Fidelity Investments, an investment management company, released its “Fidelity Growth Strategies Fund” second quarter 2024 investor letter. A copy of the letter can be downloaded here. The strategy returned -2.39% in the quarter, modestly outpacing the benchmark Russell Midcap Growth Index’s -3.21% return. Security selection drove the outperformance of the strategy in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2024.

Fidelity Growth Strategies Fund highlighted stocks like MongoDB, Inc. (NASDAQ:MDB), in the second quarter 2024 investor letter. MongoDB, Inc. (NASDAQ:MDB) is a global provider of general-purpose database platform. The one-month return of MongoDB, Inc. (NASDAQ:MDB) was -4.54%, and its shares lost 18.47% of their value over the last 52 weeks. On September 30, 2024, MongoDB, Inc. (NASDAQ:MDB) stock closed at $270.35 per share with a market capitalization of $19.971 billion.

Fidelity Growth Strategies Fund stated the following regarding MongoDB, Inc. (NASDAQ:MDB) in its Q2 2024 investor letter:

"An underweight in software & services firm MongoDB, Inc. (NASDAQ:MDB) (-30%) was the next-largest contributor to the fund's result versus the benchmark. The company's shares fell sharply in May, after it reported disappointing Q1 results and reduced full-year guidance for its cloud storage platform, MongoDB Atlas."

A software engineer hosting a remote video training session on a multi-cloud database-as-a-service solution.

MongoDB, Inc. (NASDAQ:MDB) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 54 hedge fund portfolios held MongoDB, Inc. (NASDAQ:MDB) at the end of the second quarter which was 56 in the previous quarter. MongoDB, Inc. (NASDAQ:MDB) generated $478 million in revenues in the second quarter, up 13% year-over-year. While we acknowledge the potential of MongoDB, Inc. (NASDAQ:MDB) 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 another article, we discussed MongoDB, Inc. (NASDAQ:MDB) and shared Morgan Stanley’s best overweight & quality stocks. In addition, please check out our hedge fund investor letters Q2 2024 page for more investor letters from hedge funds and other leading investors.

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