13D Activist Fund is a mutual fund that focuses on companies invested in by shareholder activists. The fund released its Q3 2025 investor letter. The class I shared of the fund returned 8.88%, net of fees and expenses, in the quarter compared to 12.39% for the Russell 2000 Index. Overall, the fund was thrilled with its performance this quarter. However, on a relative basis, there is room for improvement. The Russell 2000 outperformed the S&P 500 by the largest margin in three years, with a return of 12.39% compared to the S&P 500’s 8.12%. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, 13D Activist Fund highlighted stocks such as Performance Food Group Company (NYSE:PFGC). Performance Food Group Company (NYSE:PFGC) is a food and food-related products distributor that operates through Foodservice, Convenience, and Specialty segments. The one-month return of Performance Food Group Company (NYSE:PFGC) was -2.50%, and its shares gained 2.24% of their value over the last 52 weeks. On December 03, 2025, Performance Food Group Company (NYSE:PFGC) stock closed at $92.60 per share, with a market capitalization of $14.521 billion.
13D Activist Fund stated the following regarding Performance Food Group Company (NYSE:PFGC) in its third quarter 2025 investor letter:
“Performance Food Group Company (NYSE:PFGC) is the third largest foodservice distribution company in North America, behind Sysco and US Foods, which all together command approximately 38% market share. The Company operates through three segments. The core FoodService Segment (61.8% of EBITDA) distributes national, customer, and proprietary-branded food and food-related products. Convenience (20.6%) distributes candy, snacks, beverages, cigarettes, and other tobacco products to convenience stores. Specialty (17.61%) distributes candy, snacks, beverages, and other items to specialty vendors.
On August 21, 2025, Sachem Head delivered a nomination notice for the following four candidates to stand for election to PFG’s Board at the 2025 Annual Meeting: Scott D. Ferguson (Founder and Managing Partner of Sachem Head), David A. Toy, R. Chris Kreidler and Karen M. King. Additionally, Sachem Head has urged the Company to explore a potential business combination with US Foods and, absent a transaction, further improve margins. Mr. Ferguson and Mr. Toy previously served together on the US Foods Board as part of a Sachem Head Cooperation Agreement. At US Foods, Sachem Head helped install a new CEO and management team which catalyzed a successful turnaround for the Company – since Sachem Head filed their 13D at US Foods, the Company’s stock has more than doubled. The other two candidates have just as much experience: Mr. Kreidler was the CFO for Sysco for 6 years and Ms. King is an EVP at McDonalds and serves on the Aramark Board. This is an all-star team of nominees that are well positioned to navigate PFG through operational improvements and a strategic evaluation…” (Click here to read the full text)
Performance Food Group Company (NYSE:PFGC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 51 hedge fund portfolios held Performance Food Group Company (NYSE:PFGC) at the end of the third quarter, up from 47 in the previous quarter. While we acknowledge the risk and potential of Performance Food Group Company (NYSE:PFGC) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Performance Food Group Company (NYSE:PFGC) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Performance Food Group Company (NYSE:PFGC) and shared ClearBridge Mid Cap Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
