Riverwater Partners, an investment management company, released its “Micro Opportunities Strategy” Q3 2025 investor letter. A copy of the letter can be downloaded here. The strategy reported solid absolute returns in the quarter but lagged the benchmark as it did not keep pace with the strong rally. The strategy continues to focus on quality companies in the volatile environment. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.
In its third-quarter 2025 investor letter, Riverwater Partners Micro Opportunities Strategy highlighted stocks such as American Vanguard Corporation (NYSE:AVD). American Vanguard Corporation (NYSE:AVD) is a chemical, biological, and biorational products manufacturer for agricultural, commercial, and consumer uses. The one-month return for American Vanguard Corporation (NYSE:AVD) was -14.8%, and its shares lost 12.20% over the last 52 weeks. On December 15, 2025, American Vanguard Corporation (NYSE:AVD) stock closed at $4.0200 per share, with a market capitalization of $114.727 million.
Riverwater Partners Micro Opportunities Strategy stated the following regarding American Vanguard Corporation (NYSE:AVD) in its third quarter 2025 investor letter:
“American Vanguard Corporation (NYSE:AVD) is a diversified specialty and agricultural products company. AVD manufactures and formulates chemicals for crops, turf and ornamental plants, and human and animal health protection. Despite serving essential markets with recurring demand characteristics, AVD has traded at depressed valuations due to concerns about agricultural market conditions and regulatory pressures. However, we believe the market has overreacted to near-term headwinds. AVD’s diversified product portfolio, strong customer relationships, and international presence provide multiple avenues for growth. AVD has recently hired a new CEO to help turn around the business by going after low hanging fruit. The company has taken aggressive actions to improve operational efficiency and reduce costs, which should drive margin expansion as revenue stabilizes. We view AVD as an undervalued asset with significant upside as agricultural markets recover and operational improvements flow through to earnings.”
American Vanguard Corporation (NYSE:AVD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 17 hedge fund portfolios held American Vanguard Corporation (NYSE:AVD) at the end of the third quarter, which was 19 in the previous quarter. In Q3 2025, American Vanguard Corporation (NYSE:AVD) reported revenue of $119 million compared to $118 million in Q3 2024. While we acknowledge the potential of American Vanguard Corporation (NYSE:AVD) 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.
