RiverPark Advisors, an investment advisory firm and sponsor of the RiverPark family of mutual funds, released its “RiverPark Large Growth Fund” Q4 2025 investor letter. A copy of the letter can be downloaded here. The US stock market delivered modest gains in the quarter with the S&P 500 index (“S&P”) and the Russell 1000 Growth index (“RLG”) returning 2.6% and 1.1%, respectively. The Fund appreciated by 1.4% during the same period. For the full year, the Fund was up 13.3% vs. 17.4% and 18.6% gains, respectively, for the indexes. The performance in the Russell 1000 Growth Index was uneven. Market leadership remains concentrated, but underlying divergence has deepened. Investors preferred companies with durable earnings and progress in monetizing growth, especially in health care and parts of the AI value chain. The Fund is optimistic that its portfolio consists of attractively valued companies benefiting from strong growth trends and expected to generate significant cash flow. Please review the Fund’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, RiverPark Large Growth Fund highlighted Applied Materials, Inc. (NASDAQ:AMAT) as one of its leading contributors. Applied Materials, Inc. (NASDAQ:AMAT) is a leading supplier of materials engineering solutions, equipment, services, and software to the semiconductor and related industries. On March 24, 2026, Applied Materials, Inc. (NASDAQ:AMAT) stock closed at $373.99 per share. One-month return of Applied Materials, Inc. (NASDAQ:AMAT) was -5.31%, and its shares gained 148.20% over the past 52 weeks. Applied Materials, Inc. (NASDAQ:AMAT) has a market capitalization of $296.802 billion.
RiverPark Large Growth Fund stated the following regarding Applied Materials, Inc. (NASDAQ:AMAT) in its fourth quarter 2025 investor letter:
“Applied Materials, Inc. (NASDAQ:AMAT): AMAT was a top contributor in 4Q25 as semiconductor equipment stocks rallied on improving wafer-fab spending visibility. Management noted during its quarterly call that orders tied to AI-related capacity—particularly advanced logic and high-bandwidth memory—were tracking ahead of plan, leading to mid-teens growth in semiconductor systems revenue. Strength in services and spares also continued, with installed base revenues growing at a high single-digit rate. Investor enthusiasm increased after several major foundries raised 2026 capex plans, signaling durable multi-year demand for AMAT’s leadership technologies.
We believe Applied Materials remains one of the best positioned companies in the semiconductor capital equipment ecosystem, benefiting from structural increases in semiconductor intensity and the rapid build-out of AI infrastructure. Its broad product portfolio, strong customer relationships, and high recurring service revenues support steady earnings and free cash flow growth. With strong execution, expanding margins, and a long growth runway in leading-edge nodes, AMAT remains a foundational holding aligned with our conviction in the secular growth of semiconductor spending.”
Applied Materials, Inc. (NASDAQ:AMAT) ranks 39 on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 111 hedge fund portfolios held Applied Materials, Inc. (NASDAQ:AMAT) at the end of the fourth quarter, up from 89 in the previous quarter. While we acknowledge the risk and potential of Applied Materials, Inc. (NASDAQ:AMAT) 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 Applied Materials, Inc. (NASDAQ:AMAT) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Applied Materials, Inc. (NASDAQ:AMAT) and shared a list of tech stocks with the best earnings growth in 2026. In addition, please check out our hedge fund investor letters Q4 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.
