Polen Capital, an investment management company, released its second-quarter 2026 investor letter for “Polen 5Perspectives Small Growth Strategy”. A copy of the letter can be downloaded here. Polen 5Perspectives Small Growth Composite Portfolio returned 33.22% gross and 32.83% net of fees, respectively, in the second quarter of 2026, compared to the 25.71% return of the Russell 2000 Growth Index. It was an outstanding quarter for small cap stocks, defying market concerns around economic growth, trade policy, and the durability of AI investment. Ongoing debate about AI capital spending was moderated by positive announcements from hyperscalers and enterprise customers, improving investors’ confidence and increasing spending growth. The demand to build AI infrastructure is rising, impacting a broad range of companies positively, across power generation and data centers. In addition, please check the Strategy’s top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Polen 5Perspectives Small Growth Strategy highlighted Vicor Corporation (NASDAQ:VICR). Vicor Corporation (NASDAQ:VICR) is a modular power components and power systems manufacturer for converting electrical power for use in electrically powered devices. On July 16, 2026, Vicor Corporation (NASDAQ:VICR) closed at $230.41 per share, reflecting a market capitalization of $10.50 billion. Vicor Corporation (NASDAQ:VICR) posted a one-month return of -30.47%, while its shares gained 384.97% over the past 52 weeks.
Polen 5Perspectives Small Growth Strategy stated the following regarding Vicor Corporation (NASDAQ:VICR) in its Q2 2026 investor update:
“The top contributors to the Portfolio’s relative performance in the quarter were Bloom Energy, DigitalOcean Holdings, and Vicor Corporation (NASDAQ:VICR). Vicor is a provider of high-performance power modules and power delivery solutions that enable more efficient power conversion across AI infrastructure, data centers, aerospace, and industrial applications. As AI-related computing demand continues to increase, the need for more efficient power delivery has become increasingly important, positioning Vicor to potentially benefit from this long-duration secular growth theme. Shares outperformed during the quarter as investors grew more confident in the company’s role within next-generation AI infrastructure and the durability of spending across hyperscale data center deployments.”
Vicor Corporation (NASDAQ:VICR) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 42 hedge fund portfolios held Vicor Corporation (NASDAQ:VICR) at the end of the first quarter, up from 29 in the previous quarter. While we acknowledge the risk and potential of Vicor Corporation (NASDAQ:VICR) 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 Vicor Corporation (NASDAQ:VICR) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Vicor Corporation (NASDAQ:VICR) and shared the list of best electrical equipment stocks to buy. 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.
