• Overview

    HFCGX
    Investor

    Hennessy Cornerstone Growth Fund

    Quantitatively managed, the Fund maintains a concentrated portfolio, which seeks growth at a reasonable price.

    Category

    Domestic Equity

    Morningstar style box

    Morningstar style box
    Portfolio Manager Commentary
    Portfolio Manager Commentary

    Why Invest

    • Quantitatively-driven, repeatable investment process
    • Combines growth investing with a valuation overlay
    • Focus on undervalued companies that have proven earnings and stock price growth

    Investment Criteria

    The Hennessy Cornerstone Growth Fund utilizes a quantitative formula to select 50 stocks with the highest 12-month price appreciation, which also meet the following criteria:

    1. Market capitalization exceeding $175 million
    2. Price to sales ratio below 1.5
    3. Annual earnings higher than the previous year
    4. Positive stock price appreciation over three- and six-month periods

    Portfolio Managers

    “The Fund marries value and momentum investing.”

    - Neil Hennessy

  • Insights & News

  • Performance

    Daily Pricing & Performance

    as of 1/24/20 (Investor)
    • Nav

      $20.83

    • $ Change

      -$0.26

    • % Change

      -1.23%

    • YTD

      -0.48%

    Average Annualized Total Return

    as of 12/31/19 (Investor)
    Name 1 Mo YTD 1 yr 3 yr 5 yr 10 yr Since Inception (11/1/96)
    Cornerstone Growth Fund (HFCGX) 4.03% 20.70% 20.70% 3.50% 3.51% 9.07% 8.39%
    Russell 2000® Index 2.88% 25.52% 25.52% 8.59% 8.23% 11.83% 8.55%
    S&P 500® Index 3.02% 31.49% 31.49% 15.27% 11.70% 13.56% 8.84%

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    as of 12/31/19 (Investor)
    Name QTR YTD 1 yr 3 yr 5 yr 10 yr Since Inception (11/1/96)
    Cornerstone Growth Fund (HFCGX) 10.74% 20.70% 20.70% 3.50% 3.51% 9.07% 8.39%
    Russell 2000® Index 9.94% 25.52% 25.52% 8.59% 8.23% 11.83% 8.55%
    S&P 500® Index 9.07% 31.49% 31.49% 15.27% 11.70% 13.56% 8.84%

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    Hypothetical Growth of $10,000

    as of 12/31/2019 (Investor)

    Value of $10,000 invested between 12/31/2018 and 12/31/2019

    Cornerstone Growth Fund (HFCGX) $12,070
    Russell 2000® Index $12,553
    S&P 500® Index $13,149

    Value of $10,000 invested between 12/31/2016 and 12/31/2019

    Cornerstone Growth Fund (HFCGX) $11,088
    Russell 2000® Index $12,806
    S&P 500® Index $15,317

    Value of $10,000 invested between 12/31/2014 and 12/31/2019

    Cornerstone Growth Fund (HFCGX) $11,885
    Russell 2000® Index $14,849
    S&P 500® Index $17,386

    Value of $10,000 invested between 12/31/2009 and 12/31/2019

    Cornerstone Growth Fund (HFCGX) $23,832
    Russell 2000® Index $30,582
    S&P 500® Index $35,666

    Value of $10,000 invested between 11/1/1996 and 12/31/2019

    Cornerstone Growth Fund (HFCGX) $64,705
    Russell 2000® Index $66,886
    S&P 500® Index $71,087

    This data illustrates the performance of a hypothetical $10,000 investment made in the Fund for the period noted, and it assumes reinvestment of dividends and capital gains. This chart does not imply future performance.

    Calendar Year Total Returns

      2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
    Cornerstone Growth Fund (HFCGX)
    11.50 -10.78 30.31 35.89 13.82 -1.09 8.37 16.60 -21.22 20.70
    Russell 2000® Index
    26.85 -4.18 16.35 38.82 4.89 -4.41 21.31 14.65 -11.01 25.52
    S&P 500® Index
    15.06 2.11 16.00 32.39 13.69 1.38 11.96 21.83 -4.38 31.49
    Year
    Cornerstone Growth Fund (HFCGX)
    Russell 2000® Index
    S&P 500® Index
    2009 10.29% 27.17% 26.46%
    2008 -43.69% -33.79% -37.00%
    2007 -2.18% -1.57% 5.49%
    2006 10.42% 18.37% 15.79%
    2005 11.96% 4.55% 4.91%
    2004 16.65% 18.33% 10.88%
    2003 45.82% 47.25% 28.68%
    2002 -4.71% -20.48% -22.10%
    2001 12.14% 2.49% -11.89%
    2000 5.30% -3.02% -9.10%
    1999 37.72% 21.26% 21.04%
    1998 3.67% -2.55% 28.58%
    1997 31.33% 22.36% 33.36%

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    Returns-Based Statistics
    Relative to Russell 2000® Index

    as of 12/31/19 (Investor)
    Type 3 yr 5 yr 10 yr
    Alpha -4.10 -3.32 -1.87
    Beta 0.90 0.84 0.96
    Upside Capture 74.71 67.55 86.31
    Downside Capture 91.76 79.21 92.17

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    Alpha measures the fund’s excess return relative to the return of the benchmark. Beta measures the volatility of the fund compared to that of the benchmark. The beta of the benchmark is 1.00. Capture ratios measure the fund’s overall performance in up markets (positive return periods) and down markets (negative return periods).

    Sharpe Ratio

    as of 12/31/19 (Investor)
    Type 3 yr 5 yr 10 yr
    Cornerstone Growth Fund (HFCGX) 0.19 0.23 0.54
    Russell 2000® Index 0.49 0.51 0.71
    Small Blend Category Average 0.38 0.43 0.67

    Sharpe Ratio is a measure of risk-adjusted return, reflecting the average return earned in excess of the risk-free rate per unit of volatility.

    Standard Deviation

    as of 12/31/19 (Investor)
    Type 3 yr 5 yr 10 yr
    Cornerstone Growth Fund (HFCGX) 15.92 14.95 17.95
    Russell 2000® Index 15.93 16.04 17.00
    Small Blend Category Average 15.19 15.05 16.14

    Standard deviation is a statistical measure of the historical volatility of a mutual fund or portfolio.

    Fund Expenses

    • Gross expense ratio

      1.30%

    Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted.

    Each Morningstar category average represents a universe of funds with similar objectives. The Morningstar Style Box reveals the fund's investment style as of 12/31/19. The vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). ©Morningstar, Inc. All Rights Reserved. Past performance is no guarantee of future results.

    The S&P 500® and Russell 2000® are unmanaged indices commonly used to measure the performance of U.S. stocks. One cannot invest directly in an index.

    Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks, and copyrights related to the Russell Indexes. Russell® is a trademark of Russell. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes or Russell ratings or underlying data, and no party may rely on any Russell Indexes or Russell ratings or underlying data contained in this communication. No further distribution of Russell data is permitted without Russell’s express written consent. Russell does not promote, sponsor, or endorse the content of this communication.

    Fund holdings and sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.

  • Portfolio

    Portfolio Characteristics

    as of 12/31/19
    Inception Date (HFCGX) 11/1/96
    Total Fund Assets $149 Million
    Active Share vs. Russell 2000® Index 97%
    Portfolio Turnover 97%
    Median Market Cap $2.8 Billion
    Median Price/Earnings 20.0x
    Median Price/Book 3.0x
    Median Price/Sales 1.1x

    Price/Earnings measures a stock’s price per share compared to earnings. Price/Book measures a stock’s price per share to book value. Price/Sales measures a stock’s price per share to revenue. Portfolio Turnover, Price/Earnings, and Price/Sales shown reflect the trailing 12-month period.

    Sector Weighting

    as of 12/31/19
    Fund Russell 2000® Index Difference
    Consumer Discretionary 21.6% 10.9% +10.7%
    Information Technology 20.0% 13.6% +6.4%
    Industrials 11.7% 15.8% -4.1%
    Financials 10.8% 17.7% -6.9%
    Health Care 9.0% 18.2% -9.2%
    Consumer Staples 7.9% 3.0% +4.9%
    Energy 5.4% 3.2% +2.2%
    Materials 5.2% 3.9% +1.3%
    Utilities 3.7% 3.7% 0.0%
    Communication Services 3.3% 2.3% +1.1%
    Real Estate 0.0% 7.8% -7.8%
    Cash & Other 1.5%

    Portfolio Holdings

    Top 10 Holdings

    as of 12/31/19
    Top 10 Holdings Ticker % of Net Assets
    Boot Barn Holdings, Inc. BOOT 2.8%
    Cannae Holdings, Inc. CNNE 2.7%
    World Fuel Services Corp. INT 2.7%
    Carvana Co. CVNA 2.7%
    CDW Corp. CDW 2.6%
    FTI Consulting, Inc. FCN 2.6%
    Rent-A-Center, Inc. RCII 2.5%
    Aerojet Rocketdyne Holdings, Inc. AJRD 2.5%
    Tech Data Corp. TECD 2.5%
    Dollar General Corp. DG 2.4%
    Total as % of Net Assets 25.8%

    Total Holdings: 50

    as of 12/31/19
    Equity Holdings Ticker % of Net Assets
    Boot Barn Holdings, Inc. BOOT 2.8%
    Cannae Holdings, Inc. CNNE 2.7%
    World Fuel Services Corp. INT 2.7%
    Carvana Co. CVNA 2.7%
    CDW Corp. CDW 2.6%
    FTI Consulting, Inc. FCN 2.6%
    Rent-A-Center, Inc. RCII 2.5%
    Aerojet Rocketdyne Holdings, Inc. AJRD 2.5%
    Tech Data Corp. TECD 2.5%
    Dollar General Corp. DG 2.4%
    Performance Food Group Co. PFGC 2.4%
    R1 RCM, Inc. RCM 2.4%
    LPL Financial Holdings, Inc. LPLA 2.3%
    Tenet Healthcare Corp. THC 2.3%
    Insight Enterprises, Inc. NSIT 2.3%
    Cardtronics, PLC. CATM 2.3%
    America's Car-Mart, Inc. CRMT 2.3%
    Great Lakes Dredge & Dock Corp. GLDD 2.2%
    Booz Allen Hamilton Holding Co. BAH 2.2%
    Brookfield Asset Management, Inc. BAM 2.2%
    Costco Wholesale Corp. COST 2.2%
    Fabrinet FN 2.2%
    Stepan Co. SCL 2.1%
    Canadian Solar, Inc. CSIQ 2.1%
    Syneos Health, Inc. SYNH 2.1%
    OSI Systems, Inc. OSIS 2.0%
    AES Corp. AES 2.0%
    Live Nation Entertainment, Inc. LYV 2.0%
    Deere & Co. DE 1.9%
    Sleep Number Corp. SNBR 1.9%
    Post Holdings, Inc. POST 1.9%
    Avid Technology, Inc. AVID 1.8%
    Sonoco Products Co. SON 1.8%
    Progressive Corp. PGR 1.8%
    CVR Energy, Inc. CVI 1.8%
    Argo Group International Holdings ARGO 1.7%
    Genuine Parts Co. GPC 1.7%
    NRG Energy, Inc. NRG 1.7%
    Ensign Group, Inc. ENSG 1.6%
    Haverty Furniture Cos., Inc. HVT 1.6%
    TreeHouse Foods, Inc. THS 1.4%
    Funko, Inc. FNKO 1.4%
    EW Scripps Co. SSP 1.3%
    Core-Mark Holding Co., Inc. CORE 1.3%
    Luxfer Holdings PLC LXFR 1.3%
    Warrior Met Coal, Inc. HCC 1.3%
    Insperity, Inc. NSP 1.2%
    K12, Inc. LRN 1.1%
    ProPetro Holding Corp. PUMP 0.9%
    The Pennant Group, Inc. PNTG 0.6%
    Total as % of Net Assets 98.5%
    Cash & Other Holdings % of Net Assets
    Cash & Other 1.5%
    Total as % of Net Assets 1.5%

    Country Allocation

    as of 12/31/19
    • United States

      89.0%

    • Foreign

      9.5%

    • Cash & Other

      1.5%

    United States 89.0%
    Canada 4.3%
    Cayman Islands 2.2%
    Bermuda 1.7%
    United Kingdom 1.3%
    Cash & Other 1.5%
  • Distributions

    The Hennessy Cornerstone Growth Fund pays capital gains (if any) once annually, usually in December. Ordinary income distributions (if any) are paid annually, usually in December.

    Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price
    12/07/2018 -- -- $1.81640 $1.81640 $18.60
    12/29/2015 $0.02018 -- -- $0.02018 $19.48
    11/29/2007 -- -- $2.23953 $2.23953 $15.25
    11/28/2006 -- -- $3.11146 $3.11146 $17.95
    11/17/2005 -- $0.83227 $0.39919 $1.23146 $18.70
    11/19/2004 -- -- $3.87642 $3.87642 $17.25
    11/22/2002 -- $0.01221 $0.47171 $0.48392 $13.93
    11/26/2001 -- $0.06809 $0.96207 $1.03016 $13.23
    11/16/2000 -- $1.52830 $1.97550 $3.50380 $14.55
    12/30/1997 -- $1.78100 -- $1.78100 $11.34
    12/31/1996 $0.00300 -- -- $0.00300 $10.07

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    Past performance is not a guarantee of future results.

    Download historical distributions and NAVs
  • Fund Documents

    Download PDF View Online
    Fund Documents
    Cornerstone Growth Fund Fact Sheet
    Cornerstone Growth Fund Portfolio Manager Commentary View
    Cornerstone Growth Fund Summary Prospectus
    Full Prospectus
    Statement of Additional Information
    Shareholder Reports
    Cornerstone Growth Fund Semi-Annual Report
    Cornerstone Growth Fund Annual Report