White Brook Capital Partners, an investment management firm, released its third-quarter 2024 investor letter. A copy of the letter can be downloaded here. The Fund’s NAV increased by 6.50%, YTD, net of all realized and accrued fees vs the S&P 400 MidCap Index up 13.55%. The firm believes that small and midcap stocks present a compelling opportunity. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
White Brook Capital Partners highlighted stocks like Wayfair Inc. (NYSE:W), in the third quarter 2024 investor letter. Headquartered in Boston, Massachusetts, Wayfair Inc. (NYSE:W) is an online home furnishing store. The one-month return of Wayfair Inc. (NYSE:W) was -14.27%, and its shares gained 18.17% of their value over the last 52 weeks. On October 23, 2024, Wayfair Inc. (NYSE:W) stock closed at $46.43 per share with a market capitalization of $5.732 billion.
White Brook Capital Partners stated the following regarding Wayfair Inc. (NYSE:W) in its Q3 2024 investor letter:
“During the quarter, White Brook Capital sold its position in PetIQ near the takeout price and reinvested proceeds in three new investments: Wayfair Inc. (NYSE:W), Okta, Inc (OKTA), and Krispy Kreme, Inc (DNUT). Wayfair adds to White Brook’s thesis in a housing recovery backed by a still healthy US consumer. There is a perceived risk in the event of a Trump election that Wayfair’s business model is endangered should Trump erect very high tariffs. White Brook believes that risk is overblown, that the business will thrive regardless of the extent of tariffs, and that the company is well positioned to generate significant free cash flow in the near and long term.”
Home furnishing
Wayfair Inc. (NYSE:W) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 46 hedge fund portfolios held Wayfair Inc. (NYSE:W) at the end of the second quarter which was 53 in the previous quarter. While we acknowledge the potential of Wayfair Inc. (NYSE:W) 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 Wayfair Inc. (NYSE:W) and shared Alphyn Capital Management’s views on the company in the previous quarter. 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.