Long Cast Advisers, an investment management firm, released its third-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the cumulative net returns of the fund improved by 6% and year-to-date net returns are 16%. The fund returned a cumulative 209% net of fees, or 13% of CAGR, since its inception in November 2015 through the quarter-end of 3Q24. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Long Cast Advisers highlighted stocks like Pro-Dex, Inc. (NASDAQ:PDEX), in the third quarter 2024 investor letter. Pro-Dex, Inc. (NASDAQ:PDEX) is a powered surgical instruments manufacturing company. The one-month return of Pro-Dex, Inc. (NASDAQ:PDEX) was 40.89%, and its shares gained 138.07% of their value over the last 52 weeks. On November 5, 2024, Pro-Dex, Inc. (NASDAQ:PDEX) stock closed at $41.21 per share with a market capitalization of $134.317 million.
Long Cast Advisers stated the following regarding Pro-Dex, Inc. (NASDAQ:PDEX) in its Q3 2024 investor letter:
“Pro-Dex, Inc. (NASDAQ:PDEX), a long time holding I’ve not written much about, was positively meaningful to returns. It is a contract manufacturer to the medical device industry, with a marquee torque limiting driver, basically an electric screw driver that consistently seats surgical screws into bone without stripping them. It is useful for various orthopedic and maxillofacial surgeries, to name a few end markets. The company supplies these products to one of the world’s largest medical device companies.
I can’t point to a single reason why the stock is suddenly “in vogue” but like many of our holdings, it has quietly been operating against a plan in a capital efficient and non-dilutive way, key attributes of a Long Cast Advisers style investment. The company recently completed the expansion of its manufacturing footprint and now has a capacity for $80M-$100M in sales, up from under $40M in FY21 (ended June 30th). The company has a history of patient management whose Chairman is a thoughtful, long term and idiosyncratic investor we are happy to patiently invest alongside.”
A doctor in a hospital operating room using advanced surgical instruments.
Pro-Dex, Inc. (NASDAQ:PDEX) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 1 hedge fund portfolios held Pro-Dex, Inc. (NASDAQ:PDEX) at the end of the second quarter which was 2 in the previous quarter. While we acknowledge the potential of Pro-Dex, Inc. (NASDAQ:PDEX) 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.