Brown Advisory, an investment management company, released its “Brown Large-Cap Growth Strategy” for the first-quarter 2026 investor letter. A copy of the letter is available to download here. The Brown Advisory Large-Cap Growth Strategy experienced a decline in the first quarter of 2026, modestly trailing the Russell 1000 Growth Index. Despite negative absolute returns amidst volatility, relative performance improved significantly as the quarter progressed. Initial pressures stemmed from weaknesses in the software sector, affected by concerns over AI disrupting traditional models. Conversely, sectors like Industrials and Consumer Discretionary positively contributed to performance, while Information Technology and Health Care were the largest detractors. The strategy’s ability to outperform in a down market indicates the quality of holdings. As market leadership broadens, the firm’s focus remains on maintaining a diversified portfolio of high-quality growth companies, aiming for strong long-term results. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, Brown Advisory Large-Cap Growth Strategy highlighted Intuitive Surgical, Inc. (NASDAQ:ISRG). Intuitive Surgical, Inc. (NASDAQ:ISRG) is a leader in robotic-assisted surgery that develops, manufactures, and markets products for improving the quality of and access to minimally invasive care. On July 1, 2026, Intuitive Surgical, Inc. (NASDAQ:ISRG) closed at $402.38 per share. One-month return of Intuitive Surgical, Inc. (NASDAQ:ISRG) was -3.93%, and its shares lost 26.10% over the past 52 weeks. Intuitive Surgical, Inc. (NASDAQ:ISRG) has a market capitalization of $142.51 billion.
Brown Advisory Large-Cap Growth Strategy stated the following regarding Intuitive Surgical, Inc. (NASDAQ:ISRG) in its Q1 2026 investor letter:
“Intuitive Surgical, Inc. (NASDAQ:ISRG) Designs, manufactures and markets robotic surgical systems. Intuitive Surgical, Inc. (ISRG) was a bottom contributor during the quarter following a modestly lower-than-consensus expected outlook for procedure growth. We believe the company continues to deliver solid operational performance, with healthy procedure volumes and system placements. However, the updated outlook, combined with broader macro uncertainty, weighed on sentiment during the period. We remain confident in Intuitive Surgical’s long-term growth opportunity and leadership in robotic surgery.”
Intuitive Surgical, Inc. (NASDAQ:ISRG) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 103 hedge fund portfolios held Intuitive Surgical, Inc. (NASDAQ:ISRG) at the end of the first quarter, compared to 109 in the previous quarter. While we acknowledge the risk and potential of Intuitive Surgical, Inc. (NASDAQ:ISRG) 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 Intuitive Surgical, Inc. (NASDAQ:ISRG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Intuitive Surgical, Inc. (NASDAQ:ISRG) and shared the list of top large-cap stocks to invest in at 52-week lows. 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.
