Brown Advisory, an investment management company, released its “Brown Advisory Global Leaders Strategy” for the first quarter of 2026 investor letter. A copy of the letter can be downloaded here. The strategy focused on delivering strong long-term performance by investing in a focused portfolio of companies that solve customer problems and provide good returns for shareholders. The first quarter of 2026 saw intensified challenges in capital markets, marked by a general weakness in risk assets and negative perceptions around the “AI loser” narrative, significantly impacting the portfolio’s concentrated holdings. Additionally, not being invested in the Energy sector contributed to the underperformance, accounting for about 20% of the Strategy’s relative decline year-to-date. Overall, the Strategy experienced an absolute correction of about 8.3% in the quarter, underperforming relative to the MSCI ACWI Net Return Index’s -3.2% return. In addition, please check the fund’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Brown Advisory Global Leaders Strategy highlighted Ferguson Enterprises Inc. (NYSE:FERG). Ferguson Enterprises Inc. (NYSE:FERG) is a leading distributor of plumbing, HVAC, waterworks, and related building materials. On June 2, 2026, Ferguson Enterprises Inc. (NYSE:FERG) closed at $227.60 per share. One-month return of Ferguson Enterprises Inc. (NYSE:FERG) was -9.76%, and its shares gained 5.30% over the past 52 weeks. Ferguson Enterprises Inc. (NYSE:FERG) has a market capitalization of $44.14 billion.
Brown Advisory Global Leaders Strategy stated the following regarding Ferguson Enterprises Inc. (NYSE:FERG) in its Q1 2026 investor letter:
“Ferguson Enterprises Inc. (NYSE:FERG), which distributes plumbing, HVAC, appliances, fire and fabrication products, continued to outperform its end markets in a challenging macroeconomic environment, demonstrating its ability to maintain pricing and achieve margin expansion. Additionally, the company continues to pursue accretive, low-risk tuck-in acquisitions that further bolster its market share growth.”
Ferguson Enterprises Inc. (NYSE:FERG) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 85 hedge fund portfolios held Ferguson Enterprises Inc. (NYSE:FERG) at the end of the first quarter, up from 84 in the previous quarter. While we acknowledge the risk and potential of Ferguson Enterprises Inc. (NYSE:FERG) 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 Ferguson Enterprises Inc. (NYSE:FERG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Ferguson Enterprises Inc. (NYSE:FERG) and shared the list of new contenders for the S&P 500 Index. 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.
