US-based investment company McIntyre Partnerships delivered flat performance in H1 2026, returning 0% gross and -1% net compared to the Russell 2000 Value Index’s 23% return. A copy of the letter can be downloaded here. The second quarter results were a complete reversal of Q1 results, with the portfolio appreciating 23.0% (gross) and 23.3% (net), outperforming the index’s 17.3%. The overall market surge contributed to this performance, alongside several positive developments related to the firm’s holdings. Since inception, the fund has returned ~16% gross and ~12% net per annum, surpassing the benchmark’s return of ~9% per annum. The portfolio is highly concentrated, with QDEL as the largest holding, creating volatility. Despite mixed results, the firm remains confident in the portfolio, particularly with QDEL viewed as a key investment opportunity. Potential for further growth is expected from several large investments with promising catalysts. In addition, you can check the Strategy’s top 5 holdings to determine its best picks for 2026.
In its Q2 2026 investor letter, McIntyre Partnerships highlighted Star Holdings (NASDAQ:STHO). Star Holdings (NASDAQ:STHO) is a real estate company that engages in non-ground lease-related businesses. On August 7, 2026, Star Holdings (NASDAQ:STHO) closed at $9.64 per share. The one-month return of Star Holdings (NASDAQ:STHO) was 5.47%, and its shares gained 32.97% over the past 52 weeks. Star Holdings (NASDAQ:STHO) has a market capitalization of $116.54 million.
McIntyre Partnerships stated the following regarding Star Holdings (NASDAQ:STHO) in its Q2 2026 investor letter:
“2026 has been a decent year for Star Holdings (NASDAQ:STHO), with shares rallying ~14% YTD. However, it has been a substantially better fundamental year, with SAFE rallying ~20%. For perspective, based solely on SAFE’s share price appreciation, STHO would have appreciated approximately 36%. Further, STHO has made significant progress in unwinding its legacy holdings. I estimate STHO’s current NAV is ~$24.50, a 160% premium, and that the company will be able to return significant capital in 2027, if not sooner.
Regarding SAFE, Q2 marked STHO’s best fundamental performance since we began purchasing STHO, with origination volumes returning to a four-year high and the company implementing its first share buyback, retiring ~2% of shares outstanding. Most importantly, SAFE sold a portfolio at a ~4.1% cap rate, which compares favorably to SAFE’s current implied cap rate of ~5.3%. Applying a 4.1% cap rate, SAFE would be valued at $37/sh. versus its $16 trading price. While the remaining properties could warrant a lower multiple, if SAFE were to close its valuation gap, our STHO investment would benefit substantially.”
Star Holdings (NASDAQ:STHO) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 14 hedge fund portfolios held Star Holdings (NASDAQ:STHO) at the end of the first quarter, compared to 15 in the previous quarter. While we acknowledge the risk and potential of Star Holdings (NASDAQ:STHO) 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 Star Holdings (NASDAQ:STHO) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Star Holdings (NASDAQ:STHO) by sharing McIntyre Partnerships’ views from the previous quarter. In addition, please check out our hedge fund investor letters Q2 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.
