Wasatch Global Investors, an asset management company, released its “Small Cap Growth Strategy” Q1 2026 investor letter. A copy can be downloaded here. The Wasatch Small Cap Growth Strategy lagged the benchmark, Russell 2000 Growth Index, in the quarter, which returned -2.81%. U.S. small-cap stocks were volatile in the quarter, due to shifting investor sentiment. Enthusiasm for artificial intelligence continued to support infrastructure buildout companies, but it triggered sell-offs in stocks of industries deemed vulnerable to AI disruption. Geopolitical tensions further contributed to the market swings. In this volatile environment, the firm remains focused on identifying companies with sustainable competitive advantages. In addition, you can check the Fund’s top 5 holdings for its best picks for 2026.
In its first-quarter 2026 investor letter, Wasatch Small Cap Growth Strategy highlighted Camtek Ltd. (NASDAQ:CAMT). Camtek Ltd. (NASDAQ:CAMT) is an Israeli-based semiconductor equipment company. On June 18, 2026, Camtek Ltd. (NASDAQ:CAMT) closed at $195.16 per share. One-month return of Camtek Ltd. (NASDAQ:CAMT) was 16.60%, and its shares gained 163.91% over the past 52 weeks. Camtek Ltd. (NASDAQ:CAMT) has a market capitalization of $8.99 billion.
Wasatch Small Cap Growth Strategy stated the following regarding Camtek Ltd. (NASDAQ:CAMT) in its Q1 2026 investor letter:
“Nova Ltd. (NVMI) and Camtek Ltd. (NASDAQ:CAMT) were two of the largest contributors to performance during the quarter. Both companies provide equipment used in semiconductor manufacturing to improve chip performance and reduce defects. AI-driven semiconductor demand contributed to strong returns for both companies during the quarter, extending the momentum seen over the past year.”
Camtek Ltd. (NASDAQ:CAMT) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 18 hedge fund portfolios held Camtek Ltd. (NASDAQ:CAMT) at the end of the first quarter, up from 14 in the previous quarter. In Q1 2026, Camtek Ltd.’s (NASDAQ:CAMT) revenue reached $121.7 million, slightly above the first quarter of 2025. While we acknowledge the risk and potential of Camtek Ltd. (NASDAQ:CAMT) 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 CAMTEK LTD. (NASDAQ:CAMT) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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.
