Artisan Partners, an investment management company, released its “Artisan Small Cap Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The third quarter saw strength in small cap stocks, particularly in July when the return on the Russell 2000 Index was 10.2%. In the quarter, its Investor Class fund ARTSX returned 9.02%, Advisor Class fund APDSX posted a return of 9.04%, and Institutional Class fund APHSX returned 9.06%, compared to a return of 8.41% for the Russell 2000 Growth Index. Outperformance of the fund in the quarter was driven by positive security selection within health care and consumer discretionary sectors. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2024.
Artisan Small Cap Fund highlighted stocks like Installed Building Products, Inc. (NYSE:IBP), in the third quarter 2024 investor letter. Installed Building Products, Inc. (NYSE:IBP) engages in the installation of insulation, waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving and mirrors, and other products. The one-month return of Installed Building Products, Inc. (NYSE:IBP) was 0.26%, and its shares gained 13.52% of their value over the last 52 weeks. On December 11, 2024, Installed Building Products, Inc. (NYSE:IBP) stock closed at $208.53 per share with a market capitalization of $5.816 billion.
Artisan Small Cap Fund stated the following regarding Installed Building Products, Inc. (NYSE:IBP) in its Q3 2024 investor letter:
“During the quarter, we initiated new GardenSM positions in Hamilton Lane, Installed Building Products, Inc. (NYSE:IBP) and Colliers International Group. Installed Building Products is the second-largest insulation installer in the US. It handles every stage of installation, including material procurement, project scheduling and logistics, multi-phase installation and inspection. We believe the company is entering an exciting product cycle due to an increasing number of new residential housing completions to help alleviate low housing inventory, a focus on geographic expansion opportunities and increasing revenue per completion by cross-selling complementary products.”
A construction worker installing a garage door in a new residential home.
Installed Building Products, Inc. (NYSE:IBP) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 22 hedge fund portfolios held Installed Building Products, Inc. (NYSE:IBP) at the end of the third quarter which was 31 in the previous quarter. Consolidated net revenue of Installed Building Products, Inc. (NYSE:IBP) for the third quarter increased 8% to an all-time record of $761 million compared to $707 million for Q3 2023. While we acknowledge the potential of Installed Building Products, Inc. (NYSE:IBP) 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 Installed Building Products, Inc. (NYSE:IBP) and shared Carillon Scout Small Cap Fund’s views on the company in the previous quarter. 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.