Appleseed Fund, an investment management company, released its third-quarter 2024 investor letter. A copy of the letter can be downloaded here. The fund’s Institutional Class generated an absolute return of 20.46% over the 12 months that ended September 30, 2024, compared to the Morningstar Global Small/Midcap Index’s 25.97% return. Appleseed Fund was positioned for an inflationary, slow-growth environment for most of the previous years. The cautious position of the Appleseed Fund prevented investment gains even while inflation levels have been lowering, and the stock market has been raging since the end of 2022. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Appleseed Fund highlighted stocks like Gravity Co., Ltd. (NASDAQ:GRVY) in the third quarter 2024 investor letter. Gravity Co., Ltd. (NASDAQ:GRVY) engages in the development and publishing of online and mobile games. The one-month return of Gravity Co., Ltd. (NASDAQ:GRVY) was -6.79%, and its shares lost 6.24% of their value over the last 52 weeks. On December 31, 2024, Gravity Co., Ltd. (NASDAQ:GRVY) stock closed at $63.11 per share with a market capitalization of $438.545 million.
Appleseed Fund stated the following regarding Gravity Co., Ltd. (NASDAQ:GRVY) in its Q3 2024 investor letter:
“Appleseed Fund added four new names to the portfolio in the past six months: Estée Lauder (EL), Willis Lease Finance (WLFC), Diana Shipping (DSX) and Gravity Co., Ltd. (NASDAQ:GRVY). Gravity is a profitable Korean video game producer whose market capitalization nearly exceeds the cash on its balance sheet; we believe good things happen when valuation is so staggeringly cheap.”
A programmer working on a complex system maintenance project in a computer lab.
Gravity Co., Ltd. (NASDAQ:GRVY) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 3 hedge fund portfolios held Gravity Co., Ltd. (NASDAQ:GRVY) at the end of the third quarter which was 3 in the previous quarter. While we acknowledge the potential of Gravity Co., Ltd. (NASDAQ:GRVY) 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 Gravity Co., Ltd. (NASDAQ:GRVY) and shared the list of most profitable gaming stocks to invest in. 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.