Soumya Eswaran
3 min read
TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” first quarter 2025 investor letter. A copy of the letter can be downloaded here. The broad-based downturn in US equities underperformed overseas markets in the first quarter. In this negative environment, the strategy outperformed the index in the first quarter. The strategy returned 2.42% (gross) and 2.20% (net) compared to a -7.12% return for the Russell Midcap Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its first-quarter 2025 investor letter, TimesSquare Capital U.S. Focus Growth Strategy highlighted stocks such as Cencora, Inc. (NYSE:COR). Cencora, Inc. (NYSE:COR) is a pharmaceutical products distributor. The one-month return of Cencora, Inc. (NYSE:COR) was 3.22%, and its shares gained 31.32% of their value over the last 52 weeks. On May 16, 2025, Cencora, Inc. (NYSE:COR) stock closed at $290.22 per share with a market capitalization of $56.251 billion.
Polen Focus Growth Strategy stated the following regarding Cencora, Inc. (NYSE:COR) in its Q1 2025 investor letter:
"We benefited from Cencora, Inc. (NYSE:COR), which distributes pharmaceutical and medical products to pharmacies, hospitals, and other health care providers. Cencora’s revenues and earnings each exceeded expectations, and management further increased forward guidance to reflect its business momentum. Later in the quarter, Cencora again lifted its outlook though that did not include future benefits from a recent acquisition. As its price improved by 24%, we trimmed our position."
A scientist in a laboratory carefully analyzing a sample of cord blood.
Cencora, Inc. (NYSE:COR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 58 hedge fund portfolios held Cencora, Inc. (NYSE:COR) at the end of the fourth quarter, compared to 45 in the third quarter. Cencora, Inc.’s (NYSE:COR) consolidated revenue in the second quarter of fiscal 2025 grew 10% to $75.5 billion. While we acknowledge the potential of Cencora, Inc. (NYSE:COR) 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 undervalued AI stock set for massive gains.
In another article, we covered Cencora, Inc. (NYSE:COR) and shared the list of stocks on Jim Cramer’s radar. In Q1 2025, Carillon Eagle Mid Cap Growth Fund benefitted from Cencora, Inc.'s (NYSE:COR) strong growth and stability. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors.
