Soumya Eswaran
3 min read
In This Article:
Riverwater Partners, an investment management company, released its “Micro Opportunities Strategy” Q1 2025 investor letter. A copy of the letter can be downloaded here. The strategy generated positive relative results in the first quarter, outperforming the benchmark. The results were driven by owning higher-quality companies compared to those in the microcap benchmark. Both stock selection and sector allocation contributed to the outperformance of the strategy in the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.
In its first-quarter 2025 investor letter, Riverwater Partners Micro Opportunities Strategy highlighted stocks such as Climb Global Solutions, Inc. (NASDAQ:CLMB). Headquartered in Eatontown, New Jersey, Climb Global Solutions, Inc. (NASDAQ:CLMB) is a value-added information technology distribution and solutions company. The one-month return of Climb Global Solutions, Inc. (NASDAQ:CLMB) was -0.20%, and its shares gained 72.16% of their value over the last 52 weeks. On June 30, 2025, Climb Global Solutions, Inc. (NASDAQ:CLMB) stock closed at $106.91 per share, with a market capitalization of $492.038 million.
Riverwater Partners Micro Opportunities Strategy stated the following regarding Climb Global Solutions, Inc. (NASDAQ:CLMB) in its Q1 2025 investor letter:
"Climb Global Solutions, Inc. (NASDAQ:CLMB) is an information technology distributor with a strong presence across North America and Western Europe.
A technician in a server room of a corporate office surrounded by servers and networking equipment.
Climb Global Solutions, Inc. (NASDAQ:CLMB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 9 hedge fund portfolios held Climb Global Solutions, Inc. (NASDAQ:CLMB) at the end of the first quarter, which was 11 in the previous quarter. Climb Global Solutions, Inc.'s (NASDAQ:CLMB) first quarter net sales increased 49% to $138 million. While we acknowledge the potential of Climb Global Solutions, Inc. (NASDAQ:CLMB) 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 undervalued AI stock set for massive gains.
