TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” third-quarter investor letter. A copy of the letter can be downloaded here. Within equities, smaller or value-oriented stocks in developed economies yielded higher, whereas emerging markets saw the opposite trend. In the third quarter, the strategy returned 4.96% (gross) and 4.75% (net) while the Russell Midcap Growth Index returned 6.54%. In addition, please check the fund’s top five holdings to know its best picks in 2024.

TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted stocks like The Allstate Corporation (NYSE:ALL) in the third quarter 2024 investor letter. The Allstate Corporation (NYSE:ALL) is a property and casualty and other insurance products provider. The one-month return of The Allstate Corporation (NYSE:ALL) was 3.10%, and its shares gained 42.34% of their value over the last 52 weeks. On December 6, 2024, The Allstate Corporation (NYSE:ALL) stock closed at $203.64 per share with a market capitalization of $53.924 billion.

TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding The Allstate Corporation (NYSE:ALL) in its Q3 2024 investor letter:

"In the Financials sector we tend to avoid banks that face credit deterioration or rising deposit costs, preferring either asset managers or specialized insurance companies. New to the portfolio this quarter is The Allstate Corporation (NYSE:ALL), a property and casualty insurer. A pullback in its stock price gave us an opportunity to add this position to the portfolio that has been on our radar for some time. Auto and homeowners’ insurance renewal ratios have stabilized. Several key states have given approval for auto insurance price increases and Allstate tactically reduced its coastal homeowners’ coverage."

The Allstate Corporation (NYSE:ALL) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 62 hedge fund portfolios held The Allstate Corporation (NYSE:ALL) at the end of the third quarter which was 61 in the previous quarter. The Allstate Corporation's (NYSE:ALL) reported $16.6 billion in total revenues in the third quarter represented a 14.7% increase over Q3 2023. While we acknowledge the potential of The Allstate Corporation (NYSE:ALL) 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 cheapest AI stock.