Middle Coast Investing, an investment advisor firm, released its third-quarter investor letter. A copy of the letter can be downloaded here. It was a frustrating quarter for the firm. The portfolio appreciated in the quarter but lagged the main indices and closer benchmarks. The portfolio’s price to earnings for the trailing 12 months (TTM) was 19.7. Cash and equivalents accounted for 17.1% of the portfolio at the end of the quarter, with an estimated average yield of 3%. This compares to 13.4% of the portfolio and a 3.9% yield at the end of Q2. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Middle Coast Investing highlighted stocks like DallasNews Corporation (NASDAQ:DALN) in the third quarter 2024 investor letter. DallasNews Corporation (NASDAQ:DALN) publishes and sells newspapers in Texas. The one-month return of DallasNews Corporation (NASDAQ:DALN) was -5.96%, and its shares lost 5.53% of their value over the last 52 weeks. On October 7, 2024, DallasNews Corporation (NASDAQ:DALN) stock closed at $4.1850 per share with a market capitalization of $22.4 million.
Middle Coast Investing stated the following regarding DallasNews Corporation (NASDAQ:DALN) in its Q3 2024 investor letter:
“I added DallasNews Corporation (NASDAQ:DALN) in a client account for the first time. The newspaper business posted a legitimate, no special benefits profit in Q2. It has appeared to cut costs to the point where it can make money, it actually grew revenue in Q2 when accounting for discontinued products or programs, and it is selling a building/real estate lot that could reap meaningful returns for shareholders. “Newspaper business in 2024” does not sound like a good investment, but the NY Times have done well and DALN’s chances of getting a small-scale turnaround right are improving.”
A journalist typing up a news article in their home office.
DallasNews Corporation (NASDAQ:DALN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 3 hedge fund portfolios held DallasNews Corporation (NASDAQ:DALN) at the end of the second quarter which was 3 in the previous quarter. While we acknowledge the potential of DallasNews Corporation (NASDAQ:DALN) 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 Q3 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.