From Yahoo Finance: 2025-05-20 07:46:00

Baron Funds released its “Baron Discovery Fund” Q1 2025 investor letter, showing a 6.17% decline (Institutional Shares) outperforming the -11.12% return for the Russell 2000 Growth Index. Market fears of trade wars and global recession led to a significant decline after April 2nd. Check out the fund’s top five holdings for 2025.

In Q1 2025, Baron Discovery Fund highlighted Arcellx, Inc. (NASDAQ:ACLX), a biotech company developing immunotherapies for cancer. Arcellx, Inc. (NASDAQ:ACLX) stock closed at $58.51 on May 19, with a market cap of $3.22 billion. Hedge funds have shown interest, with 37 portfolios holding the stock in Q4.

Baron Discovery Fund initiated a position in Arcellx, Inc. (NASDAQ:ACLX) for its development of CAR-T cell therapy. Arcellx has potential in the biotech market and a favorable manufacturing agreement with Gilead Sciences. Hedge funds are investing in the stock, but AI stocks are believed to offer greater returns.

Read more: Baron Discovery Fund Initiated a Position in Arcellx (ACLX)