The London Company, an investment management company, released “The London Company Small Cap Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter, the fund appreciated 7.1% (7%, net) compared to a 9.3% increase in the Russell 2000 Index. The positive impact of sector allocation was mitigated by stock selection in the third quarter. For more information on the fund’s top picks in 2024, please check its top five holdings.
The London Company Small Cap Strategy highlighted stocks like Innovex International, Inc. (NYSE:INVX) in the third quarter 2024 investor letter. Innovex International, Inc. (NYSE:INVX) designs and manufactures a suite of well-centric engineered products to oil and gas industries. The one-month return of Innovex International, Inc. (NYSE:INVX) was 5.83%, and its shares lost 30.72% of their value over the last 52 weeks. On November 12, 2024, Innovex International, Inc. (NYSE:INVX) stock closed at $16.15 per share with a market capitalization of $1.086 billion.
The London Company Small Cap Strategy stated the following regarding Innovex International, Inc. (NYSE:INVX) in its Q3 2024 investor letter:
“Merger: Dril-Quip (DRQ) – During September, DRQ completed a merger with Innovex Downhole Solutions. The combined company is now called Innovex International, Inc. (NYSE:INVX). The former shareholders of DRQ now own shares of INVX. There were no buys and sells during the quarter related to this merger. However, for clients who reviewed their portfolio earlier in the year, they would see a position in DRQ, which is now Innovex International (INVX).”
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Innovex International, Inc. (NYSE:INVX) is not on our list of 31 Most Popular Stocks Among Hedge Funds. While we acknowledge the potential of Innovex International, Inc. (NYSE:INVX) 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.