscape has consolidated into a stronger peer set, and MSCI offers more attractive returns.”
A large fleet of freight trucks travelling down an interstate highway.
Old Dominion Freight Line, Inc. (NASDAQ:ODFL) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 43 hedge fund portfolios held Old Dominion Freight Line, Inc. (NASDAQ:ODFL) at the end of the second quarter which was 38 in the previous quarter. In the second quarter, Old Dominion Freight Line, Inc. (NASDAQ:ODFL) reported 1.5 billion in revenues, up 6.1% from Q2 2023. While we acknowledge the potential of Old Dominion Freight Line, Inc. (NASDAQ:ODFL) 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 Old Dominion Freight Line, Inc. (NASDAQ:ODFL) and shared Weitz Investment Management Partners III Opportunity Fund’s views on the company. 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.