Investment management company First Pacific Advisors recently released its “FPA Queens Road Small Cap Value Fund” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The Fund returned -0.36% in Q4 2025, compared to the Russell 2000 Value Index’s 3.26%. In 2025, the Fund has returned 13.36% compared to 12.59% gain for the Index. The Fund outperformed in the first half of 2025, when markets were weak and volatile. However, in the second half of 2025, markets favored speculative and low-quality stocks, leading to the Fund’s underperformance. The portfolio is designed to protect clients from market drawdowns by focusing on quality and value. Please review the Fund’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, FPA Queens Road Small Cap Value Fund highlighted stocks like EPlus Inc. (NASDAQ:PLUS). Headquartered in Herndon, Virginia, ePlus inc. (NASDAQ:PLUS) provides information technology (IT) solutions to optimize IT environments and supply chain processes for companies. The one-month return of EPlus Inc. (NASDAQ:PLUS) was -7.32%, and its shares gained 17.89% of their value over the last 52 weeks. On February 11, 2026, EPlus Inc. (NASDAQ:PLUS) stock closed at $83.91 per share with a market capitalization of $2.148 billion.
FPA Queens Road Small Cap Value Fund stated the following regarding EPlus Inc. (NASDAQ:PLUS) in its fourth quarter 2025 investor letter:
“In Q4, we added a new position in EPlus Inc. (NASDAQ:PLUS). ePlus is a value-added reseller (VAR) and consultant that helps businesses manage their IT spending. The company is well run in our opinion and scores highly on our quality dashboard. Adjusting for ePlus’ significant cash holdings, we think the company is inexpensive for its growth and quality profile.”
EPlus Inc. (NASDAQ:PLUS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 19 hedge fund portfolios held EPlus Inc. (NASDAQ:PLUS) at the end of the third quarter, up from 17 in the previous quarter. While we acknowledge the risk and potential of EPlus Inc. (NASDAQ:PLUS) 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 EPlus Inc. (NASDAQ:PLUS) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered EPlus Inc. (NASDAQ:PLUS) and shared a list of companies that started paying dividends. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
