Carillon Tower Advisers, an investment management company, released its second-quarter 2026 investor letter for the “Carillon Eagle Mid Cap Growth Fund”. A copy of the letter is available to download here. Mid-cap stocks delivered strong results, with the Russell Midcap® Growth Index rising 14.55% and slightly outperforming the Russell Midcap® Value Index’s 13.40% gain. Information technology led the growth index with a 36.90% return, while industrials also outperformed, and energy was the only sector to decline. The quarter was supported by resilient corporate earnings, economic growth and AI infrastructure spending, although geopolitical tensions, higher energy prices and election-related uncertainty could create volatility. The firm remains optimistic that data-center investment will support technology, energy, defense and automation companies, while attractive healthcare valuations and stronger merger activity could create opportunities. However, financials and consumer stocks face mixed conditions because of housing weakness, inflation and uneven spending. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its second-quarter 2026 investor letter, Carillon Eagle Mid Cap Growth Fund highlighted Chewy, Inc. (NYSE:CHWY). Chewy, Inc. (NYSE:CHWY) is an online retailer of pet food and treats, supplies, and pet healthcare products, as well as pet services. On July 30, 2026, Chewy, Inc. (NYSE:CHWY) closed at $22.82 per share. The one-month return of Chewy, Inc. (NYSE:CHWY) was 6.71%, and its shares lost 38.04% over the past 52 weeks. Chewy, Inc. (NYSE:CHWY) has a market capitalization of $9.34 billion.
Carillon Eagle Mid Cap Growth Fund stated the following regarding Chewy, Inc. (NYSE:CHWY) in its Q2 2026 investor letter:
“Chewy, Inc. (NYSE:CHWY) is an online retailer of pet food, medications, supplies, and other pet-related products and services. The stock underperformed as the macroeconomic environment pressured results. Higher gas prices and lower consumer confidence led the company to slightly reduce its revenue forecast. Chewy continues to gain new customers profitably, although the current backdrop is weighing on customers’ willingness to purchase premium products.”
Chewy, Inc. (NYSE:CHWY) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 53 hedge fund portfolios held Chewy, Inc. (NYSE:CHWY) at the end of the first quarter which was 56 in the previous quarter. While we acknowledge the risk and potential of Chewy, Inc. (NYSE:CHWY) 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 Chewy, Inc. (NYSE:CHWY) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Chewy, Inc. (NYSE:CHWY) and shared ClearBridge SMID Cap Growth Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q2 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.
