Tom O'Halloran
Lord Abbett Developing Growth Fund
Tom O'Halloran is aggressive. If he finds a small-cap company whose soaring sales are trouncing expectations, he'll pay a premium for the stock. Investors have been rewarded: Lord Abbett's Developing Growth Fund is up 7.5% a year since 2005, beating 94% of its competitors.
Right now he is excited about OpenTable. The online reservation company rents terminals to restaurants and earns $1 to $7.50 for each diner it brings in. It also provides statistics, such as how many courses a party ate.
OpenTable's revenues hit $21 million in the past quarter, up 10-fold since 2004, he says, and 600,000 eateries have been joining its network per quarter. O'Halloran thinks 30% annual sales growth will continue through 2015. Shares have doubled since OpenTable's 2009 IPO, but he recently upped his stake.
--S.C.
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