Mairs & Power, an investment advisor, released the “Mairs & Power Small Cap” third quarter 2024 investor letter. A copy of the letter can be downloaded here. Non-technology equities were the market leaders in the first quarter, but mega-cap technology companies made a strong comeback in the second quarter. The market expanded again in the most recent quarter as interest-rate and economically sensitive areas like Utilities, Industrials, and small-cap stocks outperformed. Year-to-date the fund is up 8.95% slightly underperforming the 9.33% return for the S&P Small Cap 600 Total Return (TR) benchmark and the 10.90% return for its peer group, the Morningstar U.S. Fund Small Blend. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Mairs & Power Small Cap Strategy highlighted stocks like Life Time Group Holdings, Inc. (NYSE:LTH), in the third quarter 2024 investor letter. Life Time Group Holdings, Inc. (NYSE:LTH) operates health, fitness, recreation, and spa centers. The one-month return of Life Time Group Holdings, Inc. (NYSE:LTH) was 8.53%, and its shares gained 61.27% of their value over the last 52 weeks. On November 25, 2024, Life Time Group Holdings, Inc. (NYSE:LTH) stock closed at $24.69 per share with a market capitalization of $5.11 billion.
Mairs & Power Small Cap Strategy stated the following regarding Life Time Group Holdings, Inc. (NYSE:LTH) in its Q3 2024 investor letter:
“The Fund also added one new name in the third quarter: Life Time Group Holdings, Inc. (NYSE:LTH). The company, based in Chanhassen, Minnesota, operates 175 health clubs across the U.S. LifeTime’s clubs are upscale health and wellness centers targeting higher-income members. The company has an excellent brand, is experiencing significant demand for their offerings, and is led by a seasoned entrepreneurial founder.”
A diverse group of people engaging in various activities in a modern fitness center.
Life Time Group Holdings, Inc. (NYSE:LTH) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 27 hedge fund portfolios held Life Time Group Holdings, Inc. (NYSE:LTH) at the end of the third quarter which was 20 in the previous quarter. While we acknowledge the potential of Life Time Group Holdings, Inc. (NYSE:LTH) 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.
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.