Artisan Mid Cap Value Fund Increased Its Holdings in Lineage (LINE)

Artisan Partners, an investment management company, released its “Artisan Mid Cap Value Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the quarter, the fund’s Investor Class fund ARTQX returned 0.26%, Advisor Class fund APDQX posted a return of 0.26%, and Institutional Class fund APHQX returned 0.33%, compared to a 5.35% return for the Russell Midcap Value Index. Equity markets experienced heightened volatility followed by the announcement and subsequent pause of the so-called “Liberation Day” tariffs. The portfolio underperformed in the quarter due to the market’s preference for growth and the outperformance of more cyclical sectors and industries. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Artisan Mid Cap Value Fund highlighted stocks such as Lineage, Inc. (NASDAQ:LINE). Lineage, Inc. (NASDAQ:LINE) is a leading temperature-controlled warehouse REIT. The one-month return of Lineage, Inc. (NASDAQ:LINE) was -3.71%, and its shares lost 50.23% of their value over the last 52 weeks. On August 28, 2025, Lineage, Inc. (NASDAQ:LINE) stock closed at $41.55 per share, with a market capitalization of $10.379 billion.

Artisan Mid Cap Value Fund stated the following regarding Lineage, Inc. (NASDAQ:LINE) in its second quarter 2025 investor letter:

Other key detractors were Lineage, Inc. (NASDAQ:LINE) and LKQ. Lineage is the largest cold storage warehouse operator in the world. While Lineage’s overall market position and balance sheet remain solid, which we believe should continue enabling it to aggregate market share within the space, cold storage demand remains softer than prior years as higher food costs impact consumer spending. Further, the cost of capital assumptions used to value real estate investment trusts (REITs) have moved higher due to rising interest rates. This appears to have hit cold storage harder than other REITs despite cold storage’s better balance sheets as investors are unsure how cold storage operators’ cash flows will look in soft end markets. Also, Lineage is seen as a consolidator, but we believe it’s less likely Lineage will issue equity for a deal at these low stock prices as share repurchases may be a better use of cash flow. While we cannot predict the trends in consumer demand or interest rates, we added to our position at what look to us to be attractive prices as we believe the selling has been overdone.”

In another article, we covered Lineage, Inc. (NASDAQ:LINE) and shared the list of most oversold stocks to buy according to billionaires. In addition, please check out our hedge fund investor letters Q2 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.