Baron Funds, an investment management firm, released its “Baron Global Advantage Fund” third quarter 2023 investor letter, a copy of which can be downloaded here. During the third quarter of 2023, the Baron Global Advantage Fund®, denoted as the “Fund,” experienced a 6.1% loss for its Institutional Shares. This performance can be compared to the 3.4% losses of the MSCI ACWI Index, known as the “Benchmark,” and the 4.9% losses for the MSCI ACWI Growth Index, which serves as the Fund’s benchmarks. Take a moment to review the fund’s top 5 holdings to gain insights into their primary investment choices for 2023.
In its Q3 2023 investor letter, Baron Global Advantage Fund mentioned Endava plc (NYSE:DAVA) and explained its insights for the company. Endava plc (NYSE:DAVA) is a London, United Kingdom-based British public-listed software development company with a $3.2 billion market capitalization. Endava plc (NYSE:DAVA) delivered a -27.52% return since the beginning of the year, while its 12-month returns are down by -15.72%. The stock closed at $55.45 per share on November 6, 2023.
Here is what Baron Global Advantage Fund has to say about Endava plc (NYSE:DAVA) in its Q3 2023 investor letter:
“Endava plc provides outsourced software development for business customers. Shares rebounded 10.7% in the third quarter following a prolonged period of weak performance. Macroeconomic uncertainty has weighed on client demand and revenue growth in recent quarters, but management expects growth to improve early next year as several large new projects ramp up. Margins should expand alongside faster revenue growth as the company leverages upfront costs to build capacity in anticipation of an expected recovery. The company is also investing in AI-based tools that can accelerate project timelines and provide additional customer value. We remain shareholders because we believe Endava will continue gaining share in a large global market for IT services as digitization only becomes more important for customers to sustain their competitive positioning and take advantage of the advancements in AI.”
A computer engineer discussing the company’s Unified Cloud Software Solutions with a colleague.
Our calculations show that Endava plc (NYSE:DAVA) does not belong on our list of the 30 Most Popular Stocks Among Hedge Funds. Endava plc (NYSE:DAVA) was in 12 hedge fund portfolios at the end of the second quarter of 2023, compared to 15 funds in the previous quarter. Endava plc (NYSE:DAVA) delivered a 9.22% return in the past 3 months. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters Q3 2023 page.
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Disclosure: None. This article is originally published at Insider Monkey.
