Brown Advisory, an funding administration firm, launched its “Brown Advisory Massive-Cap Development Technique” third-quarter 2025 investor letter. A replica of the letter may be downloaded right here. The technique returned -0.88% (web) in the course of the third quarter, underperforming the benchmark, the Russell 1000 Development Index. Regardless that the portfolio has vital publicity to AI, its underweight to essentially the most speculative momentum-driven elements of the commerce was a headwind to efficiency. As well as, please verify the fund’s high 5 holdings to know its finest picks in 2025.
In its third-quarter 2025 investor letter, Brown Advisory Massive-Cap Development Technique highlighted shares resembling Cadence Design Methods, Inc. (NASDAQ:CDNS). Cadence Design Methods, Inc. (NASDAQ:CDNS) is a world supplier of software program, {hardware}, and different companies. The one-month return of Cadence Design Methods, Inc. (NASDAQ:CDNS) was 3.59%, and its shares gained 10.64% of their worth over the past 52 weeks. On December 03, 2025, Cadence Design Methods, Inc. (NASDAQ:CDNS) inventory closed at $336.11 per share, with a market capitalization of $91.49 billion.
Brown Advisory Massive-Cap Development Technique said the next relating to Cadence Design Methods, Inc. (NASDAQ:CDNS) in its third quarter 2025 investor letter:
“Cadence Design Methods, Inc. (NASDAQ:CDNS): Gives software program companies for semiconductor and electronics techniques industries. Cadence (CDNS) reported robust second-quarter outcomes, highlighted by 20% year-over-year income development and almost 30% earnings development. Energy was broad-based throughout digital design automation (EDA), mental property (IP), and system design, and the corporate raised full-year steerage. Whereas shares initially traded down on information that its software program instruments couldn’t be bought in China resulting from broader U.S.–China commerce negotiations, the scenario was resolved, permitting CDNS to renew servicing its Chinese language prospects. The corporate’s better-than- consensus anticipated outcomes and a extra favorable second-half outlook—regardless of the commerce uncertainty—strengthened investor confidence in its long-term development trajectory.”
Cadence Design Methods, Inc. (NASDAQ:CDNS) isn’t on our listing of 30 Most Well-liked Shares Amongst Hedge Funds. As per our database, 69 hedge fund portfolios held Cadence Design Methods, Inc. (NASDAQ:CDNS) on the finish of the third quarter, which was 68 within the earlier quarter. Whereas we acknowledge the potential of Cadence Design Methods, Inc. (NASDAQ:CDNS) as an funding, we consider sure AI shares supply larger upside potential and carry much less draw back danger. In case you’re searching for an especially undervalued AI inventory that additionally stands to profit considerably from Trump-era tariffs and the onshoring pattern, see our free report on the finest short-term AI inventory.
