Bristlemoon Global Fund’s Analysis on Floor & Decor Holdings (FND)

Bristlemoon Capital, a global equities firm, released its “Bristlemoon Global Fund” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The fund returned -6.2% in the December quarter and a 0.3% return in December. Since its inception, the fund has produced a cumulative return of 11.9%, net of fees.  In 2025, market trends intensified, with perceived AI winners rallying, while stocks considered “cheap” dropped even further if labeled as AI losers. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, Bristlemoon Global Fund highlighted stocks such as Floor & Decor Holdings, Inc. (NYSE:FND). Floor & Decor Holdings, Inc. (NYSE:FND) is a multi-channel specialty retailer of hard surface flooring and related accessories. The one-month return of Floor & Decor Holdings, Inc. (NYSE:FND) was 16.91%, and its shares lost 24.77% of their value over the last 52 weeks. On January 9, 2026, Floor & Decor Holdings, Inc. (NYSE:FND) stock closed at $72.74 per share, with a market capitalization of $7.838 billion.

Bristlemoon Global Fund stated the following regarding Floor & Decor Holdings, Inc. (NYSE:FND) in its fourth quarter 2025 investor letter:

“Founded in 2000, Floor & Decor Holdings, Inc. (NYSE:FND) is a retailer of hard surface flooring products such as wood, tiles, luxury vinyl plank, and related accessories. While this might not sound very exciting, the company has grown its comparable store sales at almost 11% per annum on average over the last 14 years, with revenue and adjusted EBITDA growing at 24% and 25% per annum, respectively, between 2011 and 2024.

It is not so much what FND sells, it is the manner in which it sells its mostly private label flooring products that lies at the core of what gives the company an advantage over competitors. FND is selling its merchandise in 75,000 square foot warehouse stores, compared to a mere 3,000 to 5,000 square feet of space that big box home improvement chains such as Home Depot and Lowes dedicate to selling hard surface flooring products.…” (Click here to read the full text)

Jim Thinks Floor & Decor Holdings, Inc. (FND) May Be Undervalued: Here's Why

Floor & Decor Holdings, Inc. (NYSE:FND) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 44 hedge fund portfolios held Floor & Decor Holdings, Inc. (NYSE:FND) at the end of the third quarter, compared to 46 in the previous quarter. Floor & Decor Holdings, Inc.’s (NYSE:FND) sales for the third quarter grew 5.5% to $1.180 billion.  While we acknowledge the risk and potential of Floor & Decor Holdings, Inc. (NYSE:FND) 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 Floor & Decor Holdings, Inc. (NYSE:FND) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Floor & Decor Holdings, Inc. (NYSE:FND) and shared Baron Real Estate Fund’s views on the company in the previous quarter. 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.