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 International Business Machines Corporation (NYSE:IBM). International Business Machines Corporation (NYSE:IBM) is a leading technology company offering integrated solutions and services. On May 21, 2026, International Business Machines Corporation (NYSE:IBM) closed at $252.97 per share. One-month return of International Business Machines Corporation (NYSE:IBM) was 9.05%, and its shares lost 2.19% over the past 52 weeks. International Business Machines Corporation (NYSE:IBM) has a market capitalization of $237.76 billion.
Carillon Eagle Growth & Income Fund stated the following regarding International Business Machines Corporation (NYSE:IBM) in its Q1 2026 investor letter:
“International Business Machines Corporation (NYSE:IBM) shares pulled back as a result of weaker than expected quarterly earnings. Revenue growth in the key software business did not meet elevated expectations. We believe that IBM is key in the AI marketplace, with good prospects for consistent growth over the next several years.”
International Business Machines Corporation (NYSE:IBM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 57 hedge fund portfolios held International Business Machines Corporation (NYSE:IBM) at the end of the fourth quarter, up from 56 in the previous quarter. While we acknowledge the risk and potential of International Business Machines Corporation (NYSE:IBM) 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 International Business Machines Corporation (NYSE:IBM) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered International Business Machines Corporation (NYSE:IBM) and shared the list of best “Dogs of the Dow” stocks to buy for the rest of 2026. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.
Disclosure: None. This article is originally published at Insider Monkey.
