Conestoga Capital Advisors, an asset management company, released its “Micro Cap Strategy” fourth-quarter 2023 investor letter. A copy of the same can be downloaded here. Despite growing by 12.70% net of fees in the fourth quarter, the strategy was unable to match the 15.64% return of the Russell Micro Cap Growth Index. Underperformance was mostly caused by poor stock selection in the Health Care and Industrials. Micro Cap Composite declined -1.02% net-of-fees, trailing the Russell Micro Cap Growth Index’s gain of 9.11% for 2023. Positive effects on sector allocation and stock selection in the technology and basic materials sectors did help the portfolio. The majority of the underperformance was mostly centered in the consumer discretionary, health care, and industrial sectors, where choosing stocks proved to be difficult. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Conestoga Capital Advisors Micro Cap Strategy featured stocks such as Douglas Dynamics, Inc. (NYSE:PLOW) in the fourth quarter 2023 investor letter. Headquartered in Milwaukee, Wisconsin, Douglas Dynamics, Inc. (NYSE:PLOW) is a manufacturer and upfitter of commercial work truck attachments. On February 16, 2024, Douglas Dynamics, Inc. (NYSE:PLOW) stock closed at $24.77 per share. One-month return of Douglas Dynamics, Inc. (NYSE:PLOW) was -10.48%, and its shares lost 37.92% of their value over the last 52 weeks. Douglas Dynamics, Inc. (NYSE:PLOW) has a market capitalization of $569.314 million.
Conestoga Capital Advisors Micro Cap Strategy stated the following regarding Douglas Dynamics, Inc. (NYSE:PLOW) in its fourth quarter 2023 investor letter:
“Douglas Dynamics, Inc. (NYSE:PLOW): PLOW is the nation’s largest manufacturer of work truck attachments for snow and ice management, as well as one of the largest up-fitters/ installers of work truck attachments. The stock was weak following another disappointing quarter driven by poor pre-season orders of new equipment given near record low snowfall last season.”
An upfitted commercial work truck parked in a municipal office parking lot.
Douglas Dynamics, Inc. (NYSE:PLOW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Douglas Dynamics, Inc. (NYSE:PLOW) was held by 8 hedge fund portfolios, same as 8 in the previous quarter, according to our database.
We discussed Douglas Dynamics, Inc. (NYSE:PLOW) in another article and shared Conestoga Capital Advisors’ 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.
Suggested Articles:
- 25 Most Cultural Cities in the World
- 25 Best Places in the US to Retire on $5000 a Month
- 25 Most Valuable Entertainment Companies in the World
Disclosure: None. This article is originally published at Insider Monkey.
