Rowan Street Capital, an investment management company, released its Q4 2025 investor letter. A copy of the letter can be downloaded here. Rowan Street generated solid results in 2025 but underperformed the S&P 500 Index. The Composite returned +11.1% (net) in 2025 compared to +17.9% for the Index. Rowan Street delivered a cumulative net return of +252% over the past three years, compared to +78% for the Index during the same period. It is a concentrated strategy with a focus on long-term compounding. 2025 performance was driven by Tesla, its new position in the year. Rowan Street invests in the same set of companies, allowing time and compounding to build growth. Please review the Fund’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Rowan Street Capital highlighted stocks such as The Trade Desk, Inc. (NASDAQ:TTD). Headquartered in Ventura, California, The Trade Desk, Inc. (NASDAQ:TTD) is a technology company that offers a self-service cloud-based ad-buying platform. The one-month return of The Trade Desk, Inc. (NASDAQ:TTD) was -27.19%, and its shares lost 77.51% of their value over the last 52 weeks. On February 9, 2026, The Trade Desk, Inc. (NASDAQ:TTD) stock closed at $27.04 per share, with a market capitalization of $13.221 billion.
Rowan Street Capital stated the following regarding The Trade Desk, Inc. (NASDAQ:TTD) in its fourth quarter 2025 investor letter:
“We first invested in The Trade Desk, Inc. (NASDAQ:TTD) in early 2020 because we believed it was building critical infrastructure for the open internet—an independent, asset-light, data-driven advertising platform with strong network effects, growing rapidly while remaining solidly profitable. The business executed well for many years, and as fundamentals compounded, the position grew organically from an initial weight of approximately 3% to over 12% of the portfolio at its peak.
During this period, conditions were favorable. Growth was consistent, industry tailwinds were strong, and execution appeared disciplined. Importantly, however, this was a phase in which the company—and its leadership—had not yet been tested by sustained adversity…” (Click here to read the full text)
The Trade Desk, Inc. (NASDAQ:TTD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held The Trade Desk, Inc. (NASDAQ:TTD) at the end of the third quarter, which was 60 in the previous quarter. While we acknowledge the risk and potential of The Trade Desk, Inc. (NASDAQ:TTD) 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 The Trade Desk, Inc. (NASDAQ:TTD) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered The Trade Desk, Inc. (NASDAQ:TTD) and shared a list of best revenue growth stocks to buy. In addition, please check out our hedge fund investor letters Q4 2025 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.
