Merion Road Capital Management’s Q2 2026 Investor Letter

Merion Road Capital Management, an investment advisor, released its Q2 2026 Investor Letter. Merion Road’s long-only large-cap portfolio increased 3.9% in the quarter, with YTD performance remaining flat. Despite underperforming the S&P, the strategy focuses on established industrial companies with strong growth potential and attractive cash flow multiples, avoiding trendy sectors like AI. However, its Merion Road Small Cap Fund excelled, up +16.6% this quarter and over 20% year-to-date, driven by gains from long-term holdings and strong performance from Frequency Electronics, despite some losses from speculative positions and ETF hedges. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.

A copy of Merion Road Capital Management’s Q2 2026 investor letter can be downloaded here.