Merit Medical Systems (MMSI) Fell Due to Tariff and Trade Policy Concerns

Loomis Sayles, an investment management company, released its “Small Cap Growth Fund” investor letter for the second quarter of 2025. A copy of the letter can be downloaded here. The second quarter started with significant volatility but concluded at an all-time high for the S&P 500. The fund returned 9.37%, underperforming the Russell 2000 Growth Index’s 11.97% return due to security selection within the information technology and financial sectors.  In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Loomis Sayles Small Cap Growth Fund highlighted stocks such as Merit Medical Systems, Inc. (NASDAQ:MMSI). Merit Medical Systems, Inc. (NASDAQ:MMSI) is a single-use medical products manufacturer. The one-month return of Merit Medical Systems, Inc. (NASDAQ:MMSI) was -10.83%, and its shares lost 17.17% of their value over the last 52 weeks. On September 29, 2025, Merit Medical Systems, Inc. (NASDAQ:MMSI) stock closed at $80.86 per share, with a market capitalization of $4.788 billion.

Loomis Sayles Small Cap Growth Fund stated the following regarding Merit Medical Systems, Inc. (NASDAQ:MMSI) in its second quarter 2025 investor letter:

“Merit Medical Systems, Inc. (NASDAQ:MMSI) is a medical device manufacturer that is focused on interventional cardiology and radiology. Tariff and trade policy concerns during the quarter negatively impacted the stock given that approximately 40% of the company’s revenues are ex-US and the fact that the company has been shifting more manufacturing to lower cost jurisdictions outside the US.”

Merit Medical Systems, Inc. (NASDAQ:MMSI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 26 hedge fund portfolios held Merit Medical Systems, Inc. (NASDAQ:MMSI) at the end of the second quarter, up from 24 in the previous quarter. In the second quarter of 2025, Merit Medical Systems, Inc. (NASDAQ:MMSI) reported $382.5 million in revenues, up 13% year-over-year on a GAAP basis and up 12.5% year-over-year on a constant currency basis. While we acknowledge the risk and potential of Merit Medical Systems, Inc. (NASDAQ:MMSI) 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 Merit Medical Systems, Inc. (NASDAQ:MMSI) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Merit Medical Systems, Inc. (NASDAQ:MMSI) and shared Carillon Eagle Small Cap Growth Fund’s views on the company. In addition, please check out our hedge fund investor letters Q2 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.