Long Cast Advisors, an independent registered investment adviser, released its Q1 2026 investor letter. A copy of the letter is available to download here. For 1Q26, the portfolio’s cumulative net returns were flat, aligning with small and micro-cap market indexes, including the Russell 2000 and iShares ETFs. Geopolitical and economic factors, including the Iran war, inflation, and market herding behavior around AI expectations, influenced these returns. Since its inception in November 2015, LCA has achieved a cumulative 270% net return, or 13% CAGR, surpassing the indices. Founded in 2015, Long Cast focuses on long-term investing in well-researched small- and micro-cap companies, aiming for 15% annualized returns. At the end of the quarter, LCA’s top five positions made up 62% of the portfolio. In addition, please check the firm’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Long Cast Advisors highlighted Mama’s Creations, Inc. (NASDAQ:MAMA) as a leading contributor. Mama’s Creations, Inc. (NASDAQ:MAMA) is a food company that manufactures and markets fresh deli-prepared foods. On June 1, 2026, Mama’s Creations, Inc. (NASDAQ:MAMA) closed at $14.25 per share. One-month return of Mama’s Creations, Inc. (NASDAQ:MAMA) was -2.76%, and its shares gained 2.83% over the past 52 weeks. Mama’s Creations, Inc. (NASDAQ:MAMA) has a market capitalization of $580.07 million.
Long Cast Advisors stated the following regarding Mama’s Creations, Inc. (NASDAQ:MAMA) in its Q1 2026 investor letter:
PDEX, Mama’s Creations, Inc. (NASDAQ:MAMA) and MPTI were largest contributors in the quarter. MAMA ($2.95 avg price). As you know, I spent an earlier part of my pre-finance career working for a private investigator doing background research on management teams, typically on behalf of a lending or investment office. Its work that still informs my investment process today because I think management due diligence provides a strong signal. I know other investors who prefer to never meet management teams, because they want to own businesses any idiot can run and / or they want to avoid biases of thinking they understand how people are likely to operate. The varying perspectives is part of what makes markets great.
I mention all this to re-emphasize my perspective on the importance of management in smaller companies. Exceptionally run companies are rare and unusual, and we should want to own rare and unusual things because they can retain value and are hard to replicate. Even exceptional companies have dysfunction that an outside investor will never see. On the spectrum of dysfunction, the average small public company is probably mediocre, often through neglect or a lack of awareness of alternatives, which often starts at the top. And even companies that make effortful intentions towards operating improvement and capital allocation can fail because it’s hard and complicated. All of this is similar to the range of sports teams and their outcomes and the observations one can draw on consistency and process. I cannot imagine rooting for a sports team and not thinking about how roster construction and coaching decisions influence the players and team…” (Click here to read the full text)
Mama’s Creations, Inc. (NASDAQ:MAMA) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 17 hedge fund portfolios held Mama’s Creations, Inc. (NASDAQ:MAMA) at the end of the first quarter, the same as in the previous quarter. While we acknowledge the risk and potential of Mama’s Creations, Inc. (NASDAQ:MAMA) 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 Mama’s Creations, Inc. (NASDAQ:MAMA) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Mama’s Creations, Inc. (NASDAQ:MAMA) and shared Conestoga Capital Advisors’ 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.
