Cullen Capital Management, LLC, operating under the name Schafer Cullen Capital Management, Inc. (SCCM), has released its “SCCM Enhanced Equity Income Fund” third-quarter investor letter. A copy of the letter can be downloaded here. US equities continued to rise in the third quarter, with the S&P 500 returning 8.1% while the Russell 1000 Value was up 5.3%. The composite returned 0.9% (net) in the quarter, compared to a 3.5% return for the S&P 500 Buy-Write Index (BXM) and a 2.5% return for the SPDR Bloomberg High Yield Bond ETF (JNK). In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.
In its third-quarter 2025 investor letter, SCCM Enhanced Equity Income Fund highlighted stocks such as Smurfit Westrock Plc (NYSE:SW). Smurfit Westrock Plc (NYSE:SW) is a containerboard, corrugated containers, and other paper-based packaging products manufacturer. The one-month return for Smurfit Westrock Plc (NYSE:SW) was 1.79%, and its shares gained 33.25% over the last 52 weeks. On December 04, 2025, Smurfit Westrock Plc (NYSE:SW) stock closed at $36.45 per share, with a market capitalization of $19.034 billion.
SCCM Enhanced Equity Income Fund stated the following regarding Smurfit Westrock Plc (NYSE:SW) in its third quarter 2025 investor letter:
“Smurfit Westrock Plc (NYSE:SW) was purchased in the EEI strategy during the quarter. The company is well positioned as a global leader in paper-based packaging following the merger of Smurfit Kappa and WestRock in 2024. The combined company benefits from scale across North America, Europe, and Latin America, which provides both market presence and cost advantages. A central catalyst for the investment case is the ongoing integration of the two businesses, with management already demonstrating early progress on synergies that should drive efficiency and earnings growth. Another important driver is the opportunity for margin expansion, as Smurfit WestRock seeks to close the gap with US peers through better pricing discipline and operational improvements. The shift to a regional structure is also a catalyst, since it gives management clearer accountability and the ability to tailor strategies to local demand and pricing conditions. In addition, the company is well positioned to benefit from the secular growth in e commerce, which drives box demand, and from rising consumer and regulatory interest in sustainable packaging solutions. A further catalyst is the potential for commercial improvements beyond cost synergies, as the business leverages its scale and customer relationships to enhance pricing power and mix. Investor sentiment could improve as Smurfit WestRock demonstrates consistent execution on these initiatives, reinforcing confidence in management’s ability to deliver. Over time, the narrative should shift from integration to growth, as the company capitalizes on its global footprint and innovation pipeline. Smurfit WestRock also has the potential to generate stronger cash flows as capex moderates, opening the door for increased shareholder returns. A rerating of the shares is likely if the company narrows its valuation gap to peers while delivering on execution milestones.”
Smurfit Westrock Plc (NYSE:SW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 34 hedge fund portfolios held Smurfit Westrock Plc (NYSE:SW) at the end of the third quarter, which was 42 in the previous quarter. While we acknowledge the risk and potential of Smurfit Westrock Plc (NYSE:SW) 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 Smurfit Westrock Plc (NYSE:SW) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Smurfit Westrock Plc (NYSE:SW) and shared the list of best falling stocks to buy according to Wall Street analysts. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
