Brown Advisory, an investment management company, released its “Brown Large-Cap Growth Strategy” for the first-quarter 2026 investor letter. A copy of the letter is available to download here. The Brown Advisory Large-Cap Growth Strategy experienced a decline in the first quarter of 2026, modestly trailing the Russell 1000 Growth Index. Despite negative absolute returns amidst volatility, relative performance improved significantly as the quarter progressed. Initial pressures stemmed from weaknesses in the software sector, affected by concerns over AI disrupting traditional models. Conversely, sectors like Industrials and Consumer Discretionary positively contributed to performance, while Information Technology and Health Care were the largest detractors. The strategy’s ability to outperform in a down market indicates the quality of holdings. As market leadership broadens, the firm’s focus remains on maintaining a diversified portfolio of high-quality growth companies, aiming for strong long-term results. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, Brown Advisory Large-Cap Growth Strategy highlighted Trane Technologies plc (NYSE:TT). Trane Technologies plc (NYSE:TT) provides solutions for heating, ventilation, air conditioning, and transport refrigeration. On July 2, 2026, Trane Technologies plc (NYSE:TT) closed at $478.13 per share, reflecting a market capitalization of $105.7 billion. Trane Technologies plc (NYSE:TT) posted a one-month return of 5.97%, while its shares gained 10.68% over the past 52 weeks.
Brown Advisory Large-Cap Growth Strategy stated the following regarding Trane Technologies plc (NYSE:TT) in its Q1 2026 investor letter:
“Industrials was the strongest relative contributor during the quarter, driven by strong performance from Generac Holdings and Trane Technologies plc (NYSE:TT). Trane Technologies also performed well after reporting strong results, supported by robust commercial HVAC demand and a healthy backlog, which reinforced confidence in its outlook and competitive positioning.”
Trane Technologies plc (NYSE:TT) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 68 hedge fund portfolios held Trane Technologies plc (NYSE:TT) at the end of the first quarter, up from 66 in the previous quarter. While we acknowledge the risk and potential of Trane Technologies plc (NYSE:TT) 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 Trane Technologies plc (NYSE:TT) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Trane Technologies plc (NYSE:TT) and shared the list of best HVAC stocks to buy for AI server heat mitigation. 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.
