Wasatch Global Investors, an investment management firm, published its “Wasatch Core Growth Fund” first quarter 2022 investor letter – a copy of which can be downloaded here. During the first quarter of 2022, the benchmark Russell 2000® Index fell -7.53% while the Russell 2000 Growth Index declined -12.63%. Underperforming its benchmark, the Wasatch Core Growth Fund— Investor Class dropped -15.92%. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.
In its Q1 2022 investor letter, Wasatch Core Growth Fund mentioned Medpace Holdings, Inc. (NASDAQ:MEDP) and explained its insights for the company. Founded in 1992, Medpace Holdings, Inc. (NASDAQ:MEDP) is a Cincinnati, Ohio-based contract research organization with a $4.3 billion market capitalization. Medpace Holdings, Inc. (NASDAQ:MEDP) delivered a -37.81% return since the beginning of the year, while its 12-month returns are down by -23.76%. The stock closed at $135.36 per share on June 17, 2022.
Here is what Wasatch Core Growth Fund has to say about Medpace Holdings, Inc. (NASDAQ:MEDP) in its Q1 2022 investor letter:
“Another significant detractor was Medpace Holdings, Inc., which provides clinical research services for biotechnology companies. The stock was weak because, despite strong fourth- quarter results, Medpace indicated that request-for-proposal (RFP) volume was down in January. Some investors interpreted this as meaning new bookings could be weak in the coming months. For our part, we have seen such concerns before and know that Medpace’s pipeline can be volatile. Moreover, RFP volume isn’t even a standard reporting metric because it’s unreliable.
Based on other metrics and our company-specific research, we continue to have a positive outlook for Medpace. In addition to admiring the company’s business model, management team and solid balance sheet, we like the fact that Medpace serves small biotechnology firms and gives us some exposure to biotech without the often “all or nothing” nature of the industry. Therefore, we increased our position size amid weakness in the stock price.”
Our calculations show that Medpace Holdings, Inc. (NASDAQ:MEDP) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Medpace Holdings, Inc. (NASDAQ:MEDP) was in 25 hedge fund portfolios at the end of the first quarter of 2022, compared to 26 funds in the previous quarter. Medpace Holdings, Inc. (NASDAQ:MEDP) delivered a -18.43% return in the past 3 months.
In June 2022, we also shared another hedge fund’s views on Medpace Holdings, Inc. (NASDAQ:MEDP) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.
Disclosure: None. This article is originally published at Insider Monkey.
