Soumya Eswaran
3 min read
In This Article:
The London Company, an investment management company, released “The London Company Mid Cap Strategy” first quarter 2025 investor letter. A copy of the letter can be downloaded here. After two years of robust earnings, US equities entered a correction territory in Q1. The portfolio declined 4.3% (-4.5%, net) during the quarter compared to a 3.4% decrease for the Russell Midcap Index. Sector exposure was a headwind to the strategy’s relative performance in the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.
In its first-quarter 2025 investor letter, The London Company Mid Cap Strategy highlighted stocks such as Crown Castle Inc. (NYSE:CCI). Crown Castle Inc. (NYSE:CCI) owns, operates, and leases cell towers and fiber-supporting small cells and fiber solutions. The one-month return of Crown Castle Inc. (NYSE:CCI) was -2.51%, and its shares lost 3.04% of their value over the last 52 weeks. On May 12, 2025, Crown Castle Inc. (NYSE:CCI) stock closed at $100.48 per share with a market capitalization of $42.708 billion.
The London Company Mid Cap Strategy stated the following regarding Crown Castle Inc. (NYSE:CCI) in its Q1 2025 investor letter:
"Crown Castle Inc. (NYSE:CCI) - CCI was a top performer this quarter after announcing the results for the fiber and small cell transaction. CCI will now be a U.S.-focused Tower company. The tower business is expected to grow -5% over the long term and Tower margins have room for improvement. We like CCI's stable revenue stream, long-term tailwinds on growth in data consumption, and its ability to return cash to shareholders through its dividend policy."
A close-up of an array of cell towers on a distant hilltop.
Crown Castle Inc. (NYSE:CCI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 54 hedge fund portfolios held Crown Castle Inc. (NYSE:CCI) at the end of the fourth quarter which was 34 in the previous quarter. While we acknowledge the potential of Crown Castle Inc. (NYSE:CCI) 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 cheapest AI stock.
In another article, we covered Crown Castle Inc. (NYSE:CCI) and shared the list of real estate stocks are surging in 2025. The London Company Mid Cap Strategy noted in its Q4 2024 investor letter that Crown Castle Inc. (NYSE:CCI) underperformed due to a lower-than-expected rumored valuation for a potential fiber/small cell business sale and the delayed 2025 interest rate cuts. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors.
