Here’s Why Intest (INTT) Detracted in Q3 - InvestingChannel

Here’s Why Intest (INTT) Detracted in Q3

Rewey Asset Management, an investment management company, released its “RAM Smid Composite” third quarter investor letter. A copy of the letter can be downloaded here. The fund rose 9.83% in 3Q24 and 18.53% year-to-date, outperforming the benchmark, the Russell 2500 Value index, which gained 9.63% in 3Q24 and up 11.27% YTD. The firm constructed its portfolio based on a three-pronged investment philosophy—financial strength, the ability to grow, and discounted valuations. In addition, please check the fund’s top five holdings to know its best picks in 2024.

Rewey Asset Management highlighted stocks like InTEST Corporation (AMEX:INTT) in the third quarter 2024 investor letter. InTEST Corporation (AMEX:INTT) develops and delivers testing and process technology solutions for use in manufacturing and testing in automotive, defense/aerospace, industrial, life sciences, security, and semiconductor markets. The one-month return of InTEST Corporation (AMEX:INTT) was 7.78%, and its shares lost 36.29% of their value over the last 52 weeks. On December 13, 2024, InTEST Corporation (AMEX:INTT) stock closed at $7.76 per share with a market capitalization of $96.027 million.

Rewey Asset Management stated the following regarding InTEST Corporation (AMEX:INTT) in its Q3 2024 investor letter:

“InTEST Corporation (AMEX:INTT) was our largest detractor in the quarter, as the share price fell 26.11%. Investors reacted negatively to the severe slowdown in INTT’s front-end semi-conductor manufacturing equipment segment, which produces induction heating elements used to grow Silicon Carbide and Gallium Arsenide wafers. While this ordering pause will likely take one to two quarters to abate, we think the reaction in the share price has been far too negative, as these semi offerings still have tremendous long-term growth potential due to their low heat characteristics. Further, the ‘other’ 85% of the company remains on track, and the company has a strong financial position with essentially no net debt.”

A security guard patrolling a defense facility, protecting critical technologies.

InTEST Corporation (AMEX:INTT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 7 hedge fund portfolios held InTEST Corporation (AMEX:INTT) at the end of the third quarter which was 12 in the previous quarter. While we acknowledge the potential of InTEST Corporation (AMEX:INTT) 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.

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