Brown Advisory, an investment management company, released its “Brown Advisory Large-Cap Growth Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy returned -0.88% (net) during the third quarter, underperforming the benchmark, the Russell 1000 Growth Index. Even though the portfolio has significant exposure to AI, its underweight to the most speculative momentum-driven parts of the trade was a headwind to performance. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, Brown Advisory Large-Cap Growth Strategy highlighted stocks such as The Trade Desk, Inc. (NASDAQ:TTD). Headquartered in Ventura, California, The Trade Desk, Inc. (NASDAQ:TTD) is a technology company that offers a self-service cloud-based ad-buying platform. The one-month return of The Trade Desk, Inc. (NASDAQ:TTD) was -16.25%, and its shares lost 71.36% of their value over the last 52 weeks. On December 02, 2025, The Trade Desk, Inc. (NASDAQ:TTD) stock closed at $39.95 per share, with a market capitalization of $19.533 billion.
Brown Advisory Large-Cap Growth Strategy stated the following regarding The Trade Desk, Inc. (NASDAQ:TTD) in its third quarter 2025 investor letter:
“The Trade Desk, Inc. (NASDAQ:TTD), one of the largest independent demand-side advertising platforms globally, reported quarterly results that were slightly ahead of consensus. However, third-quarter guidance came in line with consensus expectations, disappointing investors—especially in contrast to strong results from peers like Meta, Google, and Amazon. Early-year performance was impacted by a sales reorganization and slower-than-consensus expected adoption of its new AI-powered platform, Kokai. The company has since transitioned 75% of its customers to Kokai, with full adoption expected by year-end. Customers using Kokai are seeing improved return on investment (ROI) through deeper data integration, driving increased ad spend. We believe The Trade Desk remains well-positioned for long-term growth in digital advertising.”
The Trade Desk, Inc. (NASDAQ:TTD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held The Trade Desk, Inc. (NASDAQ:TTD) at the end of the third quarter, which was 60 in the previous quarter. In the third quarter of 2025, The Trade Desk, Inc. (NASDAQ:TTD) reported revenue of $739 million, representing an 18% year-over-year growth. While we acknowledge the risk and potential of The Trade Desk, Inc. (NASDAQ:TTD) 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 Trade Desk, Inc. (NASDAQ:TTD) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered The Trade Desk, Inc. (NASDAQ:TTD) and shared the list of under-the-radar stocks with massive upside heading into 2026. In addition, please check out our hedge fund investor letters Q3 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.
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