The London Company released its Q1 2026 investor letter for “The London Company Large Cap Strategy”. In early 2026, US equities declined, with the Russell 3000 falling 4% and the S&P posting losses. A copy of the letter is available to download here. The year started positively with a broad rally, but sentiment reversed in March due to the Iran conflict. Crude oil prices rose, raising inflation concerns and shifting the Fed’s outlook from rate cuts to hikes. Large-cap growth suffered double-digit losses amid weakness in Big Tech and AI concerns in software. Sector dispersion was extreme; Energy surged over 35%, while Tech fell over 9%. The London Company Large Cap portfolio returned 2.6% (2.4% net) in the quarter, outperforming the Russell 1000’s 4.2% decline, supported by stock selection and sector exposure. The strategy’s quality, high active share, and downside resilience were effective in an unsettled market. The firm views the recent setback as a pause in a multi-year cycle, not a reversal. In addition, please check the Strategy’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, The London Company Large Cap Strategy highlighted Martin Marietta Materials, Inc. (NYSE:MLM). Martin Marietta Materials, Inc. (NYSE:MLM) is a building materials company that supplies aggregates and heavy-side building materials to the construction industry. One-month return of Martin Marietta Materials, Inc. (NYSE:MLM) was -3.89%, and its shares gained 0.04% over the past 52 weeks. On June 10, 2026, Martin Marietta Materials, Inc. (NYSE:MLM) closed at $552.87 per share with a market capitalization of $33.19 billion.
The London Company Large Cap Strategy stated the following regarding Martin Marietta Materials, Inc. (NYSE:MLM) in its Q1 2026 investor letter:
“Increased: Martin Marietta Materials, Inc. (NYSE:MLM) – Addition reflects our positive view of the aggregates industry (oligopoly with pricing power), strong return on capital, and double-digit operating margins. MLM’s underappreciated network optimization initiative has delivered tangible cost-saving results. The aggregate end market backdrop remains constructive as infrastructure spending continues to benefit from the Infrastructure Investment and Jobs Act (IIJA) funding. There remains ~50% of funds still to be deployed and state DOT budgets aligned in MLM markets are growing at high-single-digit rates.”
Martin Marietta Materials, Inc. (NYSE:MLM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 65 hedge fund portfolios held Martin Marietta Materials, Inc. (NYSE:MLM) at the end of the first quarter, the same as in the previous quarter. In Q1 2026, Martin Marietta Materials, Inc. (NYSE:MLM) reported a record revenue of $1.4 billion an increase of 17% year over year. While we acknowledge the risk and potential of Martin Marietta Materials, Inc. (NYSE:MLM) 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 Martin Marietta Materials, Inc. (NYSE:MLM) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Martin Marietta Materials, Inc. (NYSE:MLM) and shared the list of best stocks to buy for global infrastructure spending. 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.
