Invesco Distributors, Inc., an investment management firm, released its “Invesco Growth and Income Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. US stocks experienced increases in the third quarter despite a drop in early August as inflation subsided and the Federal Reserve (Fed) initiated its much-anticipated monetary easing cycle. As interest rates became more predictable, investors shifted their focus from technology and artificial intelligence (AI) equities, which had dominated much of 2024, to small-cap and value stocks that may profit from lower rates. Against this benchmark, the fund underperformed the benchmark. The fund’s under performance was driven by the stock selection in the financial, consumer discretionary, information technology (IT), and communication services industries. Relative performance was enhanced by the choice of stocks in consumer staples, industrials, and real estate. In addition, check the fund’s top five holdings to know its best picks in 2024.
Invesco Growth and Income Fund highlighted stocks like Intel Corporation (NASDAQ:INTC), in the third quarter 2024 investor letter. Intel Corporation (NASDAQ:INTC) designs, develops, manufactures, markets, and sells computing and related products and services. The one-month return of Intel Corporation (NASDAQ:INTC) was -22.20%, and its shares lost 60.29% of their value over the last 52 weeks. On December 19, 2024, Intel Corporation (NASDAQ:INTC) stock closed at $19.06 per share with a market capitalization of $82.206 billion.
Invesco Growth and Income Fund stated the following regarding Intel Corporation (NASDAQ:INTC) in its Q3 2024 investor letter:
“Intel Corporation (NASDAQ:INTC): The chipmaker reported weaker-than-expected quarterly results as revenues declined and earnings were below expectations. Management also provided weaker guidance going forward; the stock fell on the news. We sold the position during the quarter.
The chipmaker’s quarterly earnings report was weaker than anticipated as revenues declined and earnings were below expectations. Management also provided weaker guidance going forward. Given that a potential recovery appears to be further in the future than we originally anticipated, we sold the position.”
A technician soldering components for a semiconductor board.
Intel Corporation (NASDAQ:INTC) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 68 hedge fund portfolios held Intel Corporation (NASDAQ:INTC) at the end of the third quarter which was 75 in the previous quarter. While we acknowledge the potential of Intel Corporation (NASDAQ:INTC) 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 Intel Corporation (NASDAQ:INTC) and shared AI news that broke the internet. 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.