Investment management company Ave Maria recently released its “Ave Maria Focused Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. In the third quarter, the fund returned 5.65% compared to the S&P MidCap 400 Growth Index’s 4.63% return and the S&P500 Index’s 5.89% return. The operational performance of the Fund’s holdings has been strong throughout 2024. Unfortunately, the stock prices of some of these holdings have not mirrored their robust operating performance. The firm expects that, over time, the operating performance and stock price performance will align. You can check the fund’s top 5 holdings for its best picks for 2024.
Ave Maria Focused Fund highlighted stocks like DigitalBridge Group, Inc. (NYSE:DBRG), in the third quarter 2024 investor letter. DigitalBridge Group, Inc. (NYSE:DBRG) is an investment firm that specializes in infrastructure assets, focusing specifically on digital infrastructure. The one-month return of DigitalBridge Group, Inc. (NYSE:DBRG) was -16.76%, and its shares lost 24.33% of their value over the last 52 weeks. On November 27, 2024, DigitalBridge Group, Inc. (NYSE:DBRG) stock closed at $13.06 per share with a market capitalization of $2.43 billion.
Ave Maria Focused Fund stated the following regarding DigitalBridge Group, Inc. (NYSE:DBRG) in its Q3 2024 investor letter:
“DigitalBridge Group, Inc. (NYSE:DBRG): DigitalBridge is currently raising their third flagship digital infrastructure fund. If the raise is successful, DigitalBridge’s stock price should prove to be quite cheap at current levels. If the raise is unsuccessful, DigitalBridge will likely be bought by a larger competitor. There are reasons to be optimistic about the fund raise. Switch, the leading operator of AI data centers, was taken private by DigitalBridge just under two years ago at an ~$11B valuation. There was a recent news report suggesting it may go public at a $40B valuation. That valuation could be too optimistic, but in our view there is little doubt that Switch will be a successful investment for DigitalBridge, and its IPO could provide a boost to DigitalBridge’s fund raising efforts.”
Aerial view of a city skyline, with many buildings owned by the real estate arm of the company.
DigitalBridge Group, Inc. (NYSE:DBRG) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 36 hedge fund portfolios held DigitalBridge Group, Inc. (NYSE:DBRG) at the end of the third quarter which was 24 in the previous quarter. While we acknowledge the potential of DigitalBridge Group, Inc. (NYSE:DBRG) 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 DigitalBridge Group, Inc. (NYSE:DBRG) and shared the list of AI news and ratings you should not miss. 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.