LRT Capital Management, an investment management company, released its “LRT Global Opportunities Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy leverages a systematic long/short approach to generate positive returns while effectively controlling downside risks and maintaining low net exposure to the equity markets. In September, the strategy returned -8.00% (net), and the YTD return was -0.17%. It was a challenging month for the strategy, as the market indexes surged, with a select few highly overvalued mega-cap stocks, while the rest of the market declined. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, LRT Global Opportunities Strategy highlighted stocks such as Simpson Manufacturing Co., Inc. (NYSE:SSD). Simpson Manufacturing Co., Inc. (NYSE:SSD) offers wood construction products and prefabricated lateral systems for use in construction. The one-month return of Simpson Manufacturing Co., Inc. (NYSE:SSD) was -10.84%, and its shares lost 12.38% of their value over the last 52 weeks. On October 6, 2025, Simpson Manufacturing Co., Inc. (NYSE:SSD) stock closed at $169.67 per share, with a market capitalization of $7.061 billion.
LRT Global Opportunities Strategy stated the following regarding Simpson Manufacturing Co., Inc. (NYSE:SSD) in its third quarter 2025 investor letter:
“Simpson Manufacturing Co., Inc. (NYSE:SSD) represents a category-defining enterprise and the undisputed leader in the North American market for engineered structural connectors. Through its iconic Simpson Strong-Tie brand, the company provides essential, high performance products that are critical to the structural integrity and safety of residential and commercial buildings. The company’s deep competitive moat, rooted in decades of innovation, exceptional service, and unparalleled brand equity, have solidified its position as a mission-critical partner to the construction industry, making it a truly high quality, compounding enterprise.
The cornerstone of Simpson’s durable competitive advantage is its products being specified directly into building codes. Architects, engineers, and builders do not simply choose Simpson products; they are often required to use them to meet stringent local and national safety standards for seismic activity, high winds, and general structural load. This creates immense switching costs, as deviating from the specified product would require costly and time-consuming engineering re-evaluations. The brand itself has become synonymous with trust and reliability, a reputation earned through a relentless focus on product quality, rigorous testing, and engineering excellence. This trust is a powerful, intangible asset that is nearly impossible for a competitor to replicate…” (Click here to read the full text)
Simpson Manufacturing Co., Inc. (NYSE:SSD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 38 hedge fund portfolios held Simpson Manufacturing Co., Inc. (NYSE:SSD) at the end of the second quarter, up from 30 in the previous quarter. While we acknowledge the risk and potential of Simpson Manufacturing Co., Inc. (NYSE:SSD) 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 Simpson Manufacturing Co., Inc. (NYSE:SSD) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Simpson Manufacturing Co., Inc. (NYSE:SSD) and shared the list of best lumber stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q3 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.
