Artisan Partners, an investment management company, released its “Artisan Developing World Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the fund (Investor Class) returned 9.64% compared to 8.72% for the MSCI Emerging Markets Index. The Artisan Developing World Fund has returned 149.38% cumulatively, since June 30, 2015, compared to 50.92% for the index. During the quarter, the US labor market’s weakness interrupted the steady year-over-year inflation rate improvement, which paved the way for a 50bps interest rate cut from the Federal Reserve at its September policy meeting. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Artisan Developing World Fund highlighted stocks like Snowflake Inc. (NYSE:SNOW), in the third quarter 2024 investor letter. Snowflake Inc. (NYSE:SNOW) is a cloud-based data platform provider for various organizations. The one-month return of Snowflake Inc. (NYSE:SNOW) was 5.67%, and its shares lost 28.28% of their value over the last 52 weeks. On October 4, 2024, Snowflake Inc. (NYSE:SNOW) stock closed at $114.72 per share with a market capitalization of $38.454 billion.
Artisan Developing World Fund stated the following regarding Snowflake Inc. (NYSE:SNOW) in its Q3 2024 investor letter:
“Bottom contributors to performance for the quarter included data center software provider Snowflake Inc. (NYSE:SNOW). Snowflake declined due to continued concerns around the company’s competitive position including its role in emerging AI architectures, and perhaps continued cloud optimization headwinds.”
A software engineer at work, surrounded by a wall of computer monitors connected to a ‘Data Cloud’ platform.
Snowflake Inc. (NYSE:SNOW) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 69 hedge fund portfolios held Snowflake Inc. (NYSE:SNOW) at the end of the second quarter which was 73 in the previous quarter. Snowflake Inc.’s (NYSE:SNOW) Q2 product revenue reached $829 million, a 30% increase over the previous year. While we acknowledge the potential of Snowflake Inc. (NYSE:SNOW) 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 Snowflake Inc. (NYSE:SNOW) and shared the list of tech stocks with biggest upside potential according to analysts. In addition, please check out our hedge fund investor letters Q3 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.