TimesSquare Capital Management, an equity investment management company, released its "U.S. Mid Cap Growth Strategy" first-quarter 2026 investor letter. A copy of the letter can be downloaded here. The Strategy fell 7.72% (net) in the quarter compared to -6.35% for the Russell Midcap Growth Index. In the first quarter, markets navigated geopolitical tensions and economic resilience alongside temporary global tariffs. High oil prices and supply chain disruptions followed U.S. and Israeli involvement in Iran, prompting a shift to safer ******* ets and a reevaluation of supply chains and energy dependencies. Central banks maintained steady policies despite energy-driven inflation. In this environment, the Strategy remains focused on disciplined management teams with durable competitive advantages. Please review the Strategy's top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted Casey's General Stores, Inc. (NASDAQ:CASY). Casey's General Stores, Inc. (NASDAQ:CASY) is a US-based convenience store operator under the Casey's and Casey's General Store names. On June 30, 2026, Casey's General Stores, Inc. (NASDAQ:CASY) closed at $794.79 per share. One-month return of Casey's General Stores, Inc. (NASDAQ:CASY) was 2.66%, and its shares gained 55.56% over the past 52 weeks. Casey's General Stores, Inc. (NASDAQ:CASY) has a market capitalization of $29.41 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding Casey's General Stores, Inc. (NASDAQ:CASY) in its Q1 2026 investor letter:
"Our preferences in the Consumer-oriented sectors lean toward value-oriented or specialty retailers, franchise models, premium brands, or support services for other consumer companies. Casey's General Stores, Inc. (NASDAQ:CASY), an operator of 2,900 convenience stores across nineteen states, gained 32%. Reported mixed fiscal third-quarter results that included a top-line miss, with beats to EBITDA and earnings. SSS grew by 4%, accelerating from the fiscal second quarter. Their outlook remains solid with strong gross margins supported by a favorable mix. Geopolitical volatility has historically been net positive for fuel spreads. The bigger driver is chicken wings, with the expansion of this offering to more than 550 stores."
Casey's General Stores, Inc. (NASDAQ:CASY) 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 Casey's General Stores, Inc. (NASDAQ:CASY) at the end of the first quarter, compared to 47 in the previous quarter. While we acknowledge the potential of Casey's General Stores, Inc. (NASDAQ:CASY) 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 an