Greenhaven Road Capital, an investment management company, released its first-quarter 2025 investor letter. A copy of the letter can be downloaded here. In the first quarter, the fund returned around -12% net of fees and expenses, trailing the Russell 2000 by approximately 2% in large part. The Q1 letter focused on President Trump’s Liberation Day and the attendant tariff policies rather than company fundamentals. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.
In its first-quarter 2025 investor letter, Greenhaven Road Capital highlighted stocks such as KKR & Co. Inc. (NYSE:KKR). KKR & Co. Inc. (NYSE:KKR) is an equity and real estate investment firm. The one-month return of KKR & Co. Inc. (NYSE:KKR) was 3.65%, and its shares gained 12.89% of their value over the last 52 weeks. On May 21, 2025, KKR & Co. Inc. (NYSE:KKR) stock closed at $117.76 per share with a market capitalization of $108.745 billion.
Greenhaven Road Capital stated the following regarding KKR & Co. Inc. (NYSE:KKR) in its Q1 2025 investor letter:
“KKR & Co. Inc. (NYSE:KKR) – Among our top holdings, the alternative asset manager is most impacted by the tariffs and the potential for restructuring global trade. They have hundreds of billions of dollars in current investments that will get “marked down” as valuation multiples compress. KKR is also facing headwinds in their private equity business from the lack of liquidity. Large endowments like Harvard and Yale are issuing bonds to raise capital and are unlikely to boost private equity allocations anytime soon. However, KKR has become well diversified over the last 15 years. Only $140B of their $638B in AUM is invested in traditional private equity and, while the global trade war may delay monetization efforts, KKR will continue to earn management fees on their $638B+ in AUM.
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KKR & Co. Inc. (NYSE:KKR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 83 hedge fund portfolios held KKR & Co. Inc. (NYSE:KKR) at the end of the fourth quarter compared to 66 in the third quarter. While we acknowledge the potential of KKR & Co. Inc. (NYSE:KKR) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.
