Longleaf Partners, managed by Southeastern Asset Management, released its second-quarter 2026 investor letter for its “Small-Cap Fund”. A copy of the letter can be downloaded here. The letter states that the portfolio holdings are attractive now based on both P/V and P/FCF metrics; however, market winners have gone far higher than fair value. The Fund returned -2.47% in the quarter, underperforming the 21.49% return for the Russell 2000 Index and the 17.19% gain for the Russell 2000 Value Index. The underperformance in the quarter was driven by unexpected moves primarily in the IT and industrials sectors and market favor for speculative stocks. The Firm’s investment approach focuses on median, unweighted multiples, prioritizing growth in free cash flow per share, the potential for multiple expansion, and strategic initiatives. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Longleaf Partners Small-Cap Fund highlighted Atlanta Braves Holdings, Inc. (NASDAQ:BATRK). Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) owns and operates the Atlanta Braves Major League Baseball Club in the United States. On July 13, 2026, Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) closed at $52.56 per share, reflecting a market capitalization of $3.37 billion. Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) posted a one-month return of 1.03%, while its shares gained 13.74% over the past 52 weeks.
Longleaf Partners Small-Cap Fund stated the following regarding Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) in its Q2 2026 investor update:
“Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) – The owner of the Atlanta Braves baseball team and surrounding real estate was a contributor during the quarter. The highlight during the quarter was the sale of the Padres baseball team for a revenue multiple that implies a much higher value than what the market is ascribing to the Braves, and that is before considering the characteristics that we think make the Braves a better asset. Former Braves owner Ted Turner passed away during the quarter. The market reacted positively to this news as Braves controlling owner John Malone had previously said he would not sell the team while Ted was alive. Operations at “The Battery,” their real estate development, remain strong, and the team is off to a good start this season with one of the best records in the league.”
Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 45 hedge fund portfolios held Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) at the end of the first quarter, the same as in the previous quarter. In Q1 2026, Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) reported revenue of $72 million, up from $47.2 million in the first quarter of 2025. While we acknowledge the risk and potential of Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) 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 Atlanta Braves Holdings, Inc. (NASDAQ:BATRK) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In addition, please check out our hedge fund investor letters Q2 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.
