Carillon Tower Advisers, an investment management company, released its first-quarter 2026 investor letter for the “Carillon Eagle Growth & Income Fund”. A copy of the letter is available to download here. The first quarter of 2026 was volatile due to market shifts, including increased geopolitical risk and inflation fears from rising energy prices. The S&P declined 4.33%. Early in the quarter, value outperformed growth. Inflation worries impacted financial and tech sectors in the quarter. Despite concerns, economic data and corporate earnings stayed strong. Forward S&P 500 earnings are projected to increase 15% in 2026, with the market trading at a PE ratio below 20x for the first time since 2023. Forecasting the macroeconomy is challenging, but the Fund focuses on financially strong companies with solid earnings growth that succeed in the long term despite macro issues. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Carillon Eagle Growth & Income Fund highlighted stocks like Broadcom Inc. (NASDAQ:AVGO). Broadcom Inc. (NASDAQ:AVGO) is a leading American company that designs and develops various semiconductor devices and infrastructure software solutions. On May 21, 2026, Broadcom Inc. (NASDAQ:AVGO) stock closed at $414.57 per share. One-month return of Broadcom Inc. (NASDAQ:AVGO) was -1.94%, and its shares gained 81.26% over the past 52 weeks. Broadcom Inc. (NASDAQ:AVGO) has a market capitalization of $1.96 trillion.
Carillon Eagle Growth & Income Fund stated the following regarding Broadcom Inc. (NASDAQ:AVGO) in its Q1 2026 investor letter:
“Broadcom Inc. (NASDAQ:AVGO) was weak for the quarter as higher inflation led investors to fear a slowdown in hyperscaler spending. This led to lower spending on custom silicon, the main reason for Broadcom’s strength over the last couple of years. We believe Broadcom still has some of the best tech in the space and will be one of the biggest winners from AI.”
Broadcom Inc. (NASDAQ:AVGO) ranks 8th on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 202 hedge fund portfolios held Broadcom Inc. (NASDAQ:AVGO) at the end of the fourth quarter, up from 183 in the previous quarter. While we acknowledge the risk and potential of Broadcom Inc. (NASDAQ:AVGO) 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 Broadcom Inc. (NASDAQ:AVGO) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Broadcom Inc. (NASDAQ:AVGO) and shared the list of best stocks to buy according to Goldman Sachs’ “Conviction List”. 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.
