Here’s Why Middle Coast Investing Sold Axcelis (ACLS)

2 months ago 19

Soumya Eswaran

Wed, Apr 16, 2025, 7:27 AM 3 min read

Middle Coast Investing, an concern advisor firm, released its first-quarter capitalist letter. A transcript of the missive tin beryllium downloaded here. Middle Coast Investing had a hard but manageable archetypal quarter, but everyone has suffered since the Liberation Day clang astatine the opening of the 2nd quarter. To negociate the volatility, the steadfast decided to summation currency extremity levels by astir 5% for each portfolio. In the quarter, the steadfast sold 3% much than it bought. In Q1 2025, the US Portfolios returned -3.7% compared to -4.6% for the S&P 500. It’s Core U.S. portfolios returned -0.7% portion Russell 2000 returned -9.8%, S&P 600 returned -9.3% and Nasdaq generated -10.4% for the aforesaid period. However, its European Portfolios appreciated by 9.2%. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its archetypal 4th 2025 capitalist letter, Middle Coast Investing emphasized stocks specified arsenic Axcelis Technologies, Inc. (NASDAQ:ACLS). Axcelis Technologies, Inc. (NASDAQ:ACLS) engages successful the design, manufacturing, and servicing of ion implantation and different processing instrumentality utilized successful the fabrication of semiconductor chips. The one-month instrumentality of Axcelis Technologies, Inc. (NASDAQ:ACLS) was -17.79%, and its shares mislaid 53.63% of their worth implicit the past 52 weeks. On April 15, 2025, Axcelis Technologies, Inc. (NASDAQ:ACLS) banal closed astatine $47.17 per stock with a marketplace capitalization of $1.518 billion.

Middle Coast Investing stated the pursuing regarding Axcelis Technologies, Inc. (NASDAQ:ACLS) successful its Q1 2025 capitalist letter:

"We sold conscionable astir each of our Axcelis Technologies, Inc. (NASDAQ:ACLS) presumption and a ample chunk of our Atkore position. I didn’t similar the answers I had to the cardinal questions surrounding the companies. Both deed fortunate request seams and saw immense maturation successful the 2020-2022 period, but are cyclical companies and haven’t maintained an edge. Axcelis sells a batch into China, which was besides a large risk, but besides faces overbuilding successful its vertical (electric vehicles is simply a cardinal operator for its products) and accrued competition. We person a larger holdover Atkore presumption due to the fact that I deliberation it is person to the bottom, but neither is simply a large presumption anymore."

Is Axcelis Technologies, Inc. (ACLS) the Best Small Cap Tech Stock to Buy Now?

A close-up of an technologist moving connected precision semiconductor spot fabrication.

Axcelis Technologies, Inc. (NASDAQ:ACLS) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 27 hedge money portfolios held Axcelis Technologies, Inc. (NASDAQ:ACLS) astatine the extremity of the 4th fourth which was 29 successful the erstwhile quarter. Axcelis Technologies, Inc. (NASDAQ:ACLS) reported $252 cardinal successful revenues successful the 4th fourth which was somewhat amended than expectations. While we admit the imaginable of Axcelis Technologies, Inc. (NASDAQ:ACLS) arsenic an investment, our condemnation lies successful the content that AI stocks clasp greater committedness for delivering higher returns, and doing truthful wrong a shorter timeframe. If you are looking for an AI banal that is arsenic promising arsenic NVIDIA but that trades astatine little than 5 times its earnings, cheque retired our study astir the cheapest AI stock.