Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Kosmos Energy Ltd. (NYSE:KOS). Kosmos Energy Ltd. (NYSE:KOS), a deepwater oil and gas exploration and production company, detracted from the Fund's performance during the quarter due to crude oil price weakness. On August 3, 2026, Kosmos Energy Ltd. (NYSE:KOS) closed at $2.53 per share. One-month return of Kosmos Energy Ltd. (NYSE:KOS) was 14.48%, and its shares gained 37.50% over the past 52 weeks. Kosmos Energy Ltd. (NYSE:KOS) has a market capitalization of $1.50 billion.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Kosmos Energy Ltd. (NYSE:KOS) in its Q2 2026 investor letter:
"Kosmos Energy Ltd. (NYSE:KOS) is an independent offshore E&P company with producing ******* ets in the US Gulf of Mexico and Ghana. We own it because its offshore operating expertise, quality ******* ets, attractive reinvestment economics, and compelling valuation create a favorable risk/reward profile. The stock declined during Q2 due to broader crude oil price weakness following the reopening of the Strait of Hormuz. We believe oil undersupply could continue for months and that prices could remain above normal levels, even if the reopening progresses smoothly. Given the company's strong ******* ets, high returns on investment, attractive valuation, and reduced liquidity concerns, our investment thesis remains intact."
Kosmos Energy Ltd. (NYSE:KOS) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 43 hedge fund portfolios held Kosmos Energy Ltd. (NYSE:KOS) at the end of the first quarter, up from 21 in the previous quarter. While we acknowledge the potential of Kosmos Energy Ltd. (NYSE:KOS) 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 al

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted APA Corporation (NASDAQ:APA). APA Corporation (NASDAQ:APA) is an energy company focused on the exploration and production of oil and natural gas in key global markets. On August 3, 2026, APA Corporation (NASDAQ:APA) closed at $36.87 per share, reflecting a market capitalization of $13.032 billion. APA Corporation (NASDAQ:APA) posted a one-month return of 8.44%, while its shares gained 98.33% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding APA Corporation (NASDAQ:APA) in its Q2 2026 investor letter:
"APA Corporation (NASDAQ:APA) is an independent oil and gas E&P (exploration & production) company operating in the Permian and in Egypt. Quarterly results were in line with expectations and supportive of our investment thesis, but the stock fell as oil retreated due to optimism about a resolution to the conflict in Iran. APA offers strong free cash flow generation driven by favorable natural gas price differentials and underappreciated reinvestment opportunities in Suriname, Egypt, and potentially Alaska. Despite concerns over shorter Permian resource life, APA trades at attractive value metrics relative to its free cash flow yield and remains leveraged to a structurally undersupplied global energy market. The company has an investment grade balance sheet and trades at a valuation discount to its peers."

#midcap

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Marriott Vacations Worldwide Corporation (NYSE:VAC). Marriott Vacations Worldwide Corporation (NYSE:VAC), a leading vacation and timeshare ownership company, delivered strong performance during the quarter. On August 3, 2026, Marriott Vacations Worldwide Corporation (NYSE:VAC) closed at $97.40 per share, reflecting a market capitalization of $3.34 billion. Marriott Vacations Worldwide Corporation (NYSE:VAC) posted a one-month return of -1.96%, while its shares gained 33.46% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Marriott Vacations Worldwide Corporation (NYSE:VAC) in its Q2 2026 investor letter:
"Marriott Vacations Worldwide Corporation (NYSE:VAC) is one of the largest timeshare operators in the US, building, selling, financing, and managing upper-upscale and luxury resorts under the Marriott, Westin, Ritz-Carlton, and Hyatt brands, alongside a high-margin exchange business. We view it as a misunderstood, good-quality company whose branded network, affluent customer base with ~$1.5 million average net worth, and recurring financing and fee streams help insulate it from the cyclicality of travel. The stock outperformed this quarter as results topped low Street expectations, management maintained full-year guidance while raising its contract-sales outlook, and free cash flow generation remained strong."

#hotchkis #quarter

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Humana Inc. (NYSE:HUM). Humana Inc. (NYSE:HUM), an American insurance company that provides medical and specialty insurance products, delivered strong performance during the quarter. On August 03, 2026, Humana Inc. (NYSE:HUM) closed at $374.50 per share. The one-month return of Humana Inc. (NYSE:HUM) was -5.10%, and its shares gained 47.17% over the past 52 weeks. Humana Inc. (NYSE:HUM) has a market capitalization of $44.97 billion.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Humana Inc. (NYSE:HUM) in its Q2 2026 investor letter:
"Humana Inc. (NYSE:HUM) is one of the largest pure Medicare Advantage (MA) health insurer in the United States. Performance over the quarter was strong following news that the US agreed to increase 2027 payments for private MA plans above its initial proposal earlier in the year. The company's stock has been undervalued due to higher utilization by enrollees and uncertainty regarding reimbursement rates. We view these issues as temporary because the company reprices its business every year, which could lead to a recovery in margins."
Humana Inc. (NYSE:HUM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 61 hedge fund portfolios held Humana Inc. (NYSE:HUM) at the end of the first quarter, up from 53 in the previous quarter. While we acknowledge the potential of Humana Inc. (NYSE:HUM) 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.

#wiley #stocks

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Centene Corporation (NYSE:CNC) as a leading performance contributor. Centene Corporation (NYSE:CNC) is a US-based healthcare enterprise that offers services to underinsured and uninsured families and commercial organizations. On August 3, 2026, Centene Corporation (NYSE:CNC) closed at $63.76 per share, reflecting a market capitalization of $31.49 billion. Centene Corporation (NYSE:CNC) posted a one-month return of -3.57%, while its shares gained 146.27% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Centene Corporation (NYSE:CNC) in its Q2 2026 investor letter:
"Centene Corporation (NYSE:CNC) is a managed care organization focused on the Medicaid market, with approximately 28 million at-risk enrollees and one of the largest Medicaid market share among publicly traded peers. It is a capital-light business well positioned to potentially benefit as the U.S. continues shifting healthcare toward government-funded, cost-controlled programs. Centene outperformed sharply this quarter as adjusted EPS beat consensus by 48%, management raised full-year guidance, and investors gained confidence that the Medicaid margin recovery and ACA membership reset were both tracking ahead of plan."
Centene Corporation (NYSE:CNC) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 72 hedge fund portfolios held Centene Corporation (NYSE:CNC) at the end of the first quarter, compared to 78 in the previous quarter. While we acknowledge the potential of Centene Corporation (NYSE:CNC) 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 fre

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Olin Corporation (NYSE:OLN). Olin Corporation (NYSE:OLN), a leading manufacturer and distributor of chemical products that operates through Chlor Alkali Products and Vinyls, Epoxy, and Winchester segments, detracted from the fund's performance during the quarter. On August 3, 2026, Olin Corporation (NYSE:OLN) closed at $18.62 per share. The one-month return for Olin Corporation (NYSE:OLN) was -10.22%, and its shares lost 2.05% over the past 52 weeks. Olin Corporation (NYSE:OLN) has a market capitalization of $2.12 billion.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Olin Corporation (NYSE:OLN) in its Q2 2026 investor letter:
"Olin Corporation (NYSE:OLN) is one of the largest global producers of chlor alkali chemicals and chlorine derivatives, and also owns the Winchester ammunition brand. It is significantly underearning today due to below-normal commodity prices and demand, but a tightening five-plus year supply/demand outlook in North American chlor-alkali could drive a pricing and volume recovery— and as the swing producer in the region, Olin could capture more than its share of that improvement, with shareholder-friendly capital allocation and an investment-grade balance sheet commitment reinforcing the case. The stock's decline reflects an easing of tensions in the Middle East which will lead to a near term loosening of supply/demand dynamics in commodity chemicals. Olin also announced a merger of equals with Huntsman that we believe is strategically sound and will help reduce risk over the intermediate term due to synergy capture and deleveraging."

#value #russell

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Kosmos Energy Ltd. (NYSE:KOS). Kosmos Energy Ltd. (NYSE:KOS), a deepwater oil and gas exploration and production company, detracted from the Fund's performance during the quarter due to crude oil price weakness. On August 3, 2026, Kosmos Energy Ltd. (NYSE:KOS) closed at $2.53 per share. One-month return of Kosmos Energy Ltd. (NYSE:KOS) was 14.48%, and its shares gained 37.50% over the past 52 weeks. Kosmos Energy Ltd. (NYSE:KOS) has a market capitalization of $1.50 billion.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Kosmos Energy Ltd. (NYSE:KOS) in its Q2 2026 investor letter:
"Kosmos Energy Ltd. (NYSE:KOS) is an independent offshore E&P company with producing ******* ets in the US Gulf of Mexico and Ghana. We own it because its offshore operating expertise, quality ******* ets, attractive reinvestment economics, and compelling valuation create a favorable risk/reward profile. The stock declined during Q2 due to broader crude oil price weakness following the reopening of the Strait of Hormuz. We believe oil undersupply could continue for months and that prices could remain above normal levels, even if the reopening progresses smoothly. Given the company's strong ******* ets, high returns on investment, attractive valuation, and reduced liquidity concerns, our investment thesis remains intact."
Kosmos Energy Ltd. (NYSE:KOS) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 43 hedge fund portfolios held Kosmos Energy Ltd. (NYSE:KOS) at the end of the first quarter, up from 21 in the previous quarter. While we acknowledge the potential of Kosmos Energy Ltd. (NYSE:KOS) 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 al

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted APA Corporation (NASDAQ:APA). APA Corporation (NASDAQ:APA) is an energy company focused on the exploration and production of oil and natural gas in key global markets. On August 3, 2026, APA Corporation (NASDAQ:APA) closed at $36.87 per share, reflecting a market capitalization of $13.032 billion. APA Corporation (NASDAQ:APA) posted a one-month return of 8.44%, while its shares gained 98.33% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding APA Corporation (NASDAQ:APA) in its Q2 2026 investor letter:
"APA Corporation (NASDAQ:APA) is an independent oil and gas E&P (exploration & production) company operating in the Permian and in Egypt. Quarterly results were in line with expectations and supportive of our investment thesis, but the stock fell as oil retreated due to optimism about a resolution to the conflict in Iran. APA offers strong free cash flow generation driven by favorable natural gas price differentials and underappreciated reinvestment opportunities in Suriname, Egypt, and potentially Alaska. Despite concerns over shorter Permian resource life, APA trades at attractive value metrics relative to its free cash flow yield and remains leveraged to a structurally undersupplied global energy market. The company has an investment grade balance sheet and trades at a valuation discount to its peers."

#value #corporation #company

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Marriott Vacations Worldwide Corporation (NYSE:VAC). Marriott Vacations Worldwide Corporation (NYSE:VAC), a leading vacation and timeshare ownership company, delivered strong performance during the quarter. On August 3, 2026, Marriott Vacations Worldwide Corporation (NYSE:VAC) closed at $97.40 per share, reflecting a market capitalization of $3.34 billion. Marriott Vacations Worldwide Corporation (NYSE:VAC) posted a one-month return of -1.96%, while its shares gained 33.46% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Marriott Vacations Worldwide Corporation (NYSE:VAC) in its Q2 2026 investor letter:
"Marriott Vacations Worldwide Corporation (NYSE:VAC) is one of the largest timeshare operators in the US, building, selling, financing, and managing upper-upscale and luxury resorts under the Marriott, Westin, Ritz-Carlton, and Hyatt brands, alongside a high-margin exchange business. We view it as a misunderstood, good-quality company whose branded network, affluent customer base with ~$1.5 million average net worth, and recurring financing and fee streams help insulate it from the cyclicality of travel. The stock outperformed this quarter as results topped low Street expectations, management maintained full-year guidance while raising its contract-sales outlook, and free cash flow generation remained strong."

#value #vacations #hotchkis #fund

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Humana Inc. (NYSE:HUM). Humana Inc. (NYSE:HUM), an American insurance company that provides medical and specialty insurance products, delivered strong performance during the quarter. On August 03, 2026, Humana Inc. (NYSE:HUM) closed at $374.50 per share. The one-month return of Humana Inc. (NYSE:HUM) was -5.10%, and its shares gained 47.17% over the past 52 weeks. Humana Inc. (NYSE:HUM) has a market capitalization of $44.97 billion.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Humana Inc. (NYSE:HUM) in its Q2 2026 investor letter:
"Humana Inc. (NYSE:HUM) is one of the largest pure Medicare Advantage (MA) health insurer in the United States. Performance over the quarter was strong following news that the US agreed to increase 2027 payments for private MA plans above its initial proposal earlier in the year. The company's stock has been undervalued due to higher utilization by enrollees and uncertainty regarding reimbursement rates. We view these issues as temporary because the company reprices its business every year, which could lead to a recovery in margins."
Humana Inc. (NYSE:HUM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 61 hedge fund portfolios held Humana Inc. (NYSE:HUM) at the end of the first quarter, up from 53 in the previous quarter. While we acknowledge the potential of Humana Inc. (NYSE:HUM) 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.

#value #quarter #wiley

Hotchkis & Wiley, an investment management company, released its second-quarter 2026 investor letter for the "Hotchkis & Wiley Mid-Cap Value Fund." A copy of the letter can be downloaded here. Equity markets posted strong returns in the second quarter of 2026, with the Russell Midcap Index rising 13.8% and the Russell Midcap Value Index returning 13.4%, despite concerns about inflation, a hawkish Federal Reserve, and rising oil prices due to the Iran conflict. Narrow market leadership was evident, particularly semiconductor stocks and other stocks in the AI sector, which saw returns exceeding 100%. The Firm favors quality businesses with attractive valuations, believing that fears regarding AI's impact are overstated. The Hotchkis & Wiley Mid-Cap Value Fund lagged the Russell Midcap Value Index, achieving a 4.74% return in the second quarter, primarily due to underperformance in technology and energy sectors, while stock selection in healthcare contributed positively. In addition, please check the Fund's top five holdings to know its best picks in 2026.
In its Q2 2026 investor letter, Hotchkis & Wiley Mid-Cap Value Fund highlighted Centene Corporation (NYSE:CNC) as a leading performance contributor. Centene Corporation (NYSE:CNC) is a US-based healthcare enterprise that offers services to underinsured and uninsured families and commercial organizations. On August 3, 2026, Centene Corporation (NYSE:CNC) closed at $63.76 per share, reflecting a market capitalization of $31.49 billion. Centene Corporation (NYSE:CNC) posted a one-month return of -3.57%, while its shares gained 146.27% over the past 52 weeks.
Hotchkis & Wiley Mid-Cap Value Fund stated the following regarding Centene Corporation (NYSE:CNC) in its Q2 2026 investor letter:
"Centene Corporation (NYSE:CNC) is a managed care organization focused on the Medicaid market, with approximately 28 million at-risk enrollees and one of the largest Medicaid market share among publicly traded peers. It is a capital-light business well positioned to potentially benefit as the U.S. continues shifting healthcare toward government-funded, cost-controlled programs. Centene outperformed sharply this quarter as adjusted EPS beat consensus by 48%, management raised full-year guidance, and investors gained confidence that the Medicaid margin recovery and ACA membership reset were both tracking ahead of plan."
Centene Corporation (NYSE:CNC) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 72 hedge fund portfolios held Centene Corporation (NYSE:CNC) at the end of the first quarter, compared to 78 in the previous quarter. While we acknowledge the potential of Centene Corporation (NYSE:CNC) 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 fre

After the loss of star outfielder Jackson Hotchkiss in the transfer portal, coach Eddie Smith and the Washington Huskies will be looking to replace his production in the middle of the order.
Following a breakout sophomore season, in which he led the Huskies with 20 home runs and 47 runs batted in, the projected first-round pick in the 2027 MLB draft made the move to Arizona State, and one player Smith could be looking to count on moving forward is rising sophomore Daniel Porras.
The 6-foot-2, 190-pound product of Guatemala, who attended in-state Gig Harbor High School, put together a strong first year on Montlake, posting a .291 batting average and .879 OPS, both of which were good for No. 3 on the team, with 32 hits, 6 home runs, 22 runs scored, 21 runs batted in, and 9 walks. However, an injury limited the talented left-hander to just 29 appearances on the year.
Porras played in his final game of the year on April 2 against Valparaiso, but showed some high-end potential, and combined with Smith's long history of developing hitters, he could be in line for a significant jump during his sophomore season.
The versatile freshman, who started games at first base, center field, and right field, was also honored as the Big Ten Freshman of the Week in mid-March after a 6-for-17 stretch at the plate, which included a walk-off single against Ohio State, and was good for a .353 batting average and 1.111 OPS, with 3 doubles, a home run, 4 runs scored, and 4 RBI.