Artisan Partners, an investment management firm, issued its first-quarter 2026 investor letter for the “Artisan Mid Cap Value Fund”. A copy of this letter is available for download here. In Q1 2026, the portfolio underperformed the benchmark Russell Midcap Value Index as the market favored momentum-driven stocks over quality factors. Some holdings faced company-specific setbacks and negative sentiment. The Fund’s Investor Class: ARTQX returned -4.93%, Advisor Class: APDQX declined by -4.90%, and Institutional Class: APHQX fell by -4.97%, all trailing the Index’s 3.68% gain. The equity market in the quarter was mixed, with mid- and small-cap indices showing resilience despite lagging large-cap growth stocks. Volatility increased, initially fueled by interest in AI and private credit, but escalated after the outbreak of war in Iran, leading to rising oil prices. Sector performance varied, with energy leading the gains. The Fund continues to seek companies capable of value growth during market dislocations at attractive entry points. Also, review the Fund’s top five holdings to see its best picks for 2026.
In its first-quarter 2026 investor letter, Artisan Mid Cap Value Fund highlighted Permian Resources Corporation (NYSE:PR). Headquartered in Midland, Texas, Permian Resources Corporation (NYSE:PR) is an independent oil and natural gas company. On July 7, 2026, Permian Resources Corporation (NYSE:PR) closed at $19.09 per share. One-month return of Permian Resources Corporation (NYSE:PR) was -3.24%, and its shares gained 34.91% over the past 52 weeks. Permian Resources Corporation (NYSE:PR) has a market capitalization of $15.98 billion.
Artisan Mid Cap Value Fund stated the following regarding Permian Resources Corporation (NYSE:PR) in its Q1 2026 investor letter:
“Our energy holdings were well represented among our top contributors, benefiting from higher energy prices. Permian Resources Corporation (NYSE:PR), an independent oil and gas company, and NOV, the largest manufacturer of oilfield equipment, led the way. We added PR to the portfolio in Q1 2025. PR is focused solely on the Delaware Basin of West Texas and southwestern New Mexico—the most prolific oil-producing region in the US. The founders and co-CEOs, who also have large ownership interests in the business, have sought to build a business that can produce substantial free cash flow, return capital to shareholders and generate attractive equity returns across varied commodity price environments. To achieve these goals, PR has pursued best-in-class operations and responsible capital stewardship by thoughtfully acquiring assets it believes are undervalued and divesting acreage it believes would be better in someone else’s hands, while meaningfully returning capital to shareholders in the form of dividends. We always seek to align ourselves with shareholder-oriented management teams, but we believe this is even more critical when investing in mid-sized energy companies given their dependence on underlying commodity prices, minimal diversification by business and geography, and the sector’s general predilection for reinvesting capital for growth rather than returns.”
Permian Resources Corporation (NYSE:PR) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 56 hedge fund portfolios held Permian Resources Corporation (NYSE:PR) at the end of the first quarter, the same as in the previous quarter. While we acknowledge the risk and potential of Permian Resources Corporation (NYSE:PR) 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 Permian Resources Corporation (NYSE:PR) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Permian Resources Corporation (NYSE:PR) and shared TimesSquare Capital U.S. Mid Cap Growth Strategy’s insights 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.
