Manole Capital Management, an investment management company, focused on covering the Financial and Technology sectors, released its third quarter 2024 investor letter. A copy of the letter can be downloaded here. The third quarter was an excellent period for the US economy, which is still growing. The US real GDP grew by +2.8%, which was double the first quarter’s increase and significantly higher than the 2.0% prediction. The financial markets appeared to be setting new highs every day in June and July. Although there has been some increased volatility in August, the market is still performing well. The letter discussed the Fed, interest rates, inflation, the inverted yield curve, jobs, wage growth, the extremely concentrated stock market, and the market’s biggest uncertainty: the US presidential election. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Manole Capital Management highlighted stocks like NVIDIA Corporation (NASDAQ:NVDA), in the third quarter 2024 investor letter. NVIDIA Corporation (NASDAQ:NVDA) offers graphics and compute and networking solutions. The one-month return of NVIDIA Corporation (NASDAQ:NVDA) was -10.62%, and its shares gained 171.02% of their value over the last 52 weeks. On December 17, 2024, NVIDIA Corporation (NASDAQ:NVDA) stock closed at $130.39 per share with a market capitalization of $3.193 trillion.
Manole Capital Management stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q3 2024 investor letter:
“As of this publication, Nvidia is up roughly 150% year-to-date. NVIDIA Corporation (NASDAQ:NVDA) was the largest gainer in the S&P 500 last year and has more than tripled in value over the last year. It hit an eye-opening market capitalization of $3 trillion in June, less than four months after it eclipsed the $2 trillion mark. Enthusiasm for everything AI-related, especially for the primary chip maker whose products are essential to powering AI technology, continues to fuel the market. Last quarter, and for the fifth consecutive quarter, Nvidia reported sales and profits that blew past Wall Street expectations. The stock rose +37% in the second quarter alone.”
NVIDIA Corporation (NASDAQ:NVDA) is in 5th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 193 hedge fund portfolios held NVIDIA Corporation (NASDAQ:NVDA) at the end of the third quarter which was 179 in the previous quarter. NVIDIA Corporation (NASDAQ:NVDA) reported another record quarter in Q3 with $35.1 billion in revenues, representing a 94% year-over-year increase and 17% sequential growth. While we acknowledge the potential of NVIDIA Corporation (NASDAQ:NVDA) 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 NVIDIA Corporation (NASDAQ:NVDA) and shared the list of stocks most held by hedge funds. 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.