After strong performance in 2013, the shares of Benefitfocus, Inc. (BNFT, Financial) gave back some gains, as investors digested higher planned investment spending. Benefitfocus is the leading provider of cloud-based benefits software, offering an integrated suite of solutions to help customers more efficiently shop, enroll, manage and exchange benefits information. The company serves an addressable market that is more than 100 times larger than its current business, which we think should allow it to compound revenue at more than 30% annually. We believe Benefitfocus provides a compelling long-term investment opportunity at its current valuation. (Neal Rosenberg)
From Baron Funds' first quarter 2014 letter to shareholders.