Harding Loevner, an asset management company, released its “Global Equity Strategy” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. For most of the past 15 years, US equities not only outperformed but created a perception of inevitability around their outperformance. This phenomenon, termed “US exceptionalism,” highlighted exceptional earnings growth, valuations, and a concentration of returns, particularly around AI investments. With market leadership concentrated, the US index is vulnerable to limited outcomes. In contrast, the portfolio consists of a broader range of business models and growth opportunities at attractive valuations. While AI may disrupt industries, core principles of competitive advantage and long-term profitability still apply. In the fourth quarter, the Global Equity composite rose 2.0% gross of fees, underperforming the MSCI ACWI Index’s 3.4% gain. For the year, the composite advanced 13.2%, trailing the index’s 22.9% gain. In addition, please check the Strategy’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Harding Loevner Global Equity Strategy highlighted stocks like Netflix, Inc. (NASDAQ:NFLX). Netflix, Inc. (NASDAQ:NFLX) is a leading subscription-based streaming entertainment platform. On April 6, 2026, Netflix, Inc. (NASDAQ:NFLX) stock closed at $98.93 per share. One-month return of Netflix, Inc. (NASDAQ:NFLX) was 2.00%, and its shares gained 13.60% over the past twelve months. Netflix, Inc. (NASDAQ:NFLX) has a market capitalization of $418.51 billion.
Harding Loevner Global Equity Strategy stated the following regarding Netflix, Inc. (NASDAQ:NFLX) in its fourth quarter 2025 investor letter:
“In Communication Services, Netflix, Inc.’s (NASDAQ:NFLX) solid quarterly results fell short of the market’s expectations. The company’s bid to acquire Warner Bros. added pressure to the share price, compounded by concerns that the rising popularity of short form video could pull viewers away from streaming apps.”
Netflix, Inc. (NASDAQ:NFLX) ranks 13th on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 146 hedge fund portfolios held Netflix, Inc. (NASDAQ:NFLX) at the end of the fourth quarter, compared to 154 in the previous quarter. While we acknowledge the risk and potential of Netflix, Inc. (NASDAQ:NFLX) 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 Netflix, Inc. (NASDAQ:NFLX) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Netflix, Inc. (NASDAQ:NFLX) and shared Magellan Global Fund’s views on the company. In addition, please check out our hedge fund investor letters Q4 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.
