Sands Capital Management, LLC‘s Technology Innovators Fund released its Q4 2025 investor letter for “Technology Innovators Fund”. A copy of the letter can be downloaded here. The Fund delivered mixed performance during the fourth quarter of 2025, as market returns were increasingly driven by a narrow group of large-cap growth stocks, with the portfolio’s top ten holdings accounting for roughly 59% of assets, while several high-valuation innovation names faced pressure from slowing momentum and investor risk aversion. The fund’s results reflected stock-specific challenges rather than broad macroeconomic shocks, with weaker performance in certain emerging technology holdings offset by strength in select platform and infrastructure businesses. During the quarter, the portfolio declined 6.3% on a quarter-to-date basis, and the fund generated a 14.7% return over the one year, reflecting stock-specific challenges rather than broad macroeconomic shocks, with weaker performance in certain emerging technology holdings offset by strength in select platform and infrastructure businesses. Management emphasized its long-term investment horizon, noting an average annual portfolio turnover of 21%, and stated that many portfolio companies continued to generate solid full-year earnings growth in 2025, supported by durable revenue models tied to artificial intelligence, cloud computing, and digital transformation, even as enthusiasm for speculative growth faded late in the quarter. In addition, please check the Fund’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Sands Capital Management Technology Innovators Fund highlighted stocks like monday.com Ltd. (NASDAQ:MNDY). monday.com Ltd. (NASDAQ:MNDY) is a work management software company that helps businesses streamline projects and team collaboration through its customizable cloud-based platform. The one-month return of monday.com Ltd. (NASDAQ:MNDY) was -42.87% while its shares traded between $68.68 and $323.72 over the last 52 weeks. On February 13, 2026, monday.com Ltd. (NASDAQ:MNDY) stock closed at approximately $72.38 per share, with a market capitalization of about $3.73 billion.
Sands Capital Technology Innovators Fund stated the following regarding monday.com Ltd. (NASDAQ:MNDY) in its Q4 2025 investor letter:
We exited our position in monday.com Ltd. (NASDAQ:MNDY) to reallocate capital toward businesses where we have higher conviction in their ability to generate long-term, above-average growth. Since our initial investment, monday.com shares have underperformed due to execution challenges, a difficult operating environment in monday’s end market (smallto-medium-sized businesses), and weakening investor sentiment for application software at large, which has weighed on sentiment towards the business.
monday.com Ltd. (NASDAQ:MNDY) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 55 hedge fund portfolios held monday.com Ltd. (NASDAQ:MNDY) at the end of the third quarter, which was 67 in the previous quarter. While we acknowledge the risk and potential of monday.com Ltd. (NASDAQ:MNDY) 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 monday.com Ltd. (NASDAQ:MNDY) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered monday.com Ltd. (NASDAQ:MNDY) and shared the list of best strong buy tech stocks to invest in. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.
READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.
Disclosure: None. This article is originally published at Insider Monkey.
