Giverny Capital Asset Management, LLC, an investment management company, recently published its first-quarter 2026 investor letter. A copy can be downloaded here. The model portfolio fell 6.88% this quarter, compared to the S&P 500’s 4.33% decline. Over the past year, the portfolio gained 8.52%, while the index increased by 17.80%. Geopolitical conflicts and inflation concerns drove quarterly volatility. Despite ongoing uncertainties, the firm remains confident that its portfolio companies will sustain strong earnings and maintain healthy balance sheets, focusing on company-specific news rather than short-term fluctuations. Additionally, you can review the Portfolio’s top 5 holdings to see its best picks for 2026.
In its first-quarter 2026 investor letter, Giverny Capital Asset Management highlighted AMETEK, Inc. (NYSE:AME). AMETEK, Inc. (NYSE:AME) is a leading manufacturer of electronic instruments and electromechanical devices. On June 17, 2026, AMETEK, Inc. (NYSE:AME) stock closed at $231.27 per share. One-month return of AMETEK, Inc. (NYSE:AME) was 3.63%, and its shares gained 30.10% over the past 52 weeks. AMETEK, Inc. (NYSE:AME) has a market capitalization of $53.00 billion.
Giverny Capital Asset Management stated the following regarding AMETEK, Inc. (NYSE:AME) in its Q1 2026 investor letter:
We exited Ametek in February at $232, after trimming the position in the fourth quarter. I am an admirer of Ametek and am appreciative of the fine return we earned as shareholders over our six years of ownership. However, Ametek’s rising PE multiple of ~27x felt too high relative to its long-term earnings growth rate of about 10% and its return on equity of 15%. The growth and return on equity figures are solid, but do not justify a growth stock multiple.
AMETEK, Inc. (NYSE:AME) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 70 hedge fund portfolios held AMETEK, Inc. (NYSE:AME) at the end of the first quarter, up from 64 in the previous quarter. While we acknowledge the risk and potential of AMETEK, Inc. (NYSE:AME) 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 AMETEK, INC. (NYSE:AME) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered AMETEK, Inc. (NYSE:AME) and shared TCW Relative Value Large Cap Fund’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.
