Aristotle Capital Boston, LLC, an investment advisor, released its fourth-quarter investor letter for “Small Cap Equity Fund”. A copy of the letter can be downloaded here. U.S. small-cap equities reported modest gains in the fourth quarter of 2025. The quarter started as a continuation of the post-Liberation Day risk-on market environment, while it ended on a strong note, driven by a positive macroeconomic backdrop. Attractive valuations, earnings recovery, broadening of the market, and a shift from mega-cap stocks supported small caps in the quarter. The Aristotle Small Cap Equity Fund (Class I-2) returned 1.96% in Q4 2025, trailing the 2.19% total return of the Russell 2000 Index. Security selection supported overall performance, while allocation effects detracted from performance. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Aristotle Small Cap Equity Fund highlighted stocks like Titan Machinery Inc. (NASDAQ:TITN). Headquartered in West Fargo, North Dakota, Titan Machinery Inc. (NASDAQ:TITN) owns and operates agricultural and construction equipment stores. On February 13, 2026, Titan Machinery Inc. (NASDAQ:TITN) stock closed at $18.97 per share. One-month return of Titan Machinery Inc. (NASDAQ:TITN) was 15.25%, and its shares are up 4.35% over the past twelve months. Titan Machinery Inc. (NASDAQ:TITN) has a market capitalization of $443.385 million.
Aristotle Small Cap Equity Fund stated the following regarding Titan Machinery Inc. (NASDAQ:TITN) in its fourth quarter 2025 investor letter:
“Titan Machinery Inc. (NASDAQ:TITN) is a manager of agricultural and construction equipment stores operating through the agriculture, construction, European and Australian market segments. The position was liquidated due to deteriorated fundamental performance and an uncertain strategic outlook.”
Titan Machinery Inc. (NASDAQ:TITN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 18 hedge fund portfolios held Titan Machinery Inc. (NASDAQ:TITN) at the end of the third quarter, up from 12 in the previous quarter. While we acknowledge the potential of Titan Machinery Inc. (NASDAQ:TITN) 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.
