Soumya Eswaran
3 min read
In This Article:
Hardman Johnston Global Advisors, an investment management company, released its “Hardman Johnston Global Equity Strategy” first quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy returned 0.43%, net of fees, in the quarter compared to -1.32% for the MSCI AC World Net Index. The Portfolio experienced a solid quarter relative to the market, despite a volatile environment. Industrials and Consumer Discretionary were the top sector contributors, while Information Technology and Energy detracted. Europe was the top contributor from a regional standpoint, while emerging markets detracted. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its first-quarter 2025 investor letter, Hardman Johnston Global Equity Strategy highlighted stocks such as Lennar Corporation (NYSE:LEN). Lennar Corporation (NYSE:LEN) is a US-based home builder that operates under the Lennar brand. The one-month return of Lennar Corporation (NYSE:LEN) was 3.71%, and its shares lost 19.85% of their value over the last 52 weeks. On June 30, 2025, Lennar Corporation (NYSE:LEN) stock closed at $110.61 per share, with a market capitalization of $29.009 billion.
Hardman Johnston Global Equity Strategy stated the following regarding Lennar Corporation (NYSE:LEN) in its Q1 2025 investor letter:
"We liquated our position in Lennar Corporation (NYSE:LEN) due to faster-than-expected increases in interest rates due to inflation. Furthermore, increasing economic uncertainty and the prospect of a higher unemployment rate could act as a near term cyclical headwind, despite the continued structural undersupply of US housing."
A builder wearing a hard hat admiring a newly constructed smart home.
Lennar Corporation (NYSE:LEN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 62 hedge fund portfolios held Lennar Corporation (NYSE:LEN) at the end of the first quarter, which was 70 in the previous quarter. While we acknowledge the potential of Lennar Corporation (NYSE:LEN) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.
In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. While we acknowledge the potential of LEN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
