Aristotle Atlantic Partners, LLC, an investment advisor, released its “Focus Growth Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The U.S. equity market continued its rise to new record highs, with the S&P 500 Index increasing by 5.89% during the period. Aristotle Atlantic’s Focus Growth strategy returned 2.84% gross of fees (2.82% net of fees) in the quarter underperforming the Russell 1000 Growth Index’s 3.19% total return. The relative outperformance was due to both allocation effects and security selection. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Aristotle Focus Growth Strategy highlighted stocks like Linde plc (NASDAQ:LIN) in the third quarter 2024 investor letter. Linde plc (NASDAQ:LIN) is an industrial gas company. The one-month return of Linde plc (NASDAQ:LIN) was -1.28%, and its shares gained 16.36% of their value over the last 52 weeks. On November 1, 2024, Linde plc (NASDAQ:LIN) stock closed at $457.31 per share with a market capitalization of $217.752 billion.
Aristotle Focus Growth Strategy stated the following regarding Linde plc (NASDAQ:LIN) in its Q3 2024 investor letter:
“Linde plc (NASDAQ:LIN) is the largest industrial gas company worldwide and a major technological innovator in the industry. The company produces atmospheric gases like oxygen, nitrogen, argon, and rare gases through air separation processes, with cryogenic air separation being the most prevalent. They also have technologies to produce blue and green hydrogen, which are considered clean energy. Linde uses three basic distribution methods for industrial gases: on-site or tonnage, merchant or bulk liquid, and packaged or cylinder gases. These methods are often integrated, with products from all three supply modes coming from the same plant. The method of supply is determined by the lowest cost means of meeting the customer’s needs.
Linde holds a leading market share in a consolidated industry, with expected revenues of approximately $34 billion in 2024. The company has consistently grown its earnings throughout economic cycles due to its exposure to both cyclical end markets and is secured by long-term supply agreements of at least three years, providing defensive characteristics to its operating model. We see a robust backlog and pipeline driven by attractive growth end markets and significant decarbonization opportunities with operational discipline from management.”
A scientist in a lab coat inspecting a cylinder filled with industrial gas.
Linde plc (NASDAQ:LIN) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 63 hedge fund portfolios held Linde plc (NASDAQ:LIN) at the end of the second quarter which was 65 in the previous quarter. The third quarter sales of Linde plc (NASDAQ:LIN) was $8.4 billion, up 2% from last year and 1% sequentially. While we acknowledge the potential of Linde plc (NASDAQ:LIN) 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 Linde plc (NASDAQ:LIN) and shared the list of top stocks that are poised to disrupt their industries by 2030 with technology according to investment bank UBS. 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.