TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” first-quarter 2026 investor letter. A copy of the letter can be downloaded here. The Strategy fell 7.72% (net) in the quarter compared to -6.35% for the Russell Midcap Growth Index. In the first quarter, markets navigated geopolitical tensions and economic resilience alongside temporary global tariffs. High oil prices and supply chain disruptions followed U.S. and Israeli involvement in Iran, prompting a shift to safer assets and a reevaluation of supply chains and energy dependencies. Central banks maintained steady policies despite energy-driven inflation. In this environment, the Strategy remains focused on disciplined management teams with durable competitive advantages. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted DoorDash, Inc. (NASDAQ:DASH) as a performance detractor. DoorDash, Inc. (NASDAQ:DASH) is a US-based leading online food ordering and delivery platform. On June 30, 2026, DoorDash, Inc. (NASDAQ:DASH) closed at $184.53 per share. One-month return of DoorDash, Inc. (NASDAQ:DASH) was 19.38%, and its shares lost 22.73% over the past 52 weeks. DoorDash, Inc. (NASDAQ:DASH) has a market capitalization of $80.40 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding DoorDash, Inc. (NASDAQ:DASH) in its Q1 2026 investor letter:
“Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, premium brands, or support services for other consumer companies. DoorDash, Inc. (NASDAQ:DASH) operates a commerce platform that connects merchants, consumers, and dashers. The combination of a mixed fourth quarter and lower-than-expected first-quarter guidance led to a -34% sell-off. Of note, there was a record number of new Dash Pass enrollers. With investments front-end loaded, DoorDash is positioned for a second-half margin expansion, and that is why we added to the position.”
DoorDash, Inc. (NASDAQ:DASH) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 117 hedge fund portfolios held DoorDash, Inc. (NASDAQ:DASH) at the end of the first quarter, up from 108 in the previous quarter. While we acknowledge the risk and potential of DoorDash, Inc. (NASDAQ:DASH) 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 DoorDash, Inc. (NASDAQ:DASH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered DoorDash, Inc. (NASDAQ:DASH) and shared the list of best non-tech stocks to buy according to analysts. 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.
