Asset management firm Conestoga Capital Advisors has released its third quarter 2024 investor letter. A copy of the letter can be downloaded here. The Fed cut the federal funds rate by 50 basis points at its September meeting, citing slowing job growth and moderate inflation. Stock markets welcomed the news, increasing optimism for a soft landing for the US economy. On September 26th, the S&P 500 index hit a new all-time high, and the Russell 2000 index also rose through the quarter, but remains about 10% below its all-time high. The Conestoga Small Cap Composite Index rose 10.09% (net) in the third quarter, outpacing the Russell 2000 Growth Index’s 8.41% return. The Conestoga SMid Cap composite returned 12.94% (net) compared to the Russell 2500 Growth Index’s return of 6.99%. The Conestoga Microcap Composite Index rose 7.60% (net), but fell short of the Russell Microcap Growth Index’s return of 8.57%. Finally, the Conestoga MidCap Index returned 8.36% (net), outperforming the Russell MidCap Growth Index’s 6.54%. For a deeper understanding of the best stocks for 2024, check out our top 5 stocks for funds.
Conestoga Capital Advisors highlighted stocks such as National Research Corporation (NASDAQ:NRC) in its Q3 2024 investor letter. National Research Corporation (NASDAQ:NRC) provides analytics and insights to measure and improve patient and employee experiences. National Research Corporation (NASDAQ:NRC) has a 1-month return of -15.37%, and the company’s stock has lost 54.89% of its value over the past 52 weeks. National Research Corporation (NASDAQ:NRC) stock closed at $18.83 per share on October 21, 2024, giving it a market cap of $449,497,000.
Conestoga Capital Advisors said the following about National Research Corporation (NASDAQ:NRC) in its Q3 2024 investor letter:
“National Research Corporation (NASDAQ:NRC) is a provider of research-based performance measurement, analysis, tracking, and improvement services to the healthcare industry. Based on the underperformance of our expectations and lack of confidence that growth will accelerate again, the proceeds were reinvested into higher-conviction stocks within the portfolio.”
Healthcare professionals using digital devices to provide health risk assessments to patients.
National Research Corporation (NASDAQ:NRC) is not included in our list of 31 most popular stocks among hedge funds. Our database shows that 13 hedge fund portfolios held National Research Corporation (NASDAQ:NRC) at the end of the second quarter, compared to 16 in the prior quarter. While we like National Research Corporation (NASDAQ:NRC)’s potential as an investment, we believe AI stocks are more likely to deliver higher returns in a shorter time frame. If you’re looking for an AI stock with as much promise as NVIDIA, but trading at less than 5x earnings, check out our report on the cheapest AI stocks.
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Additionally, for investor letters from hedge funds and other leading investors, please visit our Hedge Fund Investor Letters Q3 2024 page.
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Disclosure: None. This article was originally published on Insider Monkey.
