ClearBridge Investments, a global equity manager, recently published first-quarter 2026 commentary for its “Mid Cap Strategy”. A copy of the letter can be downloaded here. Mid-cap stocks showed strong performance in Q1, with the Russell Midcap Index rising 1.3%, outperforming both large-cap and small-cap stocks. In contrast, large-cap equities dropped 4.2%, while small-caps increased by only 0.9%; this dynamic suggested broadening in market leadership. Though investor concerns about the US-Israel-Iran conflict influenced mid-cap stocks, their performance was more focused on company fundamentals and sector trends. However, the ClearBridge Mid Cap Strategy underperformed its benchmark due to challenges in the IT, health care, and consumer discretionary sectors. The Strategy focuses on the consumer discretionary sector, acquiring firms that can perform in a variety of circumstances while being adaptable as the environment changes. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, ClearBridge Mid Cap Strategy highlighted Casey’s General Stores, Inc. (NASDAQ:CASY). Casey’s General Stores, Inc. (NASDAQ:CASY) is a US-based convenience store operator under the Casey’s and Casey’s General Store names. On April 9, 2026, Casey’s General Stores, Inc. (NASDAQ:CASY) closed at $758.76 per share. One-month return of Casey’s General Stores, Inc. (NASDAQ:CASY) was 11.73%, and its shares gained 61.48% over the past 52 weeks. Casey’s General Stores, Inc. (NASDAQ:CASY) has a market capitalization of $28.04 billion.
ClearBridge Mid Cap Strategy stated the following regarding Casey’s General Stores, Inc. (NASDAQ:CASY) in its Q1 2026 investor letter:
“Positive stock selection in consumer staples was led by Casey’s General Stores, Inc. (NASDAQ:CASY), a defensive compounder whose value-focused business model continues to see resilient consumer demand, particularly amid an increasingly uncertain macro environment.”
Casey’s General Stores, Inc. (NASDAQ:CASY) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 47 hedge fund portfolios held Casey’s General Stores, Inc. (NASDAQ:CASY) at the end of the fourth quarter, compared to 51 in the previous quarter. While we acknowledge the risk and potential of Casey’s General Stores, Inc. (NASDAQ:CASY) 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 Casey’s General Stores, Inc. (NASDAQ:CASY) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Casey’s General Stores, Inc. (NASDAQ:CASY) and shared the list of Jim Cramer’s stock calls as he discussed the impact of the Iran war on the markets. In addition, please check out our hedge fund investor letters Q1 2026 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.
