Alluvium Asset Management, an asset management company, released its “Conventum – Alluvium Global Fund” fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the quarter, The Fund was up 1.3% in EUR terms and 5.4% in AUD terms but down 5.9% in USD terms. In addition, please check the fund’s top five holdings to know its best picks in 2024.

In its fourth quarter 2024 investor letter, Conventum – Alluvium Global Fund emphasized stocks such as Lockheed Martin Corporation (NYSE:LMT). Based in Bethesda, Maryland, Lockheed Martin Corporation (NYSE:LMT) is an aerospace and defense company. The one-month return of Lockheed Martin Corporation (NYSE:LMT) was 3.85%, and its shares gained 6.61% of their value over the last 52 weeks. On March 6, 2025, Lockheed Martin Corporation (NYSE:LMT) stock closed at $461.50 per share with a market capitalization of $108.63 billion.

Conventum – Alluvium Global Fund stated the following regarding Lockheed Martin Corporation (NYSE:LMT) in its Q4 2024 investor letter:

"Lockheed Martin Corporation (NYSE:LMT), the defence contractor, fell 16.3%. Trump’s new mate, Elon Musk, may have something to do with this. According to media reports, he has been “mocking” Lockheed’s F-35 fighter jets, which is the mainstay weapon of air defence for the US and its allies. His comments led to questions as to whether the military still needs manned jets, given the increasing capabilities of drones. This was further fuelled by news that Musk’s SpaceX is likely to be part of a consortium to provide a new generation of defence contractors, and grab a slice of the USD 850b defence budget at the expense of the three incumbents. Whilst not disregarding this news, we do sense that the share price fall may be an over-reaction. It now trades at a smaller premium to our conservative valuation, and at 2.6% of the Fund, we will be monitoring with a view to increasing our position."

Two fighter jets in flight, highlighting the technology and experience of the companies combat aircraft.

Lockheed Martin Corporation (NYSE:LMT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 65 hedge fund portfolios held Lockheed Martin Corporation (NYSE:LMT) at the end of the fourth quarter compared to 58 in the third quarter. While we acknowledge the potential of Lockheed Martin Corporation (NYSE:LMT) 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 Lockheed Martin Corporation (NYSE:LMT) and shared the list of most undervalued high-quality stocks to buy according to analysts. In addition, please check out our hedge fund investor letters Q4 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.