What Makes Amphenol (APH) a Quality Compounder?

Qualivian Investment Partners, an investment partnership focused on long-only public equities, released its Q3 2025 investor letter. A copy of the letter can be downloaded here. The fund outperformed the iShares MSCI USA Quality Factor ETF (QUAL) by 69.2% and 61.3% on a gross and net basis, since inception through September 30, 2025. It also exceeded the S&P 500 by 32.7% and 26.1% respectively, on a gross and net basis. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Qualivian Investment Partners highlighted stocks such as Amphenol Corporation (NYSE:APH). Amphenol Corporation (NYSE:APH) designs and manufactures electrical, electronic, and fiber optic connectors. The one-month return of Amphenol Corporation (NYSE:APH) was -1.94%, and its shares gained 88.58% of their value over the last 52 weeks. On December 22, 2025, Amphenol Corporation (NYSE:APH) stock closed at $135.14 per share, with a market capitalization of $165.419 billion.

Qualivian Investment Partners stated the following regarding Amphenol Corporation (NYSE:APH) in its third quarter 2025 investor letter:

“Amphenol Corporation (NYSE:APH): The Elevator Pitch: APH is an industrial giant whose competitive moat derives from selling components that are low cost but mission critical for customers’ products to function, creating extremely high customer switching costs and pricing power. The company is a proven compounder, structurally raising its profit margins while expanding its market share through both organic growth and accretive, disciplined mergers and acquisitions (M&A).

Description: Amphenol is a global leader in the design, manufacture, and marketing of high-performance connectors, sensors, and interconnect systems. With a century-long history, the company has built one of the most diversified revenue streams in the industrial technology sector, spanning: IT and Data Communications, Mobile Devices, Industrial (heavy equipment, factory automation), Automotive, and Military/Aerospace segments…” (Click here to read the full text)

What’s Fueling Wall Street’s 90-Day Optimism on Amphenol (APH)?

Amphenol Corporation (NYSE:APH) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 89 hedge fund portfolios held Amphenol Corporation (NYSE:APH) at the end of the third quarter, which was 81 in the previous quarter. Amphenol Corporation’s (NYSE:APH) third quarter sales were up 53% in US dollars and 52% in local currencies to $6.194 billion. While we acknowledge the risk and potential of Amphenol Corporation (NYSE:APH) 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 Amphenol Corporation (NYSE:APH) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Amphenol Corporation (NYSE:APH) and shared Aoris International Fund’s views on the company. 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.