Renaissance Investment Management, an investment management company, released its Q1 2025 “International Small Cap Equity Strategy” investor letter. A copy of the letter can be downloaded here. International equities began the year positively, recording strong gains despite increased geopolitical and tariff risks. Investors rotate away from US stocks due to concerns over the weakening US economy, which enabled international equities to achieve their best quarter. Decline in the U.S. Dollar Index offered additional support to international equities. However, the portfolio returns were negative on both an absolute basis and relative to the benchmark in the first quarter. For more information on the fund’s best picks in 2025, please check its top five holdings.
In its first-quarter 2025 investor letter, Renaissance International Small Cap Equity Strategy highlighted stocks such as Millicom International Cellular S.A. (NASDAQ:TIGO). Millicom International Cellular S.A. (NASDAQ:TIGO) offers cable and mobile services. The one-month return of Millicom International Cellular S.A. (NASDAQ:TIGO) was 0.46%, and its shares gained 60.97% of their value over the last 52 weeks. On June 18, 2025, Millicom International Cellular S.A. (NASDAQ:TIGO) stock closed at $36.99 per share, with a market capitalization of $6.173 billion.
Renaissance International Small Cap Equity Strategy stated the following regarding Millicom International Cellular S.A. (NASDAQ:TIGO) in its Q1 2025 investor letter:
“Another strong performer was Millicom International Cellular S.A. (NASDAQ:TIGO) (Luxembourg). The cable and mobile services provider saw its shares rise after management reported positive results regarding its cost-cutting program, which has resulted in margin improvement and positioned the company to shift its focus back towards growth in 2025.”
A telecom tower in a city skyline indicating the companys expansive reach.
Millicom International Cellular S.A. (NASDAQ:TIGO) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 24 hedge fund portfolios held Millicom International Cellular S.A. (NASDAQ:TIGO) at the end of the first quarter, which was 17 in the previous quarter. While we acknowledge the potential of Millicom International Cellular S.A. (NASDAQ:TIGO) 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 Millicom International Cellular S.A. (NASDAQ:TIGO) and shared the list of communication services Stocks up the most so far in 2025. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. While we acknowledge the potential of TIGO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
