Voya Investment Management, an investment management company, released its first-quarter 2026 investor letter for its “Voya MI Dynamic Small Cap Fund.” It is an actively managed US Small Cap core equity strategy. A copy of the letter can be downloaded here. The first quarter of 2026 was challenging for the equity markets as easing inflation was overshadowed by increased geopolitical risks and uncertainty surrounding policy. Large-cap technology and software stocks struggled due to worries about the impact of AI disruptions, while value stocks showed resilience even as their growth counterparts experienced declines. Overall, the markets remained range-bound amidst volatility throughout the quarter. The Fund underperformed its benchmark, the Russell 2000 Index (the Index), on a net asset value (NAV) basis in the quarter, driven by stock selection issues. There is a noticeable shift towards more defensive and quality-focused sectors, highlighting the importance of selective positioning and active risk management in this more volatile landscape. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Voya MI Dynamic Small Cap Fund highlighted stocks such as Progyny, Inc. (NASDAQ:PGNY). Progyny, Inc. (NASDAQ:PGNY) is a benefits management company that focuses on fertility and family-building benefits solutions. On June 3, 2026, Progyny, Inc. (NASDAQ:PGNY) closed at $24.99 per share. One-month return of Progyny, Inc. (NASDAQ:PGNY) was 34.39%, and its shares gained 20.55% over the past 52 weeks. Progyny, Inc. (NASDAQ:PGNY) has a market capitalization of $1.96 billion.
Voya MI Dynamic Small Cap Fund stated the following regarding Progyny, Inc. (NASDAQ:PGNY) in its Q1 2026 investor letter:
“The overweight to Progyny, Inc. (NASDAQ:PGNY) was due to the ML model’s positive view of its valuation (EBITDA, dividend yield and operating cash flow to price) combined with its features (ROIC and buy back yield). Progyny is a leading provider of employer-sponsored fertility and family-building benefits, differentiated by its Smart Cycle design, integrated pharmacy and curated specialist network. The stock traded lower around results as conservative 2026 guidance and administrative reductions in reported covered lives weighed on sentiment, despite underlying demand and execution remaining solid.”
Progyny, Inc. (NASDAQ:PGNY) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 24 hedge fund portfolios held Progyny, Inc. (NASDAQ:PGNY) at the end of the first quarter, compared to 32 in the previous quarter. While we acknowledge the risk and potential of Progyny, Inc. (NASDAQ:PGNY) 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 Progyny, Inc. (NASDAQ:PGNY) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Progyny, Inc. (NASDAQ:PGNY) and shared the list of most promising stocks to buy. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.
Disclosure: None. This article is originally published at Insider Monkey.
