Diamond Hill Capital, an investment management company, released its “Small Cap Strategy” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The fourth quarter posted another period of favorable gains for equity markets, with the Russell 2000 Index returning 2.19%, roughly in line with the Russell 1000 Index’s 2.41% gain. Health care (+18.6%) emerged as the best-performing sector in the Russell 2000 Index. Heightened uncertainty and geopolitical risks contributed to a mixed market environment in 2025 and Q4, yet the Russell 2000 Index still posted a 12.81% gain for the year. Heading into 2026, the firm continues to focus on resilient businesses that can sustain earnings in a volatile landscape. The Strategy returned 4.88% (net of fees) in the quarter compared to the Russell 2000 Index’s 2.19% gain. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Diamond Hill Small Cap Strategy highlighted Taseko Mines Limited (NYSEAMERICAN:TGB) as one of its leading contributors. Taseko Mines Limited (NYSEAMERICAN:TGB) is a Canadian-based mining company. On February 4, 2026, Taseko Mines Limited (NYSEAMERICAN:TGB) stock closed at $8.37 per share. Taseko Mines Limited (NYSEAMERICAN:TGB) delivered a 41.15% return in the past month, and its shares are up 318.50% over the past twelve months. Taseko Mines Limited (NYSEAMERICAN:TGB) has a market capitalization of $3.019 billion.
Diamond Hill Small Cap Strategy stated the following regarding Taseko Mines Limited (NYSEAMERICAN:TGB) in its fourth quarter 2025 investor letter:
“Taseko Mines Limited (NYSEAMERICAN:TGB), a copper mining company, saw shares move higher in Q4 as copper prices increased more than 15%. Performance was also supported by growing optimism around the company’s pending project in Florence, AZ.”
Taseko Mines Limited (NYSEAMERICAN:TGB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 16 hedge fund portfolios held Taseko Mines Limited (NYSEAMERICAN:TGB) at the end of the third quarter, up from 13 in the previous quarter. While we acknowledge the potential of Taseko Mines Limited (NYSEAMERICAN:TGB) 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.
