Anchor Capital Management’s Top 9 Stock Picks and Former Holdings in 2024

Published on May 4, 2024 at 11:39 am by Tim Frederick in Hedge Funds, News

In this article we present the list of Anchor Capital Management’s Top 9 Stock Picks and Former Holdings in 2024. To skip our bio of Anchor Capital Management and some of its lower conviction stock picks, click to jump straight to Anchor Capital Management’s Top 5 Stock Picks in 2024.

Iridium Communications Inc. (NASDAQ:IRDM), Patrick Industries, Inc. (NASDAQ:PATK), and Air Transport Services Group, Inc. (NASDAQ:ATSG) are three of the top small-cap stock picks of Anchor Capital Management in 2024.

Anchor Capital Management Background and Investment Philosophy

Clarence (Clay) Dunnagan’s Anchor Capital Management is a Raleigh, North Carolina-based hedge fund manager and venture capital firm that was founded in the third quarter of 2008 by Dunnagan, a former financial advisor and investment banker who completed more than 100 transactions valued at more than $1 billion while serving as the Managing Director for Dunnegan Acquisitions.

Mr. Dunnagan later worked for several other companies in the finance and technology spaces, including Fletcher Spaght, Inc., Ingram Digital, and Vital Source Technologies, Inc., where he served as the Vice President of Development. Dunnagan received undergraduate degrees from Brevard College and North Carolina State University, and a Masters in Business Administration from Kenen-Flagler Business School.

Anchor Capital Management utilizes a long-only alternative investment approach that targets a small number of high conviction stock picks in the small-cap space. An older version of the fund’s website revealed its investment philosophy, stating:

“We believe that by “cherry picking” great companies at undervalued prices based upon careful selection and then apply an active management style, we can continually produce exceptional results through concentrated investing.”

The fund launched the Anchor Special Opportunity Fund X in 2015 after raising $19 million in funding, with the new, single-purpose sidecar fund focused on the significant valuation discount in a specific, undisclosed stock.

Anchor Capital Management made its first 13F filing in the fourth quarter of 2023 and has $83 million in 13F assets under management as of March 31, 2024.

Anchor Capital Management’s Q1 2024 13F Portfolio Construction

The fund’s 13F portfolio consists of just 9 long positions as of March 31, one of which has since been taken off the market (more on that below). Its 13F portfolio held $83.1 million in assets on March 31, down from $105.3 million on December 31, 2023. The fund completely sold out of two stocks during the quarter (one of which was also taken off the market via acquisition), and added one new holding to its portfolio.

Anchor Capital Management is primarily invested in a few key sectors, namely the industrial, transportation, and telecommunications spaces. The fund’s top three holdings account for more than 50% of its 13F assets and it raised its stake in all three companies during the first quarter.

Anchor Capital Management’s Former Holding Daseke Inc (NASDAQ:DSKE) Acquired by TFI International Inc. (NYSE:TFII) on April 1

Anchor Capital Management held a $6.26 million position in Daseke Inc (NASDAQ:DSKE) on March 31, the day before the transportation solutions provider’s acquisition by Canadian transportation and logistics company TFI International Inc. (NYSE:TFII) for $8.30 per share was closed.

The purchase price represented a considerable 69% premium to the value of DSKE shares just before the December 22 announcement of the acquisition.

Just six days prior to that announcement, we identified Daseke Inc (NASDAQ:DSKE) as one of the 11 Best Fundamentally Strong Penny Stocks To Invest In given its cheap sticker price, solid long-term revenue and earnings growth, and positive sentiment among analysts. Be sure to check out that article for ten other fundamentally strong penny stocks to consider for your portfolio.

In addition to covering hedge funds’ top stock picks, at Insider Monkey, we scour multiple sources to uncover the next great investment idea. For example, artificial intelligence technology is on the cusp of earth-shattering breakthroughs, so we identified the cheapest AI stock that is trading at less than 5 times its market value excluding cash and investments with the potential to deliver 100x returns. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. You can subscribe to our free daily enewsletter on our website. Keep reading below for a look at four of Anchor Capital Management’s top stock picks and former holdings for 2024.

Photo by josekarlo01 on Unsplash

Our Methodology

The following data is gathered from Anchor Capital Management’s latest 13F filing with the SEC, which disclosed the fund’s equity holdings as of March 30, 2024. We follow hedge funds like Anchor Capital Management because Insider Monkey’s research has uncovered that their consensus stock picks can deliver outstanding returns.

Insider Monkey’s monthly newsletter and portfolio that focuses on activist hedge funds, insider trading and stock picks from hedge fund investor newsletters and conferences returned 199.2% between March 2017 and March 12, 2024, outperforming the S&P 500 ETF’s 144.9% gain by more than 54 percentage points. That’s why you should pay close attention to this important indicator.

Note: The overall hedge fund holdings data is based on the exclusive group of 900+ funds tracked by Insider Monkey that filed 13Fs for the Q4 2023 reporting period.

Anchor Capital Management’s Top 9 Stock Picks and Former Holdings in 2024

9. McGrath RentCorp (NASDAQ:MGRC)

Value of Anchor Capital Management’s 13F Position (3/31/2024): $0

Number of Hedge Fund Shareholders (12/31/2023): 16

McGrath RentCorp (NASDAQ:MGRC) was the third-largest holding in Anchor Capital Management’s 13F portfolio heading into 2024, as it held a $13.2 million position in the company on December 31, 2023. However, unlike Air Transport Services Group, Inc. (NASDAQ:ATSG), Iridium Communications Inc. (NASDAQ:IRDM), and Patrick Industries, Inc. (NASDAQ:PATK), which the fund has continued to buy shares of in 2024, it decided to unload its entire stake in MGRC during the first quarter, the only stock it sold out of during the period.

McGrath RentCorp (NASDAQ:MGRC), a B2B rental company that provides portable storage options and modular office space, grew revenue by 14.7% in the first quarter to $188 million. Basic earnings per share and net income fell considerably from Q1 2023, but the former nearly doubled year-over-year on a continuing operations basis, to $0.93.

Anchor Capital Management’s sale of the stock is likely related to the pending acquisition of McGrath RentCorp (NASDAQ:MGRC) by larger competitor WillScot Mobile Mini Holdings Corp. (NASDAQ:WSC) in a cash-and-stock deal valued at $3.8 billion at the time of its announcement.

It appears the fund was wise to sell off its shares prior to the transaction closing. That deal was announced in late January and sent MGRC shares up by more than 16% over the following two weeks. They’ve since fallen below their value just prior to the announcement, as WSC shares have sunk by 27.6% since February 12, dragging down the value of the acquisition price.

The ClearBridge Small Cap Growth Strategy was bullish on McGrath RentCorp (NASDAQ:MGRC)’s growth potential, as detailed in its Q3 2023 investor letter:

“New addition McGrath RentCorp (NASDAQ:MGRC) is a scaled operator in the attractive modular office and portable storage market. The company can follow industry leader Willscot Mobile Mini’s strategies in price leadership, value-added products/services, delivery/installation profitability improvements and accretive capital allocation in rolling up smaller players. McGrath generates about 70% of operating earnings from modular space rental and 30% from its electronic test equipment rental portfolio.”

8. Vital Farms, Inc. (NASDAQ:VITL)

Value of Anchor Capital Management’s 13F Position (3/31/2024): $2.33 million

Number of Hedge Fund Shareholders (12/31/2023): 18

First up among Anchor Capital Management’s top stock picks for 2024 is Vital Farms, Inc. (NASDAQ:VITL), which also happens to be the newest addition to the fund’s 13F portfolio. The fund built a new position in the company during Q1, buying an even 100,000 VITL shares. Hedge fund ownership of Vital Farms has ticked up in each of the past four quarters.

Vital Farms, Inc. (NASDAQ:VITL), which we ranked as one of the 5 Best Small Cap Agriculture Stocks To Buy last summer, derives the bulk of its revenue (93.7%) from eggs and egg products, which it sources from more than 300 family farms across the U.S.

The company’s emphasis on sustainable and ethical food production should make it a compelling stock for socially conscious investors and hasn’t hurt the Austin, Texas-based company’s bottom line in the slightest.

Vital Farms, Inc. (NASDAQ:VITL) hit record revenue of $471 million in its 2023 fiscal year, up 30.3% year-over-year. Its margins also improved considerably in 2023, which resulted in adjusted EBIDTA more than doubling year-over-year to $13.9 million. Sales growth is expected to slow down moderately this year however, with the company predicting a 17% revenue boost in 2024.

7. Energy Recovery, Inc. (NASDAQ:ERII)

Value of Anchor Capital Management’s 13F Position (3/31/2024): $5.61 million

Number of Hedge Fund Shareholders (12/31/2023): 18

Anchor Capital Management raised its stake in Energy Recovery, Inc. (NASDAQ:ERII) by 40% during Q1 to 355,500 shares. Several other funds were building stakes in the water treatment company towards the end of 2023, including Steve Cohen’s Point72 Asset Management, Greg Eisner’s Engineer Gate Manager, and Kenneth Tropin’s Graham Capital Management.

Energy Recovery, Inc. (NASDAQ:ERII) will undergo two major leadership changes in the span of less than a year, which has weighed on shares. Former CEO Bob Mao was replaced by David Moon in October 2023, with the company’s board citing the need for new leadership as it seeks to scale its commercialization opportunities in wastewater treatment and refrigeration. CFO Joshua Ballard is set to follow Mr. Mao out the door, as he announced his resignation in February, effective June 2024.

That commercialization push weighed on expenses in Q1, which rose by 11% to $18.1 million, in turn dragging gross margin down to 59% from 60.9% a year earlier. Expenses were 50% higher than revenue during the quarter, which came in at $12.1 million, widely missing the $13.5 million figure estimated by analysts.

Commenting on the results, CEO Moon said revenue fell within the expected range and that full-year guidance remains unchanged, with secured contracts already accounting for 60% of the mid-point of that 2024 revenue guidance.

The Diamond Hill Small Cap Fund noted the uncertainty around the company following the replacement of Energy Recovery, Inc. (NASDAQ:ERII)’s CEO in late 2023, but remains bullish on the company’s fundamentals, as noted in its Q4 2023 investor letter:

“Other bottom contributors included Concrete Pumping Holdings, Energy Recovery, Inc. (NASDAQ:ERII) and Allient. Energy Recovery manufactures energy recovery devices used in industrial processes involving high-pressure fluids or gases pumping. Shares declined in Q4 as the company’s board abruptly replaced the CEO, creating uncertainty. However, we believe our thesis and the company’s fundamentals remain intact.”

6. Unisys Corporation (NYSE:UIS)

Value of Anchor Capital Management’s 13F Position (3/31/2024): $7.01 million

Number of Hedge Fund Shareholders (12/31/2023): 22

Closing out the first part of our list of Anchor Capital Management’s top stock picks for 2024 is diversified tech company Unisys Corporation (NYSE:UIS). Anchor Capital Management trimmed its stake in Unisys by 20% during the first quarter to 1.43 million shares following a rough quarter for the stock, as it lost 13.9% of its value.

Unisys Corporation (NYSE:UIS) shares sank by 33% on February 22 following the release of the company’s fourth quarter 2023 financial results. The company swung back to revenue growth during the quarter (up 3.3% to $557 million) and was also slightly more profitable year-over-year (GAAP operating profits of $50 million, up from $44 million), but hedge funds and investors were concerned about the uncertainty surrounding the company’s future revenue outlook and pension obligations.

Unisys Corporation (NYSE:UIS) was also removed from the S&P SmallCap 600 during the quarter given its long-term struggles (shares are down by more than 80% since 2021) and swooning market cap, which has tumbled to just $350 million.

On the other hand, Unisys has been growing its margins in recent quarters and boasts top flight contract renewal rates of over 96% on contracts valued at over $1 million, which has likely offered enough upside potential for Anchor Capital Management to stick with the stock despite its ongoing struggles, albeit in a slightly less exposed fashion.

Click to continue reading and see Anchor Capital Management’s Top 5 Stock Picks in 2024.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Published on October 6, 2025 at by Inan Dogan, PhD

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

175 Teslas
107 Amazons
140 Metas
84 Googles
65 Microsofts
And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

The best part? You can discover everything about this company and its groundbreaking technology right now.

I’ve compiled everything you need to know about this groundbreaking company in a detailed, members-only report.

Trust me — you’ll want to read this report before putting another dollar into any tech stock.

For a ridiculously low price of just $9.99 a month, you can unlock a year’s worth of in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Here’s why this is a deal you can’t afford to pass up:

• Access to our Detailed Report on this Game-Changing AI Stock: Our in-depth report dives deep into our #1 AI stock’s groundbreaking technology and massive growth potential.

• 11 New Issues of Our Premium Readership Newsletter: You will also receive 11 new issues and at least one new stock pick per month from our monthly newsletter’s portfolio over the next 12 months. These stocks are handpicked by our research director, Dr. Inan Dogan.

• One free upcoming issue of our 70+ page Quarterly Newsletter: A value of $149

• Bonus Reports: Premium access to members-only fund manager video interviews

• Ad-Free Browsing: Enjoy a year of investment research free from distracting banner and pop-up ads, allowing you to focus on uncovering the next big opportunity.

• 30-Day Money-Back Guarantee: If you’re not absolutely satisfied with our service, we’ll provide a full refund within 30 days, no questions asked.

If you’re thinking about getting in, don’t wait – because once Wall Street catches wind of this story, the easy money will be gone.

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99 a month.

2. Enjoy a year of ad-free browsing, exclusive access to our in-depth report on the revolutionary AI company, and the upcoming issues of our Premium Readership Newsletter over the next 12 months.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!

Subscribe Now!

No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!

Insider Monkey Ads

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Published on October 5, 2025 at by Inan Dogan, PhD

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

The AI infrastructure supercycle
The onshoring boom driven by Trump-era tariffs
A surge in U.S. LNG exports
And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 100+% Return within 12 to 24 months.

We’re now offering month-to-month subscriptions with no commitments.

For a ridiculously low price of just $9.99 per month, you can unlock our in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Here’s why this is a deal you can’t afford to pass up:

Access to our Detailed Report on our AI, Tariffs, and Nuclear Energy Stock with 100+% potential upside within 12 to 24 months
BONUS REPORT on our #1 AI-Robotics Stock with 10000% upside potential: Our in-depth report dives deep into our #1 AI/robotics stock’s groundbreaking technology and massive growth potential.
One New Issue of Our Premium Readership Newsletter: You will also receive one new issue per month and at least one new stock pick per month from our monthly newsletter’s portfolio over the next 12 months. These stocks are handpicked by our research director, Dr. Inan Dogan.
One free upcoming issue of our 70+ page Quarterly Newsletter: A value of $149
Bonus Content: Premium access to members-only fund manager video interviews
Ad-Free Browsing: Enjoy a month of investment research free from distracting banner and pop-up ads, allowing you to focus on uncovering the next big opportunity.
Lifetime Price Guarantee: Your renewal rate will always remain the same as long as your subscription is active.
30-Day Money-Back Guarantee: If you’re not absolutely satisfied with our service, we’ll provide a full refund within 30 days, no questions asked.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!

Subscribe Now!

No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!

Insider Monkey Ads

Markets

Insider Trading

Hedge Funds

Retirement

Opinion

Log In

Sign Up

Anchor Capital Management’s Top 9 Stock Picks and Former Holdings in 2024

Published on May 4, 2024 at 11:39 am by Tim Frederick in Hedge Funds, News

Anchor Capital Management Background and Investment Philosophy

Anchor Capital Management’s Q1 2024 13F Portfolio Construction

Anchor Capital Management’s Former Holding Daseke Inc (NASDAQ:DSKE) Acquired by TFI International Inc. (NYSE:TFII) on April 1

Anchor Capital Management’s Top 9 Stock Picks and Former Holdings in 2024

9. McGrath RentCorp (NASDAQ:MGRC)

8. Vital Farms, Inc. (NASDAQ:VITL)

7. Energy Recovery, Inc. (NASDAQ:ERII)

6. Unisys Corporation (NYSE:UIS)

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Published on October 6, 2025 at by Inan Dogan, PhD

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Published on October 5, 2025 at by Inan Dogan, PhD

Here’s why this is a deal you can’t afford to pass up: