Gator Capital Management, an investment management company, released its fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. In Q4 2025, Gator Capital Management’s Gator Financial Partners, LLC returned 4.14%, Gator Offshore Partners, Ltd. returned 3.96%, and Gator Qualified Partners, LLC returned 6.10%. These compare to the S&P 500 Total Return Index 2.65% return and the S&P 1500 Financials Index’s 1.95% return. In 2025, Gator Funds returned 31.94%, 30.90%, and 16.92%, respectively, significantly outperforming both the broader market and the Financials sector benchmark. Please review the firm’s top five holdings to gain insights into their key selections for 2025.
In its fourth-quarter 2025 investor letter, Gator Capital Management highlighted stocks such as TFS Financial Corporation (NASDAQ:TFSL). TFS Financial Corporation (NASDAQ:TFSL) is a US-based retail consumer banking services provider. The one-month return of TFS Financial Corporation (NASDAQ:TFSL) was 5.51%, and its shares gained 13.56% of their value over the last 52 weeks. On February 17, 2026, TFS Financial Corporation (NASDAQ:TFSL) stock closed at $15.33 per share, with a market capitalization of $4.302 billion.
Gator Capital Management stated the following regarding TFS Financial Corporation (NASDAQ:TFSL) in its fourth quarter 2025 investor letter:
“In December, we purchased a position in TFS Financial Corporation (NASDAQ:TFSL) (“TFSL” or “Third Federal”). TFSL is the holding company for Third Federal Savings & Loan, which is a $17 billion bank headquartered in Cleveland, OH. TFSL has a unique corporate structure. It is majority-owned by a mutual holding company, while the public shareholders own a minority stake in the bank. We think the mutual holding company structure can help create superior returns for the public shareholders. TFSL’s stock has underperformed since 2021 due to the increase in interest rates during 2022 and the inverted yield curve. We think the recent decline in short-term rates has helped TFSL turn the corner, but the stock price does not yet reflect this turn.
