Here’s Why Halozyme Therapeutics (HALO) Rebounded in Q1

Artisan Partners, an investment management company, released its “Artisan Small Cap Fund” first quarter 2025 investor letter. A copy of the letter can be downloaded here. Investor sentiment at the beginning of 2025 was positive. In 2024, US equities once again outperformed their global counterparts, and there was optimism that the new Republican administration would strengthen the idea of US exceptionalism. However, the first quarter did not meet those expectations. In the quarter, its Investor Class fund ARTSX returned -10.14%, Advisor Class fund APDSX posted a return of -10.10%, and Institutional Class fund APHSX returned -10.07%, compared to a return of -11.12% for the Russell 2000 Growth Index. Markets experienced weakness due to rising fiscal and geopolitical uncertainties during the quarter. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2025.

In its first-quarter 2025 investor letter, Artisan Small Cap Fund highlighted stocks such as Halozyme Therapeutics, Inc. (NASDAQ:HALO). Based in San Diego, California, Halozyme Therapeutics, Inc. (NASDAQ:HALO) is a biopharmaceutical company. The one-month return of Halozyme Therapeutics, Inc. (NASDAQ:HALO) was -6.30%, and its shares gained 25.60% of their value over the last 52 weeks. On June 2, 2025, Halozyme Therapeutics, Inc. (NASDAQ:HALO) stock closed at $55.64 per share, with a market capitalization of $6.856 billion.

Artisan Small Cap Fund stated the following regarding Halozyme Therapeutics, Inc. (NASDAQ:HALO) in its Q1 2025 investor letter:

“Among our top Q1 contributors were Ascendis, Halozyme Therapeutics, Inc. (NASDAQ:HALO) and Guidewire. Halozyme provides a unique technology platform (ENHANZE®) that converts biologics and small molecule drugs administered intravenously into a subcutaneous formulation. Its shares declined at the end of 2024 due to its unexpected cash offer to acquire German drug discovery firm Evotec. However, Halozyme’s shares rebounded in Q1 following news that the company withdrew the offer, along with continued progress from some of its key biotechnology partners, including Argenx (a previous holding) and Ascendis (a current holding).”

Is Halozyme Therapeutics, Inc. (HALO) the Unstoppable Growth Stock to Invest in Now?

An image of a research technician wearing lab coat with a syringe full of biopharmaceuticals.

Halozyme Therapeutics, Inc. (NASDAQ:HALO) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held Halozyme Therapeutics, Inc. (NASDAQ:HALO) at the end of the first quarter, which was 25 in the previous quarter. In the first quarter, Halozyme Therapeutics, Inc.’s (NASDAQ:HALO) first quarter revenue increased 35% year-over-year to $265 million. While we acknowledge the potential of Halozyme Therapeutics, Inc. (NASDAQ:HALO) 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 Halozyme Therapeutics, Inc. (NASDAQ:HALO) and shared the list of unstoppable growth stocks to invest in. Halozyme Therapeutics, Inc. (NASDAQ:HALO) detracted from the Artisan Small Cap Fund’s performance in the previous quarter. In addition, please check out our hedge fund investor letters Q1 2025 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.