Is Equitable Holdings (EQH) an Undervalued Stock?

Diamond Hill Capital, an investment management company, released its “Large Cap Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. Markets continued their YTD rally in the third quarter of 2025, with the Russell 3000 Index gaining 8%, bringing the calendar-year returns to over 14%. The portfolio declined and underperformed the Russell 1000 Value Index in the quarter.  In addition, you can check the top 5 holdings of the fund to know its best picks in 2025.

In its third-quarter 2025 investor letter, Diamond Hill Large Cap Fund highlighted stocks such as Equitable Holdings, Inc. (NYSE:EQH). Equitable Holdings, Inc. (NYSE:EQH) is a leading diversified financial services company. The one-month return of Equitable Holdings, Inc. (NYSE:EQH) was -4.28%, and its shares lost 9.67% of their value over the last 52 weeks. On November 5, 2025, Equitable Holdings, Inc. (NYSE:EQH) stock closed at $45.22 per share, with a market capitalization of $14.584 billion.

Diamond Hill Large Cap Fund stated the following regarding Equitable Holdings, Inc. (NYSE:EQH) in its third quarter 2025 investor letter:

“Though markets have continued rising throughout the year, we have still found individual companies whose prices we believe are not reflective of their long-term growth outlooks. Accordingly, we initiated four new positions in Q3, including FedEx, Thermo Fisher Scientific, Zoetis and Equitable Holdings, Inc. (NYSE:EQH).

Equitable is transitioning from a life insurance company to a more diversified financial company, which should result in a better earnings, profitability and cash-generation profile — which we don’t believe is reflected in the current valuation.”

Equitable Holdings, Inc. (EQH): Among the Top Dividend Challengers in 2025

Equitable Holdings, Inc. (NYSE:EQH) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 42 hedge fund portfolios held Equitable Holdings, Inc. (NYSE:EQH) at the end of the second quarter, compared to 49 in the previous quarter. While we acknowledge the risk and potential of Equitable Holdings, Inc. (NYSE:EQH) 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 Equitable Holdings, Inc. (NYSE:EQH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Equitable Holdings, Inc. (NYSE:EQH) and shared The London Company Large Cap Strategy’s views on the company. In addition, please check out our hedge fund investor letters Q3 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.