IDEXX Laboratories (IDXX) Positioned to Benefit from Growing Aging Pet Market

Baron Funds, an investment management company, released its fourth-quarter investor letter for the “Baron Focused Growth Fund”. A copy of the letter can be downloaded here. The Fund delivered strong results in the fourth quarter, appreciating 12.34% (Institutional Shares) compared to the Russell 2500 Growth Index’s (the Benchmark) 0.33 % return. The Fund returned 22.26% in 2025 compared to 10.31% return for the index. The firm highlighted its continued faith in its portfolio companies in the letter. As of December 31, 2025, the Fund’s top 10 positions hold 60.1% of net assets. Please review the Fund’s top five holdings to gain insights into their key selections for 2025.

In its fourth-quarter 2025 investor letter, Baron Focused Growth Fund highlighted stocks like IDEXX Laboratories, Inc. (NASDAQ:IDXX). IDEXX Laboratories, Inc. (NASDAQ:IDXX) is a US-based healthcare company that manufactures products for the companion animal veterinary, livestock and poultry, dairy, and water testing industries. On February 4, 2026, IDEXX Laboratories, Inc. (NASDAQ:IDXX) stock closed at $642.94 per share. IDEXX Laboratories, Inc. (NASDAQ:IDXX) delivered a -9.75% return in the past month, and its shares are up 39.60% over the past twelve months. IDEXX Laboratories, Inc. (NASDAQ:IDXX) has a market capitalization of $51.438 billion.

Baron Focused Growth Fund stated the following regarding IDEXX Laboratories, Inc. (NASDAQ:IDXX) in its fourth quarter 2025 investor letter:

“In Health Care, we invest in competitively advantaged companies that are leaders in their industries such as IDEXX Laboratories, Inc. (NASDAQ:IDXX), the leading provider of diagnostics to the veterinary industry and who is benefiting from the increase in pets that people acquired during the COVID pandemic, especially as these pets age. The Fund is further diversified by investments in businesses at different stages of growth and development.”

Jim Cramer on IDEXX Laboratories, Inc. (IDXX): “I Just Can't Get My Arms Around It”

IDEXX Laboratories, Inc. (NASDAQ:IDXX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 55 hedge fund portfolios held IDEXX Laboratories, Inc. (NASDAQ:IDXX) at the end of the third quarter, up from 48 in the previous quarter. While we acknowledge the risk and potential of IDEXX Laboratories, Inc. (NASDAQ:IDXX) 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 IDEXX Laboratories, Inc. (NASDAQ:IDXX) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered IDEXX Laboratories, Inc. (NASDAQ:IDXX) and shared a list of best healthcare stocks to buy for 2026. 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.