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Avient Corporation (AVNT) Surged on Beating Estimates and Higher Returns

TimesSquare Capital Management, an equity investment management company, released its “U.S. Small Cap Growth Strategy” first-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter the fund returned 5.77% (net), compared to a 7.58% return for the Russell 2000 Growth Index. Despite a decline in many equity markets in January, they rebounded over the following two months, resulting in a robust 2024 first quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.

TimesSquare Capital U.S. Small Cap Growth Strategy highlighted stocks like Avient Corporation (NYSE:AVNT), in the first quarter 2024 investor letter. Avient Corporation (NYSE:AVNT) is a formulator of material solutions. The one-month return of Avient Corporation (NYSE:AVNT) was -2.93%, and its shares gained 12.99% of their value over the last 52 weeks. On June 20, 2024, Avient Corporation (NYSE:AVNT) stock closed at $43.66 per share with a market capitalization of $3.986 billion.

TimesSquare Capital U.S. Small Cap Growth Strategy stated the following regarding Avient Corporation (NYSE:AVNT) in its first quarter 2024 investor letter:

"Within Materials, we seek well positioned companies that are less susceptible to swings in commodity prices. The portfolio currently has one stock in this sector. Avient Corporation (NYSE:AVNT), a specialized polymer materials producer, edged forward by 5%. Earnings for the latest quarter beat consensus estimates and were driven by higher revenues. An added benefit to profits came from a reduction in raw material costs for the third straight quarter."

A research engineer conducting a test of the strength of a new thermoplastic composite.

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Avient Corporation (NYSE:AVNT) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 22 hedge fund portfolios held Avient Corporation (NYSE:AVNT) at the end of the first quarter which was 15 in the previous quarter. While we acknowledge the potential of Avient Corporation (NYSE:AVNT) 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.

In addition, please check out our hedge fund investor letters Q1 2024 page for more investor letters from hedge funds and other leading investors.

READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.

Disclosure: None. This article is originally published at Insider Monkey.