Carillon Tower Advisers, an investment management company, released its first-quarter 2026 investor letter for the “Carillon Eagle Small Cap Growth Fund”. A copy of the letter can be downloaded here. Small-cap stocks delivered mixed results in the quarter as the market favored value stocks over growth. The Russell 2000 Growth Index fell 2.82% in the quarter, while the Russell 2000® Value Index increased 4.96%. The first quarter saw equity market volatility due to Iran strikes, boosting energy prices. The firm is optimistic that the turbulence in the market will be short-lived, with improved valuations and potential positive developments from de-escalation in the Middle East. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Carillon Eagle Small Cap Growth Fund highlighted Powell Industries, Inc. (NASDAQ:POWL) as a leading contributor. Powell Industries, Inc. (NASDAQ:POWL) is an industrial company that designs, develops, manufactures, sells, and services custom-engineered equipment and systems. On June 24, 2026, Powell Industries, Inc. (NASDAQ:POWL) closed at $294.49 per share. One-month return of Powell Industries, Inc. (NASDAQ:POWL) was 1.93%, and its shares gained 343.13% over the past 52 weeks. Powell Industries, Inc. (NASDAQ:POWL) has a market capitalization of $10.73 billion.
Carillon Eagle Small Cap Growth Fund stated the following regarding Powell Industries, Inc. (NASDAQ:POWL) in its Q1 2026 investor letter:
“Powell Industries, Inc. (NASDAQ:POWL), a provider of custom engineered electrical equipment and systems, was a notable strong performer. The company secured several large data center wins, complementing a steady stream of utility related awards in recent periods. Powell is well positioned to benefit from ongoing liquefied natural gas (LNG) export infrastructure development along the Gulf Coast. Management announced plans to expand production capacity, signaling confidence in a meaningful ramp-up in demand and providing increased visibility into future growth.”
Powell Industries, Inc. (NASDAQ:POWL) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 40 hedge fund portfolios held Powell Industries, Inc. (NASDAQ:POWL) at the end of the first quarter, up from 30 in the previous quarter. While we acknowledge the risk and potential of Powell Industries, Inc. (NASDAQ:POWL) 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 Powell Industries, Inc. (NASDAQ:POWL) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Powell Industries, Inc. (NASDAQ:POWL) and shared Polen Capital’s views on the company. 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.
