The London Company released its Q1 2026 investor letter for “The London Company Large Cap Strategy”. In early 2026, US equities declined, with the Russell 3000 falling 4% and the S&P posting losses. A copy of the letter is available to download here. The year started positively with a broad rally, but sentiment reversed in March due to the Iran conflict. Crude oil prices rose, raising inflation concerns and shifting the Fed’s outlook from rate cuts to hikes. Large-cap growth suffered double-digit losses amid weakness in Big Tech and AI concerns in software. Sector dispersion was extreme; Energy surged over 35%, while Tech fell over 9%. The London Company Large Cap portfolio returned 2.6% (2.4% net) in the quarter, outperforming the Russell 1000’s 4.2% decline, supported by stock selection and sector exposure. The strategy’s quality, high active share, and downside resilience were effective in an unsettled market. The firm views the recent setback as a pause in a multi-year cycle, not a reversal. In addition, please check the Strategy’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, The London Company Large Cap Strategy highlighted Equitable Holdings, Inc. (NYSE:EQH). Equitable Holdings, Inc. (NYSE:EQH) is a leading financial services company focusing on life insurance, annuities, asset management, and retirement solutions. On June 10, 2026, Equitable Holdings, Inc. (NYSE:EQH) closed at $41.91 per share. One-month return of Equitable Holdings, Inc. (NYSE:EQH) was 1.77%, and its shares lost 24.43% over the past 52 weeks. Equitable Holdings, Inc. (NYSE:EQH) has a market capitalization of $11.63 billion.
The London Company Large Cap Strategy stated the following regarding Equitable Holdings, Inc. (NYSE:EQH) in its Q1 2026 investor letter:
“Equitable Holdings, Inc. (NYSE:EQH) – EQH was a bottom contributor during the period, primarily reflecting pressure on asset-based revenues amid market volatility and lower fee related income. EQH triggered our soft stop-loss review, and with no insider buying to reinforce conviction, we sold the position.
Exited: Equitable Holdings, Inc. (EQH) – We elected to sell our EQH position after it triggered our soft stop-loss review and there were no signs of insider buying to reinforce conviction. While EQH continues to generate strong cash flow and return capital in a disciplined manner, the underlying core business has remained inconsistent. Earnings quality is uneven, flows are mixed, and ongoing pressure in the individual life and retirement segments raises concern. Although valuation appears attractive, our confidence in the ability to deliver consistent results and successfully execute a turnaround was lowered.”
Equitable Holdings, Inc. (NYSE:EQH) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 42 hedge fund portfolios held Equitable Holdings, Inc. (NYSE:EQH) at the end of the first quarter, up from 38 in the previous quarter. While we acknowledge the risk and potential of Equitable Holdings, Inc. (NYSE:EQH) 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 Equitable Holdings, Inc. (NYSE:EQH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Equitable Holdings, Inc. (NYSE:EQH) and shared Diamond Hill Select Strategy’s views on the company. 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.
