The Macerich Company (MAC) Shares Traded Down Due to Concerns Over Reduced Demand

Baron Funds, an investment management company, released its “Baron Discovery Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the second quarter, the fund was up 14.76% (Institutional Shares), outperforming the 11.97% return for the Russell 2000 Growth Index. The fund was up 7.68% year-to-date, well ahead of the Index’s -0.48% return.  In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, Baron Discovery Fund highlighted stocks such as The Macerich Company (NYSE:MAC). The Macerich Company (NYSE:MAC) is a self-managed and self-administered real estate investment trust (REIT). The one-month return of The Macerich Company (NYSE:MAC) was -0.42%, and its shares gained 6.77% of their value over the last 52 weeks. On July 30, 2025, The Macerich Company (NYSE:MAC) stock closed at $16.56 per share, with a market capitalization of $4.389 billion.

Baron Discovery Fund stated the following regarding The Macerich Company (NYSE:MAC) in its second quarter 2025 investor letter:

“Shares of The Macerich Company (NYSE:MAC) underperformed during the quarter. Macerich is a REIT that owns a high-quality portfolio of mall retail real estate. Underperformance was driven by concerns that strong retail leasing demand may subside over tariff and economic related concerns.”

The Macerich Company (MAC): Among Mid-Cap Stocks Insiders Were Buying in Q1 2025

Aerial view of a regional shopping center bustling with shoppers.

The Macerich Company (NYSE:MAC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 16 hedge fund portfolios held The Macerich Company (NYSE:MAC) at the end of the first quarter, which was 20 in the previous quarter. While we acknowledge the risk and potential of The Macerich Company (NYSE:MAC) 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 The Macerich Company (NYSE:MAC) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered The Macerich Company (NYSE:MAC) and shared Baron Real Estate Fund’s views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q2 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.