EQT Corporation (EQT) Rose on Increased Demand

Scout Investments, Inc., an affiliate of Carillon Tower Advisers, released the “Carillon Scout Mid Cap Fund” first quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter, the Russell Midcap Index posted negative returns. Significant policy uncertainty, signaled by aggressive tariff announcements, reversed the positive sentiment prevailing in the domestic market at the start of the year, turning it negative. The first-quarter macroeconomic environment showed signs of slowdown but not recession. The economy seems okay, but downside risks are rising. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its first-quarter 2025 investor letter, Carillon Scout Mid Cap Fund highlighted stocks such as EQT Corporation (NYSE:EQT). EQT Corporation (NYSE:EQT) is a natural gas production company. The one-month return of EQT Corporation (NYSE:EQT) was 4.97%, and its shares gained 54.01% of their value over the last 52 weeks. On June 23, 2025, EQT Corporation (NYSE:EQT) stock closed at $59.37 per share, with a market capitalization of $35.54 billion.

Carillon Scout Mid Cap Fund stated the following regarding EQT Corporation (NYSE:EQT) in its Q1 2025 investor letter:

“EQT Corporation (NYSE:EQT) is an integrated energy company with an emphasis on upstream and midstream natural gas operations in Pennsylvania. The company’s natural gas production costs are among the lowest in the country. Natural gas producers benefitted from a colder than anticipated winter, draining natural gas storage to levels well below the 5-year average. Demand is expected to grow rapidly in the coming years, but suppliers like EQT are not adding rigs and storage is starting from a low point.”

Is EQT Corporation (EQT) the Best American Energy Stock to Buy Now?

A storage facility for natural gas, showing the vast reserves of this abundant energy source.

EQT Corporation (NYSE:EQT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 91 hedge fund portfolios held EQT Corporation (NYSE:EQT) at the end of the first quarter, which was 88 in the previous quarter. While we acknowledge the potential of EQT Corporation (NYSE:EQT) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.

In another article, we covered EQT Corporation (NYSE:EQT) and shared the list of best large cap energy stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. While we acknowledge the potential of EQT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.