TSLA - Giverny Capital Asset Management Q4 2024 Letter
2025-01-29 22:40:00 ET
Summary
- GCAM's model portfolio underperformed the S&P 500 in 2024 due to underweighting in the top-performing "Magnificent Seven" tech stocks.
- Despite strong returns from holdings like Arista Networks (+87%) and Meta Platforms (+66%), the portfolio's overall performance lagged behind the S&P 500.
- We focus on midcap stocks with proven business models and growth potential, believing they offer better long-term compounding opportunities than large-cap tech giants.
- Our strategy includes investing in high-quality businesses at fair prices, emphasizing smaller companies with strong growth prospects and efficient management teams.
To our clients & friends:
For the fourth quarter and year ended December 31, 2024, the Giverny Capital Asset Management (“GCAM”) model portfolio performed as follows: 1
GCAM Performance |
Quarter ended |
One-year ended |
Three- years ended |
*Annualized Since Inception |
12/31/2024 |
12/31/2024 |
12/31/2024 |
12/31/2024 |
Portfolio Return -Net |
0.78% |
21.09% |
6.54% |
19.19% |
S&P 500 TR |
2.41% |
25.02% |
8.94% |
20.77% |
Excess Return -Net |
-1.63% |
-3.93% |
-2.40% |
-1.58% |
* Inception Date 4/01/2020 |