Conestoga Capital Advisors, an asset management company, released its fourth-quarter 2025 investor letter. US equities experienced solid returns in 2025, with double-digit gains across all major indices. A copy of the letter can be downloaded here. In 2025, the Conestoga Micro Cap Composite met its purpose of preserving capital during negative market returns and capturing upside during strong market returns. Micro Caps faced significant volatility in 2025. During the course of events, Conestoga Micro Cap Composite returned -1.91% net of fees in the fourth quarter and 16.24% net of fees for the full year 2025, trailing the Russell Microcap Growth Index’s 2.14% and 21.84% gains in the fourth quarter and full year, respectively. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Conestoga Capital Advisors highlighted stocks such as Phreesia, Inc. (NYSE:PHR). Headquartered in Wilmington, Delaware, Phreesia, Inc. (NYSE:PHR) is an integrated SaaS-based software and payment platform provider for the healthcare sector. On February 19, 2026, Phreesia, Inc. (NYSE:PHR) stock closed at $12.58 per share. One-month return of Phreesia, Inc. (NYSE:PHR) was -20.58%, and its shares lost 55.423% over the past 52 weeks. Phreesia, Inc. (NYSE:PHR) has a market capitalization of $758.41 million.
Conestoga Capital Advisors stated the following regarding Phreesia, Inc. (NYSE:PHR) in its fourth quarter 2025 investor letter:
“Phreesia, Inc. (NYSE:PHR) provides a SaaS-based platform that automates patient intake, payments, and clinical data for healthcare organizations. The stock declined in the fourth quarter following the release of fiscal third-quarter results. While PHR exceeded estimates for both revenue and earnings, the company provided forward revenue guidance that was viewed as conservative by investors, prompting valuation compression. Despite the volatility, we remain encouraged by PHR’s improving profitability and its expanding network of healthcare services clients.”
Phreesia, Inc. (NYSE:PHR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 30 hedge fund portfolios held Phreesia, Inc. (NYSE:PHR) at the end of the third quarter, up from 28 in the previous quarter. While we acknowledge the risk and potential of Phreesia, Inc. (NYSE:PHR) 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 Phreesia, Inc. (NYSE:PHR) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Phreesia, Inc. (NYSE:PHR) and shared a list of stocks that will double 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.
