StepStone Group LP (STEP) Fell on Earnings Shortfall
Fred Alger Management, an investment management company, released its “Alger Weatherbie Specialized Growth Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. US markets rallied strongly in Q4, with the S&P Index up 11.69%. However, Class A shares of the fund underperformed the Russell 2500 Growth Index. Healthcare and IT boosted the relative performance while financials and consumer discretionary weighed down. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Alger Weatherbie Specialized Growth Fund featured stocks like StepStone Group LP (NASDAQ:STEP) in the fourth quarter 2023 investor letter. Based in LA Jolla, California, StepStone Group LP (NASDAQ:STEP) is an investment firm. On February 26, 2024, StepStone Group LP (NASDAQ:STEP) stock closed at $35.73 per share. One-month return of StepStone Group LP (NASDAQ:STEP) was 4.32%, and its shares gained 24.93% of their value over the last 52 weeks. StepStone Group LP (NASDAQ:STEP) has a market capitalization of $4.038 billion.
Alger Weatherbie Specialized Growth Fund stated the following regarding StepStone Group LP (NASDAQ:STEP) in its fourth quarter 2023 investor letter:
"StepStone Group LP (NASDAQ:STEP) is a private markets investment firm that focuses on providing customized investment solutions and advisory and data services to clients. The company serves public and private defined benefit and defined contribution pension funds, sovereign wealth funds, insurance companies, prominent endowments, foundations, family offices and private wealth clients, which include high-net-worth and mass affluent individuals. During the quarter, the company reported mixed fiscal third quarter results, where revenues and earnings came in below analyst estimates. The revenue shortfall was attributed to realized carried interest, which can vary quarter-to-quarter, leading to weaker-than-expected quarterly earnings. Moreover, while the private markets fundraising environment has been challenging for over a year, this was the first quarter the company did not report positive net fee earning assets under management flows. As a result, shares detracted from performance during the quarter."
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StepStone Group LP (NASDAQ:STEP) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, StepStone Group LP (NASDAQ:STEP) was held by 9 hedge fund portfolios, up from 8 in the previous quarter, according to our database.
We discussed StepStone Group LP (NASDAQ:STEP) in another article and shared Alger Weatherbie Specialized Growth Fund 's views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q4 2023 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.
