Verisk Analytics (VRSK) Slipped as Revenues Fell Short of Expectations - InvestingChannel

Verisk Analytics (VRSK) Slipped as Revenues Fell Short of Expectations

TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” third-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the strategy returned 3.90% (gross) and 3.69% (net) compared to 6.54% for the Russell Midcap Growth Index. The third quarter was stable for global markets, with most equity and credit markets achieving mid-to-high single-digit returns. Economic activity showed consistency, and energy prices fell; however, rising tensions in the Middle East have recently started to change this situation. In addition, please check the fund’s top five holdings to know its best picks in 2024.

TimesSquare Capital U.S. Focus Growth Strategy highlighted stocks like Verisk Analytics, Inc. (NASDAQ:VRSK) in the Q3 2024 investor letter. Verisk Analytics, Inc. (NASDAQ:VRSK) offers data analytics solutions to the insurance markets. The one-month return of Verisk Analytics, Inc. (NASDAQ:VRSK) was 6.87%, and its shares gained 23.63% of their value over the last 52 weeks. On November 27, 2024, Verisk Analytics, Inc. (NASDAQ:VRSK) stock closed at $294.56 per share with a market capitalization of $41.595 billion.

TimesSquare Capital U.S. Focus Growth Strategy stated the following regarding Verisk Analytics, Inc. (NASDAQ:VRSK) in its Q3 2024 investor letter:

“Verisk Analytics, Inc. (NASDAQ:VRSK) supplies risk information and analysis for the property/casualty insurance industry. Second quarter overall revenues missed Street estimates. While subscription revenues grew nicely, transactional revenues declined in comparison to their last quarter. Part of this is explained by Verisk’s ongoing efforts to convert more of their transaction-based business to subscriptions. Nevertheless, its shares were flat over the quarter thereby underperforming the index sector average of 13%.”

An engineer using the latest predictive analytics software to formulate solutions.

Verisk Analytics, Inc. (NASDAQ:VRSK) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held Verisk Analytics, Inc. (NASDAQ:VRSK) at the end of the third quarter which was 46 in the previous quarter. In the third quarter, Verisk Analytics, Inc. (NASDAQ: VRSK) reported revenue of $725 million on a consolidated and GAAP basis, which is a 7% increase compared to the previous year. While we acknowledge the potential of Verisk Analytics, Inc. (NASDAQ:VRSK) 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 Verisk Analytics, Inc. (NASDAQ:VRSK) and shared Baron Asset Fund’s views on the company. 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.

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